Smaller ad agencies, like all small businesses, are figuring out how to manage a multi-generational workforce. But finding talented younger employees is a growing concern. Instituting policies that appeal to Millennials can be a useful recruiting strategy, and a family leave policy aligns with Millennial needs as well as being a growing trend in HR management.
The shift from a largely Boomer workforce to one dominated by young Millennials entails adjusting existing, or creating new policies and “perks” that appeal to younger workers but also benefit older employees. Younger workers are facing challenges not seen since the pre- and post-WWII years. The Great Recession and long recovery stunted or delayed the careers of the first Millennials to enter the workforce. Many of this group feel they need to make up for lost time in terms of career paths and financial health. They also are carrying enormous college loan debt they need to pay off. And because of these economic uncertainties, they are not buying homes until they feel more secure, are marrying late and are starting families later in life.
Since many smaller agencies fall below the 50-employee Family and Medical Leave Act (FMLA) requirement, many agencies neglect to set a family leave policy until an employee asks about it—or one of the principals needs it! It’s always better to set policies before you need them. Look at your employees’ life situations and the agency’s hiring plans to decide whether it’s time to set a family leave policy. If you feel your agency is ready to offer family leave, put the policy in writing and let employees know in an official meeting. A new benefit is valuable as a morale booster and helps employees feel they are valued.
Here’s some info to help you develop a smart family leave policy that works for all of your employees, and for your agency.
Why is it called Family Leave?
Big companies used to offer maternity leave to female employees. Over time, that evolved to allow male employees to share leave around the birth of a child. More recently, families of injured veterans and older employees have been included to assist their roles as caregivers to aging parents or ill relatives. So what was once a limited perk for young mothers has been expanded to help employees of all ages coping with difficult family situations.
What basics must we to include?
The Family and Medical Leave Act (FMLA) applies to employers with 50 or more employees, so many smaller agencies may not be in compliance. Per the U.S. Small Business Administration, The FMLA and state laws are useful models on which to base your policy. Following are the FMLA guidelines for maternity/paternity/family leave:
- The employee has been in your employment for at least 12 months and works a regular workweek (under the FMLA, employees with an average workweek of around 24 hours are eligible; many state policies may not require an hourly minimum).
- The policy applies to both men and women to give them reasonable time to bond with a newborn, adopted or fostered child, or assist with caregiver roles.
- The leave must be taken as a continuous block of leave.
- Determine the amount of time off you wish to offer and whether it will be paid, unpaid or paid in part. FMLA allows for up to 12 weeks a year. State laws vary between 6-12 weeks.
What about state laws?
Not all U.S. states have family leave laws. The National Conference of State Legislatures maintains a useful list of states with additional family leave laws. But check with your state’s department of labor or an employment law attorney to verify local laws.
Is family leave paid or unpaid?
The FMLA only requires unpaid leave; state laws may vary. Among employers who offer maternity/paternity leaves, it is accepted practice to allow employees to use earned, paid vacation/sick days before moving to unpaid leave time. Short-term disability or long-term disability insurance also offers the option of taking at least some extended leave at a reduced wage—more attractive than unpaid leave for employees, and less costly for the employer. Many employers allow some combination of disability, vacation/sick time and unpaid leave.
It’s important to discuss all of this in advance with the individual employee, agree to the amount of time off to be taken, and how/whether paid time off factors into that plan.
Must employers hold the employee’s job for their return?
Generally, leave is based on the employee returning by an agreed-upon date to resume their same job, or a similar job and wage level. Many policies state that failure to return by the agreed date can be cause for termination. This allows employers some options if the employee fails to keep their side of the bargain.
Also, depending on the circumstances around the birth, illness, or caregiver situation, the employee may need more leave time than anticipated. Request that they call you to alert you as soon as they know the plan may need to be altered, so you can either reset their return date and adjust for a longer absence, or discuss whether additional leave is even possible for the agency. Again, make sure employees understand the terms of your leave policy.
Who does the work while the employee is gone?
You may need a temporary replacement for the employee going on family leave. This person may be a short-term hire, a freelancer you trust, or a group of employees sharing the duties. Or, someone in the agency may step up to fill the slot… in which case, you need to ensure that the replacement and the person on leave are fairly treated when the employee returns to work. Discuss this with the employee taking leave. The reality is that someone needs to do that job; it may not be possible to guarantee the exact same job will be waiting for them on their return. Your obligation is to ensure a comparable job and salary, not the same job.
Can employees work remotely?
Depending on an employee’s job duties, it may be possible for them to remain on leave but resume working part-time from home. Discuss that option while developing the leave plan. Flexibility in the leave arrangements can benefit employer and employee.
How does family leave benefit all employees?
The best family leave policies are written to assist older workers as well young parents. Many Boomer and Gen-X employees may be coping with aging parents; dealing with a spouse, child or relation suffering a serious illness or injury; or themselves suffering health issues that may require taking extended time off. Consult with an attorney familiar with employment law to structure a policy that addresses multiple needs and situations.
What makes family leave a valuable recruiting tool?
Millennials are entering the workforce with specific expectations for a good work/life balance. That includes all the elements of the American Dream—marriage, family and home ownership, plus time to enjoy them. Creating policies that address these goals allows agencies to position their cultures a family-friendly and having a realistic view of what modern life is like. It acknowledges that how we work and live has changed from the days when women quit work to have children, men didn’t share child-rearing duties, and employees retired long before becoming caregivers to parents.
The multigenerational workforce needs help balancing work and life demands. Agencies that help all employees achieve this balance will do better at recruiting younger talent, and will likely enjoy better employee retention and satisfaction.
