Trump’s Age of Uncertainty: Changes on the Horizon for HR?
With President Trump now in office, there’s been unsettling noise about which policies he wants to eliminate and what he intends to put into place. HR professionals are particularly struck with curiosity of the possible changes of what’s to come.
The first predictions with immediate impact to your HR department could be:
- Repeal the Affordable Care Act (ACA) / “Obamacare”
- Push for nationwide E-Verify
- H1-B Visa Process Changes
1. Repeal the Affordable Care Act (ACA) / “Obamacare”
President Trump has promised to deliver a more robust healthcare plan at a lower cost – allowing every American to have access to healthcare. He believes that the current ACA is too costly with “horrible plans”. Though, there is no solid word of a replacement plan to be put into place, it is still a hot topic for HR folks to have on their radar.
How will repealing the ACA impact HR?
Offering rich health care plans is a high priority for most employers looking to hire and retain best-in-class talent. We are not sure about what is going to come out of the ACA debate, but what HR gurus do know is the ACA has now been in effect for six years.
“SHRM has long advocated that employer-sponsored health benefits are critical to recruiting and retaining a talented workforce,” Said Chatrane Birbal, Society for Human Resource Management (SHRM) senior advisor for government relations, “So any health care reform legislation must support employer flexibility and innovative strategies and preserve the favorable tax treatment of employer-sponsored coverage.”
2. Push for Nationwide E-Verify
E-Verify is a federal system that allows employers to determine whether new hires have a legal right to work in the U.S. Trump supports nationwide use of the employment eligibility verification system. This means all employers across the nation (regardless if they are federal) would need to comply to using E-Verify.
How will the push for nationwide E-Verify impact HR?
E-Verify is free for employers to use and every employer may soon have to use E-Verify to check the legal status of their employees. It might be a good time for HR departments to start examining their hiring and interview practices and policies. This includes employment verification protocols, so that they are mindful that the Department of Justice will be observing the recruiting process all the way through to onboarding new hires.
3. H1-B Visa Process Changes
Trump’s administration has drafted an executive order aimed at overhauling the H1-B work-visa programs. At time of writing, 120 tech companies have condemned Trump’s order and are stepping up the their legal opposition to the policy.
How will the H1-B visa changes impact HR?
If Trump is successful in implementing this reform, American companies who have a high dependency for H1-B visas such as Google, Amazon.com, and Facebook would have to try to hire American citizens first.
“Our country’s immigration policies should be designed and implemented to serve, first and foremost, the U.S. national interest,” the draft proposal reads, according to a copy reviewed by Bloomberg. “Visa programs for foreign workers … should be administered in a manner that protects the civil rights of American workers and current lawful residents, and that prioritizes the protection of American workers — our forgotten working people — and the jobs they hold.” – Peter Elstrom and Saritha Rai, Bloomberg Technology
With all the new policies that Trump is exploring, there might be an unsettling cloud causing worry, stress and disruption in your workforce. Change is never easy and it is unnerving. It’s important for employees to have an opportunity to openly ask questions and voice concerns. Equally important is for managers and the transition teams to build trust, honesty, and address those immediate concerns.
For guidance regarding change management, engagement and motivation, workforce planning or conduct a thorough review of your HR practices, the Pendolino Group is here to support you and your team. Reach out to us at: 1-(888) 726-1414 or firstname.lastname@example.org to explore more.