A lot of folks in the U.S. have suffered a job loss because someone overseas is willing to do the job for a lot less. Historically, our answer has been to collect extended unemployment insurance. Clark likes the way Denmark handles this problem. They do something called “flex security.” Denmark is a free-market economy willing to compete with anybody at anytime. Also, much like the States, companies can get rid of someone at will and they don’t have to provide a reason. But if you lose your job because of foreign competition, they subsidize pay and training at a new job. That helps eliminate the anger you may have had toward the foreigners who took your job and gives you skills for a new career. So, how’s it working? Unemployment in Denmark is 1 percent, which is great. We have a system in the States much like this called “wage insurance,” but we don’t use it very often. Clark hopes we start using this system more. It will help Americans be more competitive and is a smarter, more productive way to earn money.

Employers are allowing employees to donate their sick time and vacation time to Hurricane Katrina victims, thanks to a recent IRS decision. The employer doesn’t get any kind of benefit, aside from a rewarding feeling. The employer gets a tax break, though, so you may start to see more about it. The program is available in 2005 and 2006. Clark thinks it’s a great idea because the average full time employee fails to use eight days of vacation or sick time each year. And, in most companies, if you don’t use it you lose it. So, look into whether you can donate the time. It may be used for hurricane help or some other cause. In addition, if you’re extremely wealthy, there is a special provision that waives limits on donations to the hurricane relief. So, you can donate as much as you want. Just make sure you check with your CPA before doing so.

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In other news, employers are now charging people more for health insurance if they have unhealthy habits. People must take a health assessment and employees are docked pay until they fill it out. The companies also spit back out an action plan to help you get healthier. Northwest Airlines, for instance, has implemented a surcharge for employees who smoke.

Clark quit smoking quite a few years ago, but he admits he used to smoke like a chimney. Therefore, he has always been interested in the topic of smoking in the workplace and how it is accepted. Well, a story in the Detroit News gave him his answer. According to the paper, a Michigan company fired four employees because they tested positive for tobacco after the company instituted a no-smoking policy. It’s legal in Michigan to fire employees on those grounds. But Clark thinks that is just wrong. About 80 percent of you agreed with him in a recent poll, which asked whether it was fair to fire existing employees because they smoke. He thinks it’s fine not to hire someone because he or she is a smoker. It adds huge health care costs. But doing what’s fair is also important.

Last year, Clark talked about some ideas percolating in the U.S. Department of Labor that would change who gets overtime pay. The ideas are now becoming rules, and they will prevent most people who got overtime pay from getting it anymore. There are millions of people who get time and a half in overtime pay if they work over 40 hours. But that will be a thing of the past. Under the new rules, you won’t get any extra money after 40 hours. And the new rules are confusing the daylights out of employers. The new rules were designed to deal with the new face of jobs and employment in today’s society. In the past, people worked in stricter businesses and usually were in one job for most of their lives. People were often overworked and did not get paid. So, the Fair Labor Standards Act was passed, making it illegal for people to work more than 40 hours without OT pay. Today, people work from home or work more flexible hours, and the line between work time and leisure time is fuzzier. But people are used to the old way, and that includes employers. Many employers don’t even know this new law is going into effect. If you are one of them, research the topic and talk to your Chamber of Commerce to understand it better. But basically the rules are about as clear as mud right now. The only clear rule is that people who are making under $25,000 a year are now eligible for overtime. Most everyone else will not be eligible.