In recent years, the home care industry has experienced significant growth with no signs of slowing down. According to the World Health Organization, by 2030, 1 in 6 people in the world will be aged 60 years or older. As innovation continues to shape the way home care agencies deliver care, it’s crucial to not lose sight of the legislative changes that are slated to shape the future of the home care industry. These changes reflect the growing desire of seniors wanting to age from home, technological advancements, and the recognition of the impact home care plays in maintaining the aging population’s health and well-being.
AxisCare CEO Todd Allen, and Angelo Spinola of Polsinelli recently sat down together and discussed the upcoming legislative changes in home care and best practices for remaining compliant. Access the recording of the webinar here.
Workforce Regulations
Caregivers are the backbone of the home care industry and upcoming legislative changes are expected to address workforce regulations centered around their role. This includes training standards, certification requirements, and compensation for home care professionals on a state and federal level. Recognizing the demanding nature of their work and the essential role caregivers play in clients’ lives; these legislative changes look to support caregivers and the vital role they play in the administering of quality care.
Payroll Pitfalls
Common themes in incoming legislation regarding the home care industry and the processing of payroll consist of:
Wage and Hour Regulations
Changes to minimum wage laws and overtime regulations can impact caregiver compensation and upcoming legislation may involve increasing the minimum wage, expanding eligibility for overtime pay, mileage reimbursements, etc.
Compliance and Recordkeeping
Legislative changes often come with new compliance requirements and recordkeeping obligations. Depending upon state or federal legislation, there are certain requirements that agency owners and office staff should be aware of when it comes to the duration of time you must keep payroll records on hand in case of an audit.
Hiring and Retention
Other changes on the horizon that could impact the way you hire and retain caregivers and staff include:
Applicant Screening and AI
AI-driven applicant screening uses advanced algorithms to analyze candidate profiles, assess qualifications, review resumes, and predict potential fit for specific caregiving roles. Despite this being a time saver, agencies must be aware of the possible restrictions of its use depending on the agency’s location (for example, NYC and IL).
Pay Equity and Wage Transparency Laws
These laws look to ensure that workers are paid fairly, regardless of their gender, race, or other protected characteristics. Legislative updates on the horizon aim to provide wage transparency on job listings prior to an interview or initial conversation with an applicant. However, this is up to the discretion of state and even city-level legislation. For state/city specifics consult with POSH for up-to-date information.
It is estimated that “88% of home care agencies are within a violation of the DOL, whether that be a record-keeping violation or back wages being due” said Angelo Spinola of Polsinelli in a recent conversation with AxisCare. As the industry looks to the future and the eagerness to capitalize on technological advances and the steady increase in the desire for in-home care, agency owners cannot let legislative changes fall by the wayside. Staying compliant and aware of changes at a state and federal level is one of the first steps in being able to provide top-notch care and a better quality of life for clients.
Disclaimer: This blog post is not a comprehensive guide on upcoming legislative changes for the home care industry, merely a reference and does not serve as legal advice.
For more information on both state-specific and national legislation that can impact your agency, check out POSH; Polsinelli’s dedicated legal team for the home care industry and one of AxisCare’s integrated partners.
To learn more about AxisCare’s platform and continued efforts in helping your agency remain compliant with features such as custom forms and payroll processing, book a demo to learn more.
