HR News & Trends: July Week 3

HR News & Trends: July Week 3

HR News & Trends: July Week 3

1. Laws

i. Warren and Democrats to Reverse the Chevron Deference

Democratic senators, led by Senator Elizabeth Warren, plan to introduce legislation to counteract a recent Supreme Court ruling restricting federal agencies’ ability to interpret laws when issuing regulations.

The Supreme Court’s recent decision to overturn the Chevron deference is already impacting labour and employment policies. This change shifts the power to interpret laws from federal agencies to judges. As a result, HR professionals can expect increased challenges to agency rules. For instance, the DOL’s rule on overtime pay for white-collar workers was temporarily blocked shortly after the Chevron decision. Future regulations, including those under the Fair Labour Standards Act and the Pregnant Workers Fairness Act, will likely face similar scrutiny.

Warren’s bill, supported by several Democratic senators and Senator Bernie Sanders, aims to restore the previous “Chevron deference” standard, which gave agencies flexibility in interpreting ambiguous laws.

The proposed legislation, called the Stop Corporate Capture Act, seeks to enhance agency rule-making power and streamline the regulatory process, ensuring corporate interests do not override congressional and expert agency judgments. Despite this initiative, its passage is uncertain due to Republican control of the House and general support for the Supreme Court’s decision among Republicans.

Read the full article about the Stop Corporate Capture Act.

Read the full article about the Chevron deference.

 

ii. EHRC: Women-Only Jobs Can Be Restricted to Biological Females Only

Britain’s Equality and Human Rights Commission (EHRC) has issued new guidelines stating that women-only job advertisements cannot include men who self-identify as women unless they have obtained a Gender Recognition Certificate (GRC). This guidance clarifies that employers can specify female-only applicants for certain roles if it is justified by a legitimate aim, such as protecting privacy and dignity in female changing rooms. The EHRC has emphasised that this is in line with the Equality Act, which allows for occupational requirements that can exclude transgender individuals if objectively justified. The guidelines aim to address and correct misapplications of these exceptions and warn employers of potential legal action if they do not comply. Women’s rights groups have welcomed the guidelines but also call for further amendments to the Equality Act to define sex strictly as biological sex, thereby excluding transgender women from female-only spaces, even if they have a GRC.

Read the full article about EHR’s revised guidance on women-only jobs.

 

2. Market

i. Malaysia Launches Second Expatriate Satellite Centre

The Immigration Department of Malaysia, in collaboration with Talent Corporation Malaysia, has opened a second Expatriate Satellite Centre (ESC) at Kuala Lumpur International Airport (KLIA) Terminal 2. The move follows the success of the first centre at Terminal 1. These centres streamline the immigration process by issuing Employment Passes, Professional Visit Passes, Dependant Passes, and Residence Pass-Talent immediately upon arrival. This initiative aims to attract high-skilled talent and investors, enhancing Malaysia’s economic growth and job opportunities. The new centre at Terminal 2 operates 24/7, providing continuous support to expatriates.

Read the full article about the Expatriate Satellite Centre.

 

3. Sentiments

i. Study: Men Report Facing Greater Challenges Adopting FWAs

Men with flexible work schedules report facing greater challenges in getting promoted than women, with 36% of men experiencing this issue versus 27% of women. The findings are reported based on a study by SG Her Empowerment and Milieu Insight. The study, which surveyed 1,200 Singapore resident employees, including 510 business leaders, highlights that employers struggle with equitably implementing flexible work arrangements (FWAs).

  • 31% of leaders cite the unfair distribution of development and advancement opportunities as a problem.
  • Men taking parental leave encounter more backlash (20%) than women (10%).

Deeply ingrained gender mindsets affect the uptake of FWAs, with traditional roles influencing perceptions of work-life balance. To combat these biases, stakeholders suggest outcome-based appraisals and regular check-ins.

Read the full article about men’s sentiments about FWAs.

 

ii. Survey: Low Adoption Rates of Credit Checks During Recruitment in Hong Kong

Despite recognising the importance of credit checks during recruitment, their adoption remains low in Hong Kong, as found in a survey by TransUnion conducted on 300 HR professionals. While 71% agreed on the need, and over half believe they help make informed hiring decisions and assess financial stability, only 5% of organisations conducted the checks as part of hiring procedures.

  • Among those who do, most checks are performed before onboarding (93%) and during the screening process (87%).
  • The main barriers include a limited understanding of credit checks (69%), concerns about data privacy (34%), and limited resources or budget (30%).

Credit checks are seen as tools for risk mitigation and preventing financial crimes or embezzlement. The report highlighted that inadequate use of screening tools can lead to increased turnover, longer recruitment processes, and potential financial losses.

Read the full article about the low adoption rates of credit checks.

 

iii. The Importance of Employer Branding Grows in Modern Times

Organisations should consider refreshing their employer branding due to evolving employee expectations, as found in a recent report. With the rise of remote work, diminished office roles, and changing views on corporate ethics, previous branding strategies may no longer be effective. The report suggests reevaluating core business principles to build a new employer narrative. This doesn’t mean starting over but assessing which parts of the current employer value proposition (EVP) still resonate with today’s candidates. Conducting employee surveys can help understand current desires, improve connections with new talent, and enhance employee satisfaction and retention. Promoting the updated brand effectively is also crucial, as well as using company pages to share the hiring experience and employee stories, providing a clear image of the organisational culture.

Read the full article about the importance of employer branding.

 

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Image Sources:

  • Reuters
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