Legal and Legislative Update September 22, 2010

1. Legal and Legislative Update September 22, 2010 Presented by Pam Nicastro, MBA, MPA, SPHR

2. Brief Topics • Federal Updates • NYS Updates • BNHRA Support for Extension of Section 127 • SHRM Advocacy Team

3. Advanced Earned Income Credit Change August 29, 2010 Advance Earned Income Credit Is Repealed Starting in 2011 President Barack Obama recently signed the Education Jobs and Medicaid Assistance Act of 2010 (HR 1586) into law. As part of the legislation, the advance earned income credit, claimed by eligible employees by filing 2010 Form W-5, Earned Income Credit Advance Payment Certificate, is repealed for 2011 and thereafter. Non-Refundable Portion Still Available by Adjusting Withholding Eligible taxpayers will be able to claim the refundable portion of their credit on their individual income tax returns and can claim the non-refundable portion either on their individual income tax returns or by adjusting their federal income tax withholding on Form W-4, Employee’s Withholding Allowance Certificate

4. Reminder: EEO-1 Form Due • All employers subject to Title VII and with 100 or more employees, as well as all federal contractors with 50 or more employees with contracts of $50,000 or more, must file the EEO-1 Report form. “Do not have anyone in the unknown category,” he cautioned. That includes race and gender. Employers must classify workers in one of seven race/ethnicity categories” • DUE September 30, 2010 file electronically on line

5. NYS Update • Funeral Leave Benefit for Same Sex Couples. Effective October 29, 2010 S.6177 • Domestic Workers-(1st in the nation) employed homes-employer required to pay overtime after 40 hr or after 44 hrs if in-home. Effective December 1, 2010 • Unemployment Insurance for nonparticipating employees affected by Strike. Effective July 15, 2010

6. NYS Pending Legislation • Anti Bully bill which passed the NYS Senate. • Limitation on using credit reports for employment. A.2067 • Paid Family Leave • Wage Theft Protection Act-would require employer to pay 1 hr pay for any missed meal-plus time worked during the meal. A.01828

7. BNHRA Advocacy for Section 127 • Section 127 of IRC allows tuition reimbursement and assistance provide up to $5250/yr to be excluded from income to the employee per year. • Sunsets December 31, 2010 • SHRM supports the extending the tax provision to assist those employees and employers in work force development.

8. BNHRA Advocacy for Section 127 Why? • Bachelor’s degree provides 60% more earning potential in WNY then HS diploma. • Professional or graduate degree provides 90% more earning potential then HS diploma • Scientist, bio-informatics, etc. are in short supply for workforce investment. • Workplace productivity increased by 6% above inflation from 2001 to 2005 with employees that have college degrees in WNY. Information published: November 2008 by UB Regional Institute “Impact by Higher Education in Western New York”

9. BNHRA Advocacy for Section 127 At your table: Post Cards available for: Senators Schumer, Gillibrand and your Representative (Higgins, Lee or Slaughter). District Maps are available. Please complete 3 post card: Your name and home address on the front, and signature on the back. Feel free to add a personal note from your workplace-on the card. Leave your completed post cards in the box-BNHRA will deliver your cards.

10. SHRM- NYS Advocacy • New Program for NYS • SHRM National is looking for District Captains to develop relationships and influence with local congressional staffers. (BNHRA needs 3) • District Captain commitment=4 to 5 hrs/month. HRCI Strategic Credits of 5 hrs/ yr pending. • Chapter Team Member commitment= 1 to 2 hrs/month. HRCI Strategic Credits of 3 hrs/yr pending. Must be a SHRM Member.