When I wrote about the possible extension of COBRA and subsidization of costs by the government a couple of weeks ago, few people anticipated the sweeping COBRA changes that are part of the broad economic stimulus bill that was passed by the House of Representatives.
Companies are caught between a rock and a hard place when it comes to staffing. Common wisdom holds that in recessionary times businesses should reach first for the low-hanging fruit of cost cutting, including layoffs.
But companies that emerge from the tough economic times poised to grow and prosper will be those that have the talent to make it happen. Consultants and staffing firms are ratcheting common wisdom up a notch, suggesting that the big winners when the economy starts growing again will be companies that recognize this is a period of opportunity to hire top-quality job candidates.
Before the bottom fell out of the financial services industry and companies in other industries began to prove that the domino effect is alive and well, support for shareholder resolutions on executive compensation seemed to be losing momentum. The SEC issued stringent compensation disclosure requirements, which may have partially placated the concerns of some corporate watchdogs about exorbitant pay packages, and if stocks perform well, CEO support is the norm.
Employees who have seen their 401(k) balances dwindle over the last year will soon be able to get long prohibited individual investment advice from investment companies including mutual funds as a result of a new rule from the Department of Labor (DOL). more
It’s that time of year when many senior executives find out how happy their new year really will be as they learn the amount of their incentive compensation for last year. For some, it looks like the Grinch stole more than Christmas. According to a Mercer survey, the impact of the economy on corporate performance is sending annual incentive payouts south. Nearly two-thirds of companies (64 percent) are expecting below-target annual incentive payouts for 2008. However, 29 percent of respondents may offer some form of a discretionary award to select employees or possibly all eligible participants in an effort to retain talent in the tough economic environment. more
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