Hiring in PA? Great! (but avoid this common compliance issue)

by Kevin McGarry 29. June 2012 09:23
  In 1997, the Commonwealth of Pennsylvania enacted Act 58, requiring all employers to report information on the employees they hired.  This legislation was created to assist The Commonwealth to locate parents who were not making their child support payments.  This system also assisted The Commonwealth to detect unemployment and workers compensation fraud overpayments.  Most employers have not continued to follow this mandate, as the quarterly unemployment tax reporting appeared to be addressing this issue.  However, The Commonwealth is actively notifying employers that this new hire reporting requirement is still required by law. Our advice to employers: when a new employee is hired, comply with this law.  A new hire form can be obtained through the Commonwealth Workforce Development System website. This is a standard form that employers need to complete and submit on behalf of a new employee, and include a copy in personnel files as you do with the W-4, I-9 and Local Certificate of Residency. You can manually prepare these forms and fax to 866-748-4473 or mail to: Commonwealth of PA, New Hire Reporting Program, P.O. Box 69400, Harrisburg, PA  17106-9400. You can also submit them via web-upload upon registering with PA CareerLink.  If you have any questions or you would like to discuss this, please give Urish Popeck a call.  
Categories: Advisory

Hiring May Slow During Second Quarter of 2012

by Michael Popeck 13. June 2012 15:00
  In a recent survey conducted by the AICPA, business executives responded with more guarded views this quarter versus last quarter about the 12-month outlook for the U.S. economy.  However, most executives viewed their own companies with a better outlook than the U.S. economy as a whole. The CPA Outlook Index, which is a comprehensive gauge of executive sentiment within the survey, decreased 2 points after 2 consecutive quarters of growth.   The survey also included findings on hiring, industry views, business expansion, and challenges over the past three quarters.  Visit the AICPA’s Survey summary for the article and to read more about the findings in the survey.  
Categories: Advisory

House Approves Some SOX Relief for Issuers < $1B

by Hiller Hardie 14. March 2012 11:00
  The House recently approved a measure aimed at creating jobs and easing the regulatory burden on smaller businesses.   A major component of this bill exempts small and mid size businesses initiating public offerings from some key provisions of Sarbanes Oxley.  As drafted, prospective issuers with less than $1 billion in revenue and $700 million in publicly traded stock would no longer be subject to external audits of their internal controls (among other things).   As I have noted in prior blogs, there has been tension between the conflicting goals of protecting investors and shielding business from excessive regulation.  While the above measure still needs to pass the Senate and be signed by the President, it is a strong indication that the latter goal is gaining traction. I do believe this is a good trend but also urge caution in moving too far. There continue to be major “blows” in financial reporting, such as those recently announced by Diamond Foods.  Moreover, outright fraud can be perpetrated by public companies.  The recent story of Puda Coal (a Chinese company which gained access to the US securities markets via a “reverse merger”) is an excellent case in point.  In this saga, the executives of this company effectively stripped the company of all operating assets, leaving shareholders with a shell company.   
Categories: Assurance