Good news for a change! The productivity of the US workforce in Q3, 2007 rose at the strongest pace in four years. The Department of Labor reported that hourly output per worker increased at a 4.9% annual rate, more than double the 2.2% figure reported for Q2, 2007. Many economists see this as a signal of economic growth.
The recent case involving a staffing company being sued by the state of California highlights an important issue for both staffing companies and employers. The firm was accused of exploiting a loop hole in state labor law to avoid having to pay Workers’ Compensation insurance. Attorney General Jerry Brown called this another example of “the underground economy.”
The ‘undergound economy’ doesn’t just relate to not paying Workers’ Compensation insurance. It involves hiring workers who don’t have the legal right to work in the United States. It also includes avoiding minimum worker and workplace safety requirements.
Rainmaker Staffing is proud of our stance on these issues. We undertake an 11-step screening process that ensures we only hire legal workers. We demand safe working conditions for our employees and have even achieved Workers’ Compensation and Risk Certification (WRC, pronounced “work”), recognition of our ability to operate at the highest levels in regards to safety and risk management.
This underground economy drives down wages, creates harsh working conditions, and undercuts legitimate businesses. Rainmaker Staffing refuses to be part of it.
More than one million Californian’s were looking for work in September, according to government figures recently released. That’s the first time the one million mark has been breached in almost three years. The unemployment rate for the state rose to 5.6% from 5.5% in August.
The recent incident involving a stolen laptop containing the personal data of 159,000 Administaff employees has highlighted the growing concerns about data security. The potentially compromised information included names, addresses and Social Security numbers.
Stolen employer records are the No. 1 source of identity theft, according to TransUnion Credit Bureau. Rainmaker Staffing utilizes a range of precautions to secure the records of our employees, including:
Written privacy policy to safeguard employee data
Training on identity theft prevention (covers personnel files, benefits data, payroll and tax records)
Use of basic precautions (e.g., storing personnel files in locked cabinets)
Electronic data stored on server (not laptop!)
Data protected by permission-based system, firewalls & other security measures
Background screening for new employees