Navigating Global HR Culture: The Laws, Trends + Politics Affecting Culture in the Workplace. Opening the 2018 HR Conference for the Ohio Society for Human Resource Management (SHRM) State Council, Tony Fiore highlighted the conference’s theme of “Passport to Culture” and presented on global business issues affecting your company’s HR culture. He looked at employment laws, elections, compliance vs. attractive workplaces and other trends. His presentation featured videos by Kegler Brown attorneys with ties and business experience from various foreign countries discussing cultural aspects of doing business in those countries.

1. Presented by
Tony Fiore
NAVIGATING
Global HR Culture
The Laws, Trends + Politics
Affecting Culture in the Workplace

2. Global business
issues affect your
company’s HR culture
Employment Laws
Elections
Trends
Compliance vs. Attractive
Workplace

3. HR culture is a set of
shared attitudes, values,
goals + practices that
characterize an institution
or organization

4. What is your
HR culture?

5. Do current +
prospective
employees
believe your
company HR
culture?

6. Employment
Laws of the
Country

8. APPLICATION
of U.S. Laws
General employment framework
as a U.S. company doing
business in a foreign country
Expansions of extraterritorial reach of U.S.
employment laws in foreign countries
U.S. companies required to comply with
U.S. employment laws in foreign
countries in the employment of U.S.
nationals

9. EMPOYMENT Laws
Minimum Wage Payroll Costs
Social Costs Vacation
Workforce Education Employment
Contracts
Employment
Population Unemployment Rate
Doing Business
Abroad
Political + Legislative
Activity

11. Convention on the
Elimination of All Forms
of Discrimination
Against Women

12. Discrimination is any unfair
treatment or arbitrary
distinction based on a
person’s race, sex, religion,
nationality, ethnic origin,
sexual orientation,
disability, age, language,
social origin or other status

13. Sexual harassment is any
unwelcome sexual advance,
request for sexual favor, verbal
or physical conduct or gesture
of a sexual nature, or any other
behavior of a sexual nature that
might reasonably be expected
or be perceived to cause
offense or humiliation to
another, when such conduct
interferes with work, is made a
condition of employment or
creates an intimidating, hostile
or offensive work environment

14. What’s
capturing the
headlines?

17. Who merits protection has not
changed
The laws have not changed
The reasonable person
standard has not changed
Degrees or types of
harassment have not changed

18. The Severe or Pervasive
Standard has not changed
Number of IncidentsFew More
Severe: of a great degree, hardship or
discomfort
Pervasive: existing in or
spreading through every
part of something

19. Quid Pro Quo
Submission to sexual
advances or favors, or
when other conduct is
made a term or condition
of employment
Hostile Work
Environment
Severe or pervasive
conduct of a sexual
nature that creates an
intimidating, hostile or
offensive environment
Gender
Stereotyping
Behavior that treats
individuals based upon
stereotypical notions of
how persons of that
gender should act

20. Unwelcome means
the employee did
not solicit, incite or
desire the conduct
or regards it as
offensive
It is the perception
+ reaction of the
victim that matters

21. What size policy fits?
No Gossip Policy
Non-Fraternization
Supervisor-
Subordinate
Anti-Harassment
Civility Codes
Zero Tolerance
Written +
understandable
Easily accessible
Regularly
communicated
Define what it is
Outline avenues to
complain
Cover all protected
classes
Consider social
media
Applied uniformly

23. How do we change
the culture?

24. The culture change
+ support has to be top-down1
There have to be safe, multiple
outlets for filing complaints2
Tap into the women’s based
groups at the company3

25. Using an employee app, kendr connects
employees with their employers,
promoting secure, discreet and
anonymous workplace communication

26. Business Case

28. Doing good doesn’t
take laws mandating
such action
CBS’s overhauled
board features
women who are
experts in M&A

29. Your Take-Aways
Be practical about people
Practice real diversity
Handle every complaint
expeditiously, investigate +
review with an independent
panel
Be consistent
You are the HR professional!

30. Cultural respect, sensitivity
in advertising
Who hired the employee
that was disrespectful
Did HR adequately
prepare/train employees?
Language
+ Cultural
Barriers

31. Lost in
TRANSLATION

32. WORLDWIDE
Telecommunications Trends
84%
16%
SALES
Total worldwide phone
subscribers: 84% of population
Workers in many countries are
using social media and web
portals to apply for jobs

35. Creating a workplace culture
of respect, civility + diversity
is a journey not a destination

36. Hofstede Cultural
Dimensions Model
Reading
Suggestion

37. Adapting socially
Demonstrating creativity
TRAITS
of Successful Cross-
Cultural Leaders
Possessing an even disposition
Respecting beliefs
Instilling trust, navigating
ambiguity

38. Brad Gosche
GFT Lead Instructor
614-229-4599
bgosche@columbusworldaffairs.org
Patrick Terrien
President + CEO
614-229-4599
pterrien@columbusworldaffairs.org

46. Unpaid Leave
Paid Time Off
State Paid Sick Leave Laws
Healthy Families Act
Pres. Obama’s EO
(Federal Contractors)
Family + Medical
Insurance Leave Act
Tax Credit Approach

47. SHRM’s
APPROACH
Workplace
Flexibility

48. Paid Leave under HR 4219

49. Flexible Work
Arrangements
under HR 4219
Compressed work schedule
Biweekly work program
Telecommuting
Job sharing
Flexible scheduling
Predictable scheduling

53. 26 consecutive weeks
paid – 16 additional
unpaid maternity
leave
24/7 access to
trained labor and
delivery nurse
hotline, onsite
lactation rooms, etc.

54. Extraterritorial
Reach of U.S.
Laws

55. U.S. Department of
Justice prosecution
of FCPA cases
increased 400%
from 2000 to 2008

56. Recent FCPA
Allegations

57. Success or failure of a
business deal
Stock price + value of
ESOPs
Law in the foreign country
to discipline or terminate?
What effect did the
mistake have on:
Reparable or irreparable
harm to the company?

58. $1.6 billion in fines,
penalties and
disgorgement of
profits
Multiple violations for
payments to gain
contracts, record
keeping violations in 5
countries

59. More than a dozen
instances transactions
kept off Oracle India’s
books
Remedial measures
taken including
terminating
relationship with
distributor

60. Several allegations of
payments to help
rapid growth in
Mexico
Stock price dropped
5% upon allegations,
Walmart de Mexico
fell more than 12%

61. Best Practices to Minimize
Compliance Issues
An ounce of prevention could be worth a
pound of cure
Work with domestic counsel in U.S. to
quarterback projects with local counsel

62. HR = First Line
of Defense
Conducting criminal
and credit background
checks to determine
ethical business history
Training programs to
prevent unlawful
bribery from happening
in foreign countries
Incentive programs
penalizing employees/
contractors that do not
violate the FCPA
Reporting mechanism
for alleged violations
and investigation when
allegation reported

63. Preserving a Drug-
Free Workplace

64. Opioid Overdose
DEATH RATE

65. In 2014, the Supreme Court of
Canada held that the
implementation of random alcohol
testing for employees in safety-
sensitive positions was an invasion
of privacy and an invalid exercise
of management rights
Drug
Testing

66. Generally prohibited Strictly Limited Permitted
Poland Chile UK (pre-employ)
Czech Republic Columbia
France (pre-employ) South Africa
Drug +
Alcohol
Testing in
Foreign
Countries

67. Adopt policies that emphasize it is
illegal to work under the influence or
consume drugs at the workplace +
consequences for not obeying policies1
Work with a reputable drug testing
company that administers random
testing and complies with all state +
federal regulations2
Watch for law changes at the federal
and state level on medical marijuana
3

69. Political,
Legislative +
Demographic
Considerations

70. This is not the answer

71. All 16 U.S.
House Seats
99 Ohio
House Seats
17 Ohio
Senate Seats
2 Supreme
Court Seats
Ballot
Issues
All
Statewide
Offices
1 U.S.
Senate Seat

74. Get out your
smart phone –
I know you
have one

75. For Better or Worse
Changes in leadership at local,
state and national levels affect HR
policies, foreign country
experience is no different

76. HR Preparedness
Be ready to amend workplace policies
+ practices to adjust to the ever-
changing legal landscape
Courts in foreign countries have
unique interpretations

77. New method for calculating
holiday pay
Changes timeframe when
employer must pay unpaid
vacation
Limits time an employee may
make a wage complaint
Amendments to
Canada’s Labour
Code - Jobs +
Growth Act 2012

79. Market Penetration
Mexico City is the second-largest
urban agglomeration in the
Western Hemisphere, after Sao
Paulo (Brazil), but before New
York-Newark (U.S.)
Why
Mexico?

80. Clarifies season worker
employment, paternity leave,
prevents discrimination
Requires access to employees
with disabilities (50+ employees)
Limits payment of back wages
for unlawful termination
Major Reforms
to Federal
Labor Law

81. October 2018
Brazil General
Elections

82. Total labor changes represent
between 35-37.4% of payrollEmployment
in Brazil Paid annual leave; 13th salary -
30 days/12 month period

83. Employer paid social security
Income tax: 0-27.5% progressive
tax levied on monthly incomeSocial Costs
Possible accident insurance
contributions

84. Social
COSTS

85. Federal Taxes v. Expenditures
47%
34%
9%
9%
1%
Individual Income Tax
Payroll Taxes
Corporate Income Tax
Customs Duties and Excise Taxes
Other

86. Federal Expenditures
Social Security
24%
Supplimental
Security
Income
2%
Civilian Federal
Retirement
3%
Medicare
15%
Medicaid
10%
ACC Subsidies
1%
National Security
15%
Veterans
5%
Interest
6%
Refundable credits
2%
Transporation
2%
Education
2%
Food Stamps
2%
Justice
1%
Housing Assistance
1%
Foreign Aid & Int'l Affairs
1%
Other
8%

88. What about
other country
retirement
systems?

91. How will you
manage your
global
workforce?

92. ow to Get Started
xtraterritorial Reach of U.S. Laws
mployment Law of the Country
anguages + Cultural Barriers
egal Team At Home + Abroad
olitical + Legislative Considerations
H
E
E
L
L
P

93. Save the
DATE
May 15, 2019
2019 Ohio SHRM
Employment Law +
Legislative Conference
2018 Keynote Speaker:
Susan Harthill
Deputy Solicitor for National Operations
U.S. Department of Labor

94. Tony Fiore
Of Counsel
Kegler Brown Hill + Ritter
afiore@keglerbrown.com
keglerbrown.com/fiore
614.462.5428
@TonyFioreEsq
Director, Government Affairs
Ohio State Council of SHRM