HR Lately: December 2024

As the year draws to a close, 2024’s final issue of HR Lately highlights a variety of news that’s been shaking up the HR landscape in the last month of the year. This edition includes stories that are both promising and those that pose challenges - like a rebound in the jobs report, new initiatives for fair pay, inflation’s resurgence, wage compliance crackdowns, and more. We’re also sharing an exciting project we worked on, two perfect holiday gift ideas, and a way to kick off your New Year’s resolutions with a career boost. Let’s dive in!

HR News Roundup

1. State Minimum Wage Hikes in 2025 Many U.S. states will be increasing their minimum wage in 2025, reflecting growing pressures to address the cost of living and worker equity. Employers are encouraged to stay ahead of these changes by evaluating their pay structures, especially those with multi-state operations where compliance can get tricky. Implementing proactive measures like pay benchmarking and policy updates can help businesses adapt smoothly. Learn more about the upcoming changes and how to prepare.

2. Disney Settles Pay Equity Case In a landmark decision, Disney has agreed to pay $43 million to settle a class-action lawsuit involving pay equity concerns for women in the organization. The lawsuit, which alleged that Disney systematically paid women less than men for similar roles, underscores the importance of ongoing pay equity audits. This resolution serves as a wake-up call for companies to evaluate their pay practices and ensure fairness across their workforce. Explore the details here.

3. Massachusetts’ Crackdown on Wage Violations Massachusetts is ramping up enforcement against wage and hour violations, signaling a tough stance on compliance issues ranging from unpaid overtime to misclassification of workers. To avoid steep penalties, businesses in the state should prioritize audits of their practices. This crackdown serves as a reminder that state-level enforcement is as critical as federal oversight. Read about Massachusetts’ efforts and their impact on employers.

4. Fair Pay for Disabled Workers A significant legislative effort could soon end the outdated practice of paying disabled workers below the federal minimum wage. For years, workers with disabilities have been allowed to earn subminimum wages, but a bipartisan proposal is gaining traction to eliminate this inequity. This development signals a shift towards greater inclusivity and fairness in the workplace, ensuring all workers are compensated equitably. Learn more about the movement for fair pay.

5. Ohio State Reverses Raises Amid FLSA Ruling Following a federal judge’s decision to block a new overtime rule under the Fair Labor Standards Act (FLSA), Ohio State University rescinded raises previously granted to hundreds of employees. The situation highlights the challenges organizations face when federal rules shift unexpectedly, impacting payroll and employee relations. Read more about this case and its implications.

6. Compensation Hall of Fame Debuts A new Hall of Fame just for Compensation Professionals has officially launched, celebrating individuals who have made lasting contributions to the field of compensation. This initiative recognizes industry pioneers and provides a platform for sharing best practices and innovative ideas. Nominations are now open, with a deadline of February 3rd, 2025. Visit the Hall of Fame and nominate a deserving candidate.

7. Inflation Rises in November Inflation ticked up to 2.7% in November, ending a streak of declines and sparking renewed concerns about purchasing power and economic stability. For HR professionals, rising inflation often leads to increased pressure to adjust salary structures and cost-of-living allowances. Staying updated on these economic trends is critical for effective workforce planning. Discover the full story and its implications.

8. November Jobs Report Shows Rebound After a disappointing October, the November jobs report delivered some much-needed good news as the U.S. economy added more jobs than expected. This positive development in the market reflects strong resilience in key industries and signals potential stability heading into 2025. For HR leaders, this rebound is a positive indicator of hiring opportunities in the new year. Read the full report here.

What We’ve Been Up To

This past month at the Compensation & HR Group, we partnered with a leading food manufacturer to conduct a cutting-edge compensation market analysis, revealing exactly where their pay practices stood against their competitors. By designing geographically targeted salary ranges, we ensured their compensation strategy aligned perfectly with market demands across diverse U.S. locations.

To drive employee engagement, we also introduced customized pay-for-performance guidelines, helping them reward top performers effectively. If your organization could benefit from similar expertise, don’t hesitate to contact us. We are also happy to assist with the pressing HR issues mentioned in this article, like pay equity analysis, wage compliance assistance, help navigating FLSA updates, and much more!

Holiday Gift Ideas

Looking for the perfect gift this holiday season? Compensation education is important for everyone, and the award-winning book Pay Matters offers a fun and engaging way to learn all about it! Order your copy here.

And for the younger readers in your life, there’s even a children’s version! Pay Matters to Kids, also an award winner, introduces financial literacy in an accessible and enjoyable way. Get it here.

Set Your Career Goals with the CAA

Looking for a meaningful New Year’s resolution? Our friends at the Compensation Analyst Academy are already offering two excellent opportunities to elevate your career in early 2025, with more to come. Current courses available for registration include a 1-week virtual program in February and a 2-week virtual program in March, with both courses allowing participants to earn a Certified Compensation Analyst (CCA) designation without ever taking a test. Join a growing network of professionals who are taking charge of their careers and register today.

Wrapping Up 2024

As we reflect on 2024, we’re grateful for your engagement and support. From all of us at CHRG, we wish you a joyful holiday season and a prosperous new year. See you in 2025!

Stay informed, ahead, and inspired,

Dan Weaver, CCA

Director of Marketing, Compensation & HR Group