Complying with Good Faith Estimates: The Role of Legion in Streamlining Labor Compliance and Employee Communication
September 20, 2023
by Björn Wiberg
Workforce management (WFM) is changing quickly with advances in technology and better awareness of what employees need. Legion is at the forefront of this change. Our workforce management solution uses AI not only to optimize business operations – but improve employee satisfaction at the same time.
Intelligent automation impacts labor compliance significantly, especially in regard to good faith estimates. In this article, we will explore good faith estimates: what they are, where they’re required, and the best way to communicate them to your employees. We’ll also discuss how Legion’s unique WFM software will help your organization navigate them seamlessly.
What are Good Faith Estimates in Labor Compliance?
Good faith estimates, or GFE’s, refer to approximations of work-related conditions that an employer provides to its employees. These may include the number of hours an employee can expect to work, the days they’ll be working, and their total earnings.
The main goal of giving good faith estimates is to maintain transparency and trust between employers and employees. Some labor laws require GFE’s so that employees can make more informed decisions about their employment.
Where are Good Faith Estimates Required in the United States?
The necessity for providing good faith estimates varies from state to state and even city to city in the United States. For example, certain jurisdictions like San Francisco and Seattle have strict laws around “predictive scheduling,” which require employers to provide estimates of work schedules well in advance.
Noncompliance with laws like these often results in serious fines or legal battles. HR and Operations teams should be aware of the regulations in their specific locations to ensure compliance.
Best Practices for Communicating Good Faith Estimates
Once you’ve determined that GFE’s are required for your business, you’ll need to establish a process that works in conjunction with how you manage your schedules.
If you rely on each store manager to create and maintain schedules manually, you’ll need to provide plenty of training and monitoring to ensure they meet GFE requirements.
The following requirements can help guide you through how to structure and deliver communications:
- Advance Notice: Provide estimates as far in advance as possible. This lets employees plan their lives more effectively and reduces uncertainty.
- Transparency: Use clear and straightforward language. You want to eliminate misunderstandings and potential disputes down the line.
- Documentation: Keep a record of all communications regarding good faith estimates. This is very important evidence to have on hand in the case of any legal disputes.
- Periodic Updates: Regularly update employees if there are changes to the original estimates. This should be done as soon as new information becomes available.
- Accessible Medium: Use platforms that employees frequently use and know how to navigate, so they can easily access the information.
Individually, these may seem like trivial tasks for your team to complete, but when combined with the need to provide better scheduling flexibility and control for today’s workforce, it can become impossible to manage without intelligent automation to help keep your team compliant.
How Legion Can Help
With our award winning WFM app, Legion makes it easy to stay on top of how schedules across your organization are created and maintained. With a consistent process established within one WFM system, you’ll have better visibility and control over your compliance communications. Figure 1 shows an example of how Legion helps managers compose and communicate GFE’s to employees.
High Engagement from Employees Using Legion WFM: One of the unique benefits of Legion’s workforce management software is its focus on employee engagement. The platform offers a highly rated mobile app that makes it easy for employees to stay informed, thereby enhancing compliance.
Embedded Communications to Hourly Workers in Legion WFM: Legion goes beyond just scheduling and automates the communication of good faith estimates directly through the platform. Employees can easily access information and updates or changes are automatically shared with them through the platform. This means you stay in compliance – and they stay in the loop.
Auditing of Communications in Legion WFM: Our system maintains a robust audit trail of all communications, including the sending and receiving of good faith estimates. Your HR and Operations team will always have the documentation they need to prove compliance in case of audits or legal disputes.
Good faith estimates are more than just a legal requirement; they’re a cornerstone of a transparent and ethical labor practice. Complying with these estimates is not just about avoiding fines; it’s about building a more engaged and committed workforce.
At Legion, we’re committed to helping your organization achieve this balance through our WFM solutions. We’ve designed them to help you stay compliant, improve employee engagement, and boost operational efficiency.
In a landscape where both compliance and employee satisfaction are paramount, Legion provides technology that simplifies the process and benefits both employers and employees.