Aley Moyer

The Californian 2022 Q2 – POSITIONING YOURSELF AS AN EMPLOYER OF CHOICE

POSITIONING YOURSELF AS AN EMPLOYER OF CHOICE

Jeff Davis, Group Vice President, Solution Sales, WorkWave

It comes as no surprise that hiring (and retention) is still a hot topic in the security industry. While there’s no magic answer to overcoming the challenges of today’s competitive market, we know the key to attracting talent is to position yourself as an employer of choice. There are the obvious variables you should consider when making your open positions competitive (like wages and benefits, for example). The other part of that strategy is making sure the right applicants know who you are, or how to find out more about you.

That’s easier said than done. You can post an opening to a job board and post about it on your website or social media, but that’s only the first step in becoming more visible. You need to make sure that job seekers can find you, they can understand your website, and the information you’re presenting is clear. To achieve those things, you need to start thinking like a marketer. 

Start by comparing a traditional recruitment funnel against a traditional marketing funnel. They really aren’t all that different, especially in the beginning stages. Awareness is at the top of each process and where you have the most opportunity to position yourself as an employer of choice. This is your first touch point with potential job candidates and the stage where you can set the framework for the quantity and quality of your candidate leads. To improve awareness, think about: 

  • Improving your SEO. To those outside the marketing field, SEO may sound daunting, but it’s a readily available tool you can draw on to make your company — and website — more “findable” by job seekers. Using what you can find from SEO, you can add keywords to job descriptions, organic and paid ads, blog posts and webpages to help increase visibility where you need it. 
  • Expanding your content. Don’t only think about job postings and descriptions when your goal is hiring (although those are important, too.) Think about your overall brand. Are you demonstrating your company’s values, or highlighting reasons why someone would want to choose you as a place of employment over a competitor? Think about how you’re showing these things. Can you highlight testimonials from current employees? Can you demonstrate a walk-through of a “day in the life” of what the open position would require? Be accurate (while also being conscious of not sharing any information from your clients or contracts) and take what you find to the applicant directly — whether that’s social media, job boards, or traditional in-person recruitment events.

Gain more marketing advice and other best practices based on current industry trends.

After you’ve begun engaging with a pool of potential job applicants, then you can start narrowing your focus on the middle and end stages of the hiring funnel. Plan to dedicate real time to job descriptions and listings. 

Pro tip: Familiarize yourself with the rules of specific job boards. Some will remove your job listings if you ask certain information, like age or background checks. If that criterion is required for your screening process, make sure you’re including the qualifying criteria as required responses in your applicant tracking and hiring system.

In your job listings themselves, don’t be limited by wage and benefit information. Can you offer jobs that are more convenient to an applicant based on proximity to residence? Are you able to offer shift flexibility, a hiring bonus, or a guaranteed bonus after a certain period on the job? Even if it’s seemingly small, any detail can set you apart in the market — especially as job flexibility becomes a bigger consideration for today’s job seekers. Just make sure you’re being accurate. Remember, the goal should be to attract quality applicants, not quantity.

Marketing is a crucial step in staying ahead of the competition in a tight labor market. If you’re looking for help in website design, SEO or other opportunities to improve your recruitment marketing, TEAM Software by WorkWave can help. 

For the last 20 years, Jeff has focused on technology, working in sales and marketing to executive leadership, with five years specializing in human resources technology. Within his leadership role at WorkWave, which acquired TEAM Software in 2021, Jeff serves as a subject matter expert delivering marketing and service solutions to service contractors worldwide.

 

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Aley Moyer

The Californian 2022 Q2 – THE IMPORTANCE OF DE-ESCALATION TRAINING IN A POST-LOCKDOWN WORLD

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THE IMPORTANCE OF DE-ESCALATION TRAINING IN A POST-LOCKDOWN WORLD

Tory Brownyard, Brownyard Group

In early April, three women physically attacked a security officer at a Macy’s in Palo Alto, California. When asked to return stolen goods the women punched the officer in the face and the head and assaulted him with pepper spray. Similar situations have become all too common for security professionals, particularly as people struggle to adapt to a new hybrid environment after two years of lockdowns, heightened stress and increased economic pressures. With this spike in aggressive behavior, security firms are faced with new challenges and risks involving the safety of their employees and the success of their business.

The Risks

Security professionals face risks every day. In hospitals, restaurants, airports, office parks and shopping malls, a normally calm situation can quickly escalate. When rising tensions and aggressive behavior are added into the equation, the risk to security firms and their employees can increase significantly. These risks can include: 

  • Employee Safety: Over the past two years security professionals were asked to take on new and added responsibilities, including asking for the vaccination status of members of the public attempting to enter certain facilities, enforcing mask mandates and limiting access to various venues or facilities. In some of these situations, members of the public directed their frustrations at security personnel tasked with ensuring their safety and the safety of others. In more than a few instances, these situations turned violent. 
  • Insurance Risks: From an insurance perspective, the biggest concern with aggressive behavior is the liability associated with bodily injury claims. if an officer is not trained to de-escalate a confrontational situation and the perpetrator turns to violence, a physical altercation can result. Similarly, if the officer is armed with a weapon (such as a firearm or baton) and pulls that weapon, these types of situations can quickly get out of control. If the perpetrator also has a weapon serious injury can occur, involving the perpetrator, security personnel and even innocent bystanders. In such situations, the claim might allege the officer used unnecessary force and could be sued for assault and battery. This is showcased in several recent lawsuits against the LA Dodgers for alleged assault, battery, false imprisonment, violation of civil rights and emotional distress by the team’s security force.
  • Reputational Damage: With increased use of and access to the internet over recent years, people can easily acquire video footage and photographs of altercations between security officers and perpetrators. Additionally, the internet has democratized access to editing software that allows situational embellishments, and even the creation of what are known as deep fake videos designed to alter the public’s perceptions of an issue or situation. This puts security firms and organizations at risk for reputational damage if footage, legitimate or otherwise, made it look like the security offer was the instigator in an act of violence. 

Finally, as in any state, California has specific rules, regulations and trainings that security officers need to be aware of. Security officers are required to physically witness an accused criminal conduct a misdemeanor before arresting them for said crime, leaving little room for error. There is also risk in not keeping up with such regulations. For instance, AB 229 is currently being debated as it seeks to change training requirements around use of force. If security professionals do not follow rules and regulations or keep up with important changes, they put themselves and their organization in jeopardy of compromising safety that can result in damaging litigation and costly fees and fines by the state. 

Managing the Risks

The risks outlined above can damage a security firm’s reputation and financial situation. They can also compromise staff retention if employee safety is compromised. Here are some tips security firms can take to help mitigate risks involved with aggressive behavior. 

  • Utilize de-escalation training: The most important tool in any security officer’s arsenal is de-escalation training. Experts can counsel security professionals on how to use proper body language, redirect or remove people from a situation, show empathy and more. Security firms should consider having such specialists work with their employees regularly to train new officers and review de-escalation tactics with seasoned officers. 
  • Be strategic about firearm usage: Before arming officers, security firms should discuss the implications of carrying firearms or other weapons. While security officers can carry firearms in California, it is only when they are on the job. If an officer were to use their weapon while off duty the security firm would be at risk for litigation. If arming officers, security firms should thoroughly screen all employees with background checks and psychological evaluations. Organizations should also consider utilizing firearm training, in addition to de-escalation training, to minimize misuse. At Brownyard we strongly counsel our insureds to weigh the benefits and drawbacks of arming employees. 
  • Follow all rules and regulations: As laws and regulations change, it is important to have the proper training and avoid fines and litigation. Joining a state association, like CALSAGA, can help security firms stay current with changes and new rules that result from state legislation. 

There is no guarantee a situation will stay calm, even with proper protocols and de-escalation training. Having insurance coverage is important to protect a business and its employees from litigation and financial fallout. While having coverage is important, having the right coverage can mean the difference between success and ruin. For many insurance companies that don’t specialize in the security industry, a standard general liability policy will have restricted language limiting assault and battery coverage to “reasonable force” while firms that specialize in the security industry will broaden this language to “physical force” and while the difference is subtle it does make a significant difference when de-escalation steps do not work and your firm is faced with an assault and battery claim. 

The past two years have increased tensions among the public and security guards alike. Local officials, business owners and even taxpayers have called for more work by private security, and such firms have been asked to take on new, unique responsibilities. While there is risk involved, these responsibilities can become opportunities for security firms with the right training and insurance protection in place.

 

Tory Brownyard, CPCU, is president of Brownyard Group, an insurance program administrator with specialty programs for select industry groups. In addition to his responsibilities as president, he currently spearheads the Brownguard® security guard insurance program.

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Aley Moyer

The Californian 2022 Q2 – 3 STEPS TO COST-EFFECTIVELY STREAMLINE YOUR SECURITY GUARD MANAGEMENT PROCESS

3 STEPS TO COST-EFFECTIVELY STREAMLINE YOUR SECURITY GUARD MANAGEMENT PROCESS

Tony Unfried, CSA360

Are you looking to improve your security guard management processes? Adding a security management software system is key. With all the options out there, finding a budget-friendly system that effectively manages your team can feel like a daunting task. But there is an option that can easily meet both goals. A customizable security guard software system is a game changer for security teams of all sizes. 

The benefits of implementing a customizable security guard management system are vast. But most importantly, it puts the control in your hands. A customizable system means: 

You can pick and choose which modules you need most. Many security guard management systems require you to buy every tool and feature, which significantly drives up costs. But a customizable system means you can choose which tools, features, and modules are best for your team.

A custom system is budget-friendly. A customizable security software system means you only pay for the modules you want. This makes it much simpler to stay within your budget. 

You can plan for future growth. A customizable system allows your team to grow with the software. The modules you decide are unnecessary today may change in the future. Simply add more modules and tools as your needs change. 

Ready to see how security guard management software can modernize your security management processes? 

Here are 3 Steps to Cost-Effectively Streamline Your Security Management System

Step 1. Decide Which Software Features Are Most Important for Your Security Team

Your security guards need modern, innovative, and user-friendly tools available to help them do their best work. A security software system is the ideal way to do this. Not only does security software reduce challenges for security teams, but the modules and features also improve processes at an affordable cost. 

Some security guard management software features and tools to consider include: 

  • Cloud access. Cloud access eliminates location hassles for your security team. This software feature allows you to log into the software anywhere, from any device. 
  • Technical support. Technical support means a highly-trained technical support person is only a phone call, email, or web ticket away. 
  • Customizable modules. This is a huge perk for cost-conscious security teams. Customizable modules allow you to only pay for the modules, workflows, and documentations tools you want.

Step 2. Customize Your Security Software Solution

Customizing your security guard management system gives you total control over everything in your software, from workforce management to incident reporting. And remember, you can further customize your software to fit your needs as your security team continues to grow. 

Some security software modules to consider include: 

  • Live dashboards and widgets. Interactive live dashboards deliver the real-time information you need, including incident locations and issues, news and weather, guard tour and facility maps, and more. All can be customized and organized for your unique team. 
  • Automatic connection to dispatch. Forget scrambling for a phone or a radio during a security breach. An automatic connection to dispatch gets backup to your guards quickly. 
  • Customizable incident reports. Toss those antiquated reporting templates. Customizable summary and incident reporting streamlines reporting processes and resolves issues quickly. 
  • Guard tour management. GPS locations and mobile QR technology make tracking and monitoring guard tours easy, even with a smaller security guard team. 
  • Txt Commander. Utilizing a unique phone number, this security software module allows clients, guests and staff to text questions and concerns to your security team. 
  • Automated visitor management. With smart check-in capabilities, pre-registration tools, electronic notifications, and facial recognition tools, automated visitor management is a must-have for security teams.  
  • Workforce management with HR commander. Say goodbye to the old way of scheduling. Security guard scheduling software gives managers a clear view of the upcoming schedule, requested PTO, potential overtime, and any staffing gaps. 
  • Digitized forms. This security guard software feature allows you to take standard business forms and digitize them, streamlining filing and communication all in one tool.  

Step 3. Choose the Right Security Software Partner 

There are many different security software options out there. But careful research is needed before making a final decision. The bottom line is that you need a security software partner that can provide an innovative security solution that fits your team and budget. A customized software solution is by far the most affordable option. Choosing what modules and tools you need puts you in control of your team and budget.

 

Tony Unfried, CEO of CSA360, holds a master’s degree in Public Affairs and Criminal Justice from Indiana University, where he graduated with honors. While enrolled in his master’s program, Tony worked for The TJX Companies, Inc., leading the region in loss prevention and moving the company toward technology use in Security. Tony went on to join the most significant security company in Indiana, managing more than 500 employees and 50 sites, including the Indiana Convention Center, Bankers Life Fieldhouse, and Ruoff Home Mortgage Music Center. Seeing a noticeable gap in technology use in the physical security sector, Tony created his first security software application, launched at the Super Bowl in 2012, and recognized twice for Excellence in Mobile Technology by Techpoint. Tony has also spoken on Tech in Physical Security on panels with ASIS and IAVM.

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Aley Moyer

The Californian 2022 Q2 – WORKERS COMPENSATION AUDITS – BE PREPARED!

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WORKERS COMPENSATION AUDITS – BE PREPARED!

Shaun Kelly, Tolman & Wiker, CALSAGA Preferred Broker

Hope everyone is doing well and getting out to enjoy more activities outdoors!

Over the past 6 to 12 months, we have been receiving more calls from employers (PPOs) than ever before regarding Workers Compensation Audits. Their concern is that some auditors are requesting more information than they have in previous years. The reasoning behind the auditor’s request for additional information is the result of Assembly Bill 5 (AB-5). This is the radical change in the definition of Independent Contractor status in California. And, as a result, Workers Compensation auditors are requesting additional information to obtain verification that employers are classifying their workers correctly and collecting the appropriate premiums.

AB-5 implemented the ABC Test and put the responsibility on the employers to determine the status of their workers. In order to hire and classify a worker as an independent contractor, the employer must demonstrate that all 3 of the independent contractor requirements are satisfied. These 3 requirements include the following:

  1. The worker is free from control and direction in the performance of services; and
  2. The worker is performing work outside of the usual course of the business of the hiring company; and
  3. The worker is customarily engaged in an independently established trade, occupation, or business.

Even before the implementation of AB-5, a Guard carded security worker is not allowed to work as an independent contractor.

Workers Compensation auditors are now requesting financials in conjunction with the usual 941 quarterly payroll reports and other documents to determine if payments have been made to independent contractors. Per the terms and conditions of the Workers Compensation policy, audits are mandatory and in Part 5 G-Audits; auditors are able to request the following: “You (policyholder) will let us examine and audit your records that relate to this policy. These records include ledgers, journals, registers, vouchers, contracts, tax reports, payroll and disbursement records, and programs for storing and retrieving data. We may conduct the audits during business regular business hours during the policy period and within three years after the policy period ends. Information developed by audit will be used to determine final premium. Insurance rate service organizations have the same rights we have under this provision.” 

Since AB-5 was signed into law in 2019, Workers Compensation policies expiring in 2021 and going forward are being affected by the new legislation.

Please be prepared to address the request from the auditors and provide the following documents:

  • Workers Compensation reports and/or Payroll Journals and/or Payroll Summaries
  • Federal (941) and State (SUI) quarterly tax returns that correspond with your policy period
  • List of Executive Officers, Owners or Partners (Ownership %, Amount Paid, Job Duties and Titles)
  • List of employees that have been reported in Clerical (8810) and/or Outside Sales (8742)
  • Access to General Ledger and Cash Disbursements Records
  • For any subcontract, please have certificates of insurance available for review along with the amount paid and their job duties*

*It is very important to request insurance certificates from all subcontractors that you hire, or the cost of the subcontractors you hire will be included in your final premium calculation.

Auditors are being required to request this information. Hopefully now you will have a better understanding of why it is being requested.

Thanks and take care.

Shaun Kelly joined Tolman & Wiker Insurance Services in 2005.  He specializes in all lines of property and casualty insurance for industries including contract security firms, agriculture, construction, oil and gas. Shaun received a BS in Business Administration with a major in Finance from California State University in Fresno, California. He is an active member of several industry associations, including the Association CALSAGA, the Kern County Builders Exchange and the Independent Insurance Agents of Kern County. Shaun can be reached at 661-616-4700 or skelly@tolmanandwiker.com.

 

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Kate

The Californian 2022 Q1 – WOMEN, SECURITY AND COVID-19

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WOMEN, SECURITY AND COVID-19

Ashlee Cervantes, Guard Protection Force & CALSAGA Board Member

 

How recently have you reviewed your internal Security Officer statistics? Do you know the percentage of women versus men on your team? Now you may be thinking,

“Why does it matter? I hire the most qualified person for the job.”

I wholeheartedly agree with this perspective, I also know that numbers never lie. There’s an entire story they represent and if we listen there’s much to be learned from the stories these numbers can reveal.

 

As a security professional I am sure you’re already aware of the inherit value women bring to your workforce. Nonetheless, here are just a few of the critical components that highlight the essential need for a multicultural and diverse workforce now more than ever:

  1. According to Security Magazine, security is one of the fastest-growing professional careers worldwide. Not that I need to tell you this – just speak with your sales and recruitment teams. When you strategize to target and retain female talent you open doors to exacerbate talent growth.
  2. The issues our clients are facing have evolved over the past 20 years and now require a collaborative, diverse team to address these (literal) life and death problems. Research continues to indicate the more diverse your team – the better the results. Women strategize and think differently than our male counterparts. We tend to naturally leverage empathy, effective communication and emotional intelligence to problem solve and effectively mitigate difficult situations.
  3. Lastly, when it comes to boots on the ground operations we’ve all heard women are simply better shooters than men. Now, I am using this idea to be facetious but there is a relevant point to deliver here: women have much to bring to the table from an operational perspective as well. One theory explains, “that yes, women are better shooters, and [this] theory is that it’s because women listen to their instructors instead of trying to one-up them” Tactically women have many qualities, especially those highlighted by this point, we are keen listeners and observationists.

 

Now we’ve covered at least a few of the critical components as to why you need women on your security team. So go ahead and review your own internal statistics and let’s talk about what you find …

Scenario I: Perhaps you found that your internal statistics reflect those of the industry nationally: 25% of security officers in the US are women . While this scenario means your company stacks up positively against the national numbers, we’ll still want to revisit how as an industry we can grow those numbers in general.

Scenario II: Let’s explore another possibility. What if you review your employee statistics and find that you are at or even exceed 25% of women in your workforce, but only when you include administrative staff. While this isn’t bad news, I’d caution you against celebrating your diverse workforce just yet.

By design administrative teams are critically different than our security officer roles. And remember, the national statistic indicates that 25% of all security officers are women, so that’s what we want to measure ourselves against.

Scenario III: Let’s explore a final possibility. what if you fall short of the national average? In this scenario you review your internal security officer profiles and come to find that your organization currently employ less than 25% women in the field.

 

First things first; don’t panic.

A great place to start is to reflect on your company history. If 2022 reflects less than 25% of your security officers are women, what did 2021 look like? And 2020? Even more importantly, what about 2018 & 2019? Here is why this is critical information: we know that COVID-19 has critically impacted women in the workplace across industries).

In this scenario the goal will be to understand where those women went across the span of the last three years. Your internal exit interviews are a great place to start. Your exit interviews should give you insight into why former employees have left and where they went. Digging into those details will help you understand how to better accommodate and attract women to your workforce going forward, and particularly in a COVID world.

In closing, we’ve addressed the critical components a diverse workforce bring to your organization, clients and our industry as a whole. Then we analyzed why you need to know your own numbers and understand where you fall. I outlined three scenarios and possibilities to frame those numbers, but know that it is okay if you don’t fit in a particular box.

There is much work to be done, but awareness of the critical value women bring to the security industry is the very first step.

Ashlee Cervantes holds her Masters in Business Administration from University of California, Davis. She is a seasoned security professional, with over a decade of management experience overseeing teams who specialize in Armed Security and Executive Protection. She is based in Northern California where she serves as the Executive Director of Operations with Guardian Protection Force Inc (GPF). Since 2019 she has served as the Northern California Director of CALSAGA. In her time in the industry Ashlee has grown both teams of security professionals, management and revenues four-fold. 

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Kate

The Californian 2022 Q1 – 5 BENEFITS OF UTILIZING SECURITY OPERATIONS MANAGEMENT SOFTWARE

5 BENEFITS OF UTILIZING SECURITY OPERATIONS MANAGEMENT SOFTWARE

Tony Unfried, CSA360

As the physical security industry continues to evolve, so too has the software being utilized by security companies and their teams. The need for high performance, cost-effective, unified software solutions that help ensure a safe and secure environment has grown dramatically over the last decade.

Benefits of Utilizing Security Operations Management Software for Your Security Company

Regardless of the size or type of security team you manage, implementing security operations management software can alleviate many of the challenges you face today. This will allow you to enhance security risk management and add to the integrity of the overall security plan for your clients.

Let’s take a look at some of the top benefits of utilizing security operations management software to improve your processes and procedures.

  1. Manage Risks Associated with Staffing Gaps

Experiencing staffing gaps is a major challenge in the security industry today, with security companies struggling to achieve optimal staffing. By implementing security management software, you will have the tools needed to address these staffing gaps and manage the guards you have more efficiently.

We know that you are focused on hiring, but your client’s risks don’t stop while you are recruiting new guards. The right software will have features and modules that enhance processes like scheduling and remote monitoring, allowing you to continue managing these risks with a smaller staff.

  1. Increasing Workforce Accountability

Increasing workforce accountability can add a range of benefits to your security company. Having a system that makes tracking accountability seamless is crucial in achieving this accountability.

Software that has digital reporting capabilities will allow your guards to submit accurate and complete documentation and allow you to determine who is producing inaccurate reports. With quick access to documentation, like incident reports and daily activity reports, you will decrease the time it takes to address issues with your guards. Having this level of accountability will enhance the effectiveness of your security team and increase client satisfaction.

  1. Mitigate Risk and Legal Liability with Proactive Security Procedures

Mitigating risk and legal liability is best served by implementing proactive security procedures. These procedures allow you to detect risks before they happen and reduce the impact they have on your clients. You don’t need your staff waiting on an alarm to tell them there is trouble, when they could eliminate it from the start.

The key to this proactive approach is knowledge through data —and the more pieces of data gathered, the greater the likelihood of recognizing vulnerabilities and enhancing your proactive security services. Providing that robust data is a key feature of any good security operations management system.

  1. Simplify Guard Tour Management

Effective security operations management software will feature a guard tour system to help you organize, log and execute guard tours. This feature allows you to simplify your touring processes and make tracking accountability seamless – ensuring that guard tours are completed effectively and efficiently, within the pre-defined time intervals.

The days of scattershot paper reports are gone. An effective guard tour system files a tour report with a simple tap of a smartphone or other mobile device, sending the information straight to your command center. Whether you’re establishing a new guard tour plan or updating an existing one, having this accurate information quickly is invaluable to your team.

A bonus benefit for your security company is that software allows your guards to be freed from tedious data entry. This gives them more time to focus on the more significant aspects of their role

  1. Provide Comprehensive Data Analytics and Reporting

Analytics play such a crucial role in an effective security management system. Having a solid data infrastructure in place helps your company increase awareness, enhance communication, provide accurate documentation, and make data-driven proactive decisions.

Security software that features an incident management solution provides all of the above. The analytics provided present a clear understanding of the ways in which you can improve your operation by having instant access to all incident report data. This real time incident report data leads to better solutions and faster response. When looking for your software solution, be sure to choose a system that can cover all of your needs.

Tony Unfried, CEO of CSA360, holds a master’s degree in Public Affairs and Criminal Justice from Indiana University, where he graduated with honors. While enrolled in his master’s program, Tony worked for The TJX Companies, Inc., leading the region in loss prevention and moving the company toward technology use in Security. Tony went on to join the most significant security company in Indiana, managing more than 500 employees and 50 sites, including the Indiana Convention Center, Bankers Life Fieldhouse, and Ruoff Home Mortgage Music Center. Seeing a noticeable gap in technology use in the physical security sector, Tony created his first security software application, launched at the Super Bowl in 2012, and recognized twice for Excellence in Mobile Technology by Techpoint. Tony has also spoken on Tech in Physical Security on panels with ASIS and IAVM.

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Kate

The Californian 2022 Q1 -SCOTUS TO DECIDE THE FATE OF PAGA WAIVERS IN ARBITRATION AGREEMENTS IN CALIFORNIA

SCOTUS TO DECIDE THE FATE OF PAGA WAIVERS IN ARBITRATION AGREEMENTS IN CALIFORNIA

Martin P. Vigodnier, Esq. and Jaimee K. Wellerstein, Esq. Bradley, Gmelich & Wellerstein, CALSAGA Legal Advisor

In what could be a seminal ruling for California employers in the fight over out-of-control wage and hour litigation, the Supreme Court of the United States (“SCOTUS”) has recently granted certiorari in Viking River Cruise, Inc., v. Moriana to decide whether federal law permits employers and employees to agree to arbitrate claims individually and waive not just class and representative claims, but California Private Attorneys General Act (“PAGA”) claims, too.

PAGA Refresher

As a brief refresher, PAGA authorizes aggrieved employees to file lawsuits to recover civil penalties on behalf of themselves, other employees, and the State of California for Labor Code violations. Employees act as “private attorneys general.” Employees can pursue civil penalties as if they were a state agency. Each initial Labor Code violation carries a civil penalty of $100 per employee, per pay period. Subsequent violations are $200 per employee, per pay period. 75% of the penalties go to the State, and 25% of the penalties go to the aggrieved employees. These penalties add up very quickly and employers can face hundreds of thousands or even millions in penalties for technical errors or other unintentional violations!

 

Background of PAGA Waivers

In 2014, in Iskanian v. CLS Transp. Los Angeles, LLC, 59 Cal.4th 348 (2014), the California Supreme Court held that waivers of employees’ right to pursue PAGA actions are unenforceable as they violate California public policy. The California Supreme Court also stated that the FAA does not preempt California state law prohibiting PAGA waivers because a PAGA dispute is between the State and the employee, rather than between the employer and the employee.

 

Viking River Cruise, Inc. v. Moriana

In Viking River Cruise, Inc., v. Moriana, the plaintiff worked for Viking River as a sales representative. She sued under PAGA, alleging the employer violated several wage and hour laws under the California Labor Code. Viking River moved to compel arbitration in California state court. The trial court denied the company’s motion to compel and the Court of Appeal affirmed. The California Supreme Court denied Viking River’s petition for review.

Viking River petitioned for certiorari to the United States Supreme Court, arguing that the Supreme Court’s decisions in AT&T Mobility LLC v. Concepcion, 563 U.S. 333 (2011), and Epic Systems Corp. v. Lewis, 138 S.Ct. 612 (2018) support the conclusion that the FAA preempts California law, and requires enforcement of arbitration agreements in PAGA actions. In those cases, the Supreme Court held that bilateral arbitration agreements must be enforced, including terms that prohibit class or collective arbitrations.

 

Employer Takeaway:

It is unclear why SCOTUS granted review at this time, but a favorable ruling would be monumental. In short, if SCOTUS rules in favor of Viking River, employers could expand waivers in employment arbitration agreements to include waiver of class and PAGA claims. A decision is expected from SCOTUS in the summer of 2022. Employers are therefore advised to consult with their employment counsel and consider updating their arbitration agreements, as necessary.

If you have questions about the impact this case will have on your business, or have any employment-related questions, please contact the attorneys at Bradley, Gmelich & Wellerstein LLP. We’re here to help.

 

Martin P. Vigodnier, Esq. is a Senior Associate in Bradley, Gmelich & Wellerstein LLP’s Employment Law Department. Martin focuses his practice on labor and employment litigation, class actions, and Private Attorney General Act (PAGA) actions, including wage and hour claims, discrimination, leaves of absence, reasonable accommodation, defamation, trade secrets, retaliation, harassment, wrongful termination, breach of contract, and fraud. Martin also drafts, in both English and Spanish, contracts, regulatory compliance materials, agreements, and policies such as anti-harassment, discrimination, and retaliation policies, OSHA safety policies, employee reimbursement policies, employee stock purchase plans, independent contractor agreements, arbitration agreements, settlement agreements, cross-purchase buy sell agreements, and employee handbooks.

Prior to joining the firm, Martin was President and Founder of his solo law practice handling various employment matters. Prior to practicing law, he was an extern for the Equal Employment Opportunity Commission (EEOC) and awarded the prestigious Peggy Browning Fellowship to work for the Federal Labor Relations Authority (FLRA), assisting the Office of General Counsel analyze unfair labor practice charges against government agencies.

Martin is a native Spanish speaker and writer, and a former amateur boxer.
mvigodnier@bgwlawyers.com

Jaimee K. Wellerstein, Esq. is a Partner at Bradley, Gmelich & Wellerstein LLP, and the Head of the firm’s Employment Department. Jaimee concentrates her practice in representing employers in all aspects of employment law, including defense of wage and hour class actions, PAGA claims, discrimination, retaliation, harassment, wrongful discharge, misclassification, and other employment related lawsuits. She also provides employment counseling and training in all of these areas.

Jaimee routinely represents employers in federal and state courts and in arbitration proceedings throughout the state, as well as at administrative proceedings before the Equal Employment Opportunity Commission, the California Department of Labor Standards Enforcement, the United States Department of Labor, and other federal and state agencies.

Jaimee assists as a Legal Advisor to CALSAGA, and is a member of ASIS International. She is rated AV-Preeminent by Martindale-Hubbell, the highest peer rating available. jwellerstein@bgwlawyers.com

 

About Bradley, Gmelich & Wellerstein LLP

Founded in 2000, Bradley, Gmelich & Wellerstein, LLP is dedicated to providing sound advice and exceptional results for our clients. Our twenty-five plus skilled, dedicated and diverse attorneys represent individuals and businesses of all sizes in a wide variety of business, employment law and litigation matters.
Our firm is very pleased to announce the promotion of Jaimee K. Wellerstein as a named equity partner and our name change to Bradley, Gmelich & Wellerstein, LLP. Jaimee will continue to serve as Employment Law Team Head and work with us to shape the future of the firm. Please note our updated email addresses and website URL in your records!

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Kate

The Californian 2022 Q1 – GENERAL LIABILITY INSURANCE – ARE YOU COVERED?

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GENERAL LIABILITY INSURANCE – ARE YOU COVERED?

Shaun Kelly, Tolman & Wiker, CALSAGA Preferred Broker

Happy New Year and hope everyone is doing well!

Over time, insurance carriers experience losses or events that make them reconsider providing coverage for certain types of exposures under the Commercial General Liability policy. It is important to note that as each insurance carrier evaluates these exposures, they develop their own underwriting guidelines and can or will modify the terms and conditions in their own policies to minimize risk. It is likely that most of you have not read through your entire policy to understand the coverage terms and conditions, unless you have insomnia and have nothing better to do. To assist you in understanding the Commercial General Liability coverage for contract security services, here is the short version of what to look for, “Exclusions”. 

Commercial General Liability (CGL) policies are intended to provide coverage to the Named Insured for their negligence (resulting from the services provided) for bodily injury, property damage, personal & advertising injury to a 3rd party. Most insurance carriers use a standard ISO CGL form and attach endorsements and exclusions to add, remove or limit coverage. We are not going to go through the entire CGL policy, however we are going to discuss some of the exclusions that may be on your CGL policy that you need to be aware of. 

The following “Exclusions” may be part of your CGL policy (Some exclusions may be added back with underwriting approval and additional premium):

  • Terrorism
  • Pollution
  • Communicable Disease
  • Personal and Confidential Information Disclosure (Cyber liability)
  • Employment Practices Liability
  • Employers Liability (Part of Workers Compensation policy)
  • Abuse and Molestation
  • Firearms
  • Unmanned Aircraft
  • Animal exclusion
  • Mobile Equipment (ie. Golf carts, scooters, segways…any vehicle licensed for the public road should be on an auto policy)
  • Cannabis Operations
  • Public/Low Income Housing
  • Airports
  • Crowd Control/Concert Facilities/Sporting Events
  • Liquor Establishments: bars, hotel bars, nightclubs, lounges…
  • Bodyguards: High Profile Individuals/Entertainers/Athletes…
  • Baggage checking
  • Inside Retail/Loss Prevention
  • Convenience Stores
  • Fast Food Restaurants
  • Schools

 

These “Exclusions” may not apply to all policies and your policy may have other exclusions not listed above. If you are providing security services that involves any of the above, please review your policy.

At the end of the day, including all of your operations (client exposures) in your application for Commercial General Liability coverage is critical to obtaining the proper coverage. Policies can be modified to include some of the high risk exposures and remove exclusions, with approval from the insurance carrier. In regards to some of the extremely high risk exposures (for example, Crowd Control/Concerts/Sporting Events, Low Income Housing, Liquor Establishments, Inside Retail/Loss Prevention, High Profile Individuals/Entertainers/Athletes…) that the standard insurance carriers will not accept, specialty insurance carriers are available.

Take care and be safe.

Shaun Kelly joined Tolman & Wiker Insurance Services in 2005.  He specializes in all lines of property and casualty insurance for industries including contract security firms, agriculture, construction, oil and gas. Shaun received a BS in Business Administration with a major in Finance from California State University in Fresno, California. He is an active member of several industry associations, including the Association CALSAGA, the Kern County Builders Exchange and the Independent Insurance Agents of Kern County. Shaun can be reached at 661-616-4700 or skelly@tolmanandwiker.com.

 

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Aley Moyer

The Californian 2022 Q1 – RETAINING EMPLOYEES IN THE AGE OF EARNED WAGE ACCESS

RETAINING EMPLOYEES IN THE AGE OF EARNED WAGE ACCESS

Jeff Davis,  TEAM Software, Network Partner

Let’s set the stage: it’s 2022. The labor market is still volatile. The number of unemployed persons per job opening is at a record low. We’re hearing leaders in the industry express frustrations about meeting service demands while battling staffing shortages. Retention is (or should be) a key metric in the longevity of your hiring strategies. 

Enter: the age of earned wage access. 

Earned wage access programs are when employers give employees access to their earned wages, even if that request comes before a regular payday. This on-demand pay model is changing the payroll landscape, where alternatives could be pushing your employees to salary lenders (and the accompanying interest) when short-term cash flow needs arise. As an employer, you could be offering a similar source of cash flow and reap the benefit of increased officer retention. 

Before we dive too deeply into the top, let me say this: early wage access programs shouldn’t add processes (or associated costs) to your existing payroll procedures. Most financial wellness programs are built so all the extra work associated with getting your employees’ earned wages to them early happens outside of your current processes. 

How? Typically, an employee pays a small fee to access earned pay on demand. They can do this down to the day, with balances updating after each shift worked. When the program includes a paycheck advance app, employees can gain access to funds even faster, no matter where they are. 

If you’re weighing the pros and cons of implementing an on-demand pay model into your business, consider these study-proven benefits: 

  1. Companies have seen reductions in turnover as high as 90%.
  2. Companies experience decreases in hiring costs related to turnover (a number that has been reported to averaging at least $4,000 per hire). 
  3. Companies have seen increased interest from job applicants. (Plus, consider this: as an early adopter to on-demand pay programs, your job postings have one more way of standing apart from the competition and their benefits packages.)
  4. Employees have reported decreases in finance-related stress (improving employee experience and financial well-being, and productivity on the ops side of your business).

In short, an early paycheck program could be just what you need to strengthen your employee retention strategy and keep your contracts staffed. 

If this is an avenue you’re interested in exploring, start by evaluating the interest of early paycheck access within your workforce. And, know not all programs are created equal. At TEAM, we partner with different providers regionally to make earned wage access even easier, but it’s important to talk to your own legal team to ensure the providers you’re partnering with are adhering to all necessary wage laws and compliance requirements. No financial risk should fall to your company. 

Once you’ve got a system up and rolling, measure metrics like employee satisfaction, retention and turnover. Gauge any new applicant volume and adjust accordingly. As you do, don’t forget about your other hiring and retention strategies to hire (and keep) your staff. 

 

Jeff Davis was president of Kwantek, a recruiting and onboarding software provider acquired by TEAM Software, the leading provider of integrated financial, operations and workforce management software for cleaning and security contractors, in 2020. Since joining TEAM, Jeff is the VP of Strategic Growth North America, acting as a subject matter expert and thought leader for TEAM in the security and cleaning industries and assisting with global sales and marketing initiatives. For the last 20 years, Jeff has focused on technology, working in sales and marketing to executive leadership, with four years specializing in human resources technology. He has an MBA focusing on Information Systems from Tennessee Tech and a Bachelor’s degree in Marketing from the University of Louisville.

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Aley Moyer

The Californian 2022 Q1 – USING SMART SCHEDULING IN YOUR JOB COSTING STRATEGY

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USING SMART SCHEDULING IN YOUR JOB COSTING STRATEGY

Gail Tutt, TEAM Software Business Consultant, Network Partner

Moving into the new year, it’s important to look at how you can strengthen your profit margins. Especially when other market factors (like ongoing labor and supply shortages) are carrying over into 2022. One tactic you can consider? Use scheduling, particularly smart scheduling, as a part of your job costing toolkit.

What’s smart scheduling?

In short, smart scheduling is a system that does the heavy lifting for you when it comes to your officer schedules. This means factoring in your contract needs against your available officers, so you can make data-backed decisions when posting officers to jobs based on criteria like qualifications or pay rate. 

One simple way to keep jobs profitable is to deploy smart scheduling early in the process. When scheduling, include a parameter search for available guards that fit within a job’s contract bill rate. That way, you know officers on shift are within the scope of what’s budgeted per job. (If you skip this step, wage creep could get ahead of you, and it can show in your expenses.) 

If this isn’t something you’re used to doing, start by using smart scheduling reports in your enterprise workforce management solution to examine your labor margin direct labor (DL) percentages. If you know a particular job should be performing at a DL of 60%, you can compare it against your actual percentages to see if a job’s material costs are performing higher or lower than budgeted. If it is higher, drill down into the report to identify the problem. Chances are, if there’s a problem with one job going over DL, it’s a problem across your business. Is a manager scheduling officers without factoring in pay scale? Are you scheduling officers for a shift when a different job is needing their certifications? Is wage creep pushing you over budget? 

If your job’s DL is lower than benchmarks, you can still dig into the data and see what processes you can repeat on other jobs. From there, it’s only a matter of adjusting and measuring outcomes. 

At TEAM, we recommend reviewing your DL percentages with regularity. Assuming schedules are updated daily, a good rule of thumb is to review at least weekly. That way, you can catch budget deviation before it comes a larger issue. 

Flexible scheduling to support smart scheduling. 

While software solutions can help automate your scheduling needs with smart scheduling, they improve scheduling in other ways, too.

Think of scheduling as a larger job costing strategy. Self-scheduling through a feature like a mobile job board can improve employee engagement. In turn, this can improve retention and even reduce high-cost activities like overtime.


Where smart scheduling helps identify officers who are the right fit for a given shift, self-scheduling helps empower officers to offer their shifts to others without needing to involve a scheduler or supervisor. Others can then pick up the open extra work, keeping shifts filled without needing to go back-and-forth with a manager.

Don’t forget to factor in compliance. If your scheduling solution allows it (and believe me, it should) configure criteria on your self-scheduling job board so only qualified employees can fill certain shifts. This helps support job costing by keeping direct labor expenses reasonable per job. 

Scheduling for profits — and retention.

Here’s a crazy idea: instead of filling gaps, consider creating them. I know — crazy — but hear me out.

Expand your current, labor-intensive scheduling processes to include self-scheduling. This reduces some of the manual work demands of your managerial staff and engages your officers to have a say in their own schedules.

I’ve heard of some security companies piloting scheduling programs that strategically leave a small percentage of the global work schedule unfilled. By hiring a portion of your workforce in a self-scheduling-only capacity, you can have a subset of officers set their own schedules by filling open shifts. This approaches the smart scheduling, and retention, strategy from a whole new angle.

For example, let’s examine an officer who’s decided to leave your company. They could be leaving to work a different job, but still be hoping to make some extra cash on the side. In the pilot program described above, that officer could choose to stay an active employee within the self-scheduling program, picking and choosing shifts that fit around their new work schedule.

Pros:

  • Your company doesn’t lose out on any investment you’ve put into their hiring.
  • The officer has a flexible avenue to earn extra money by choosing jobs from your available contracts.
  • If the officer ever chooses to return to working for you full-time, their employee records are still on file. This streamlines your rehire process and cuts out added hiring expenses.

 

Gail has spent over 35 years in the private sector as a senior level finance and operations manager across multiple industry. Most recently CFO of a regional security company in San Jose, CA, Gail now works providing invaluable insight and expertise as a business consultant with TEAM Software.  Her hobbies include breeding and showing standard wirehair dachshunds, hiking and spending time with her family.

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