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A great deal of concern and confusion has arisen around Assembly Bill (“AB”) 5, California’s revised standard for determining whether a worker is an independent contractor or should be classified as an employee. The law which took effect on January 1, 2020, and adopts the ABC test for determining whether a worker is an independent contractor or an employee. While the ABC test strictest standard, it does not make all independent contractors employees of a flooring retailer or commercial contractor.

AB 5 Not All That New.

As we start 2020, we have an amazing opportunity to clearly see our future. Did you see what I did there - with the “20/20” and “clearly see”? You will likely hear a lot of that as we enter the new year. For many of us during our early years, 20/20 was a term used to define perfect vision. This play on words could get old fast, or it could serve as a catalyst for us to get started on a more fulfilling life.

Now is the time to address any desired change in your life. In just over a month, we will approach the day when more change is attempted than at any other time of the year - the time of New Years Resolutions. Research tells us that within three weeks, most changes that were attempted on January 1st will have already been aborted with people migrating back to the way they were before.

As a flooring retailer, you handle credit card transactions every day. You swipe or insert the card into the credit card reader or terminal and receive authorization from the card processor. In some sales, the customer may call after visiting your store to buy the flooring. The customer will give you credit card information for the purchase. You may also make online sales. In these transactions, you gather the required information, submit it to the credit card company, and again receive authorization.

This is my final segment on encounters/relationships that have impacted me. I hope you have enjoyed these and have been challenged by them.

Let me frame this blog by saying that I have been blessed to meet and interact with people from all walks of life—from John Quinn, a talented and personable tufting machine operator with whom I worked with in 1988 during my early days in the Shaw sales training program, to Warren Buffet, who I was privileged to interview several times in order to glean his wisdom and share it with the members of the Shaw Flooring Network. As a frequent traveler who has logged over two million miles on one airline, I am sure I have forgotten more of these encounters than I remember.

Fear is debilitating, yet most of us struggle with it at various points in our life. Even CEOs, managers, and leaders are not exempt. I once heard that “98% of the things we worry about never happen." Of course I have also heard that 74.6% of all statistics are made up on the spot to justify our position, so I am not sure how accurate that statistic is. I can assure you that in my own life, I have found it to be very much on the mark. Though fear can be a motivator, more often than not it controls us, binds us, and holds us back.

It has been a busy few weeks, requiring your warehouse employees to work overtime. Given the demand, the warehouse employees were also paid a production bonus based on the amount of flooring processed. To calculate the wages owed for those extra hours of work, your payroll office took each employee’s hourly rate and multiplied it by 1 and a half and paid the overtime rate for the extra hours worked. Seems simple enough. But did you include the performance bonuses? If not, you underpaid these employees.

It’s that time of year again – the time of year when we make resolutions to change our lives, relationships, and leadership for the better. Unfortunately, this time is often followed by the annual failure known as the “breaking of the resolution”. This yearly “rite of passage” likely causes you to ask a couple of very important questions:

Are New Years’ Resolutions really important?

If so, how can I break the trend and create change that lasts?

Minimum wage will increase in 19 states and 21 cities and counties on January 1, with many reaching $15 an hour. Twenty-one additional jurisdictions will raise pay later in the year. Obviously, an increase in the minimum wage will impact the pay for most employees paid the minimum wage. Just because a retailer pays more than minimum wage, however, does not mean it can ignore these increases.