Drexel LeBow Professor Talks Pitfalls of Paid Parental Leave Laws
Natalie Pedersen, Assistant Professor at Drexel University’s LeBow College of Business wrote an opinion piece for the Philadelphia Inquirer in which she examined the dilemmas many companies face surrounding parental leave for new parents. The main issue Pedersen explored in the article was the complexities of accommodating the needs of new mother versus new fathers.
Well-meaning employers have faced costly legal battles for providing too much leeway for new mothers. Estee Lauder, for example, employed a policy in 2013 that gave new mothers six weeks of paid parental leave in addition to paid time off to recover physically from giving birth. Fathers, under the company policy, earned two weeks of paid parental leave. This seemingly compassionate policy was actually the justification for a class-action law suit against the company. JPMorgan Chase & Co. is facing a similar class-action lawsuit for offering “primary caregivers” 16 paid weeks of parental leave after the birth or adoption of a child, but only two weeks for the nonprimary giver.
According to the Equal Employment Opportunity Commission, the policy violated the Equal Pay Act of 1963 and the Civil Rights Act of 1964, both of which do not allow companies to pay employees differently and offer different benefits based on gender.
In fact, under federal law, U.S. employees are not guaranteed any paid parental leave whatsoever. The Family and Medical Leave Act (FMLA) does require that some employees are given three months unpaid parental leave.
Pedersen sites studies that show that giving new parents time off of work is important for several reasons. Babies whose parents stayed home with them when they were newborns have been shown to have higher IQs and decreased infant mortality rates. Pedersen also mentions that paid leave is a wise move on the part of employers, because it will strengthen employees’ loyalty to the organization.
Companies who wish to provide benefits for new parents that extend beyond the minimum requirements of the FLMA do have options. Employers can give paid parental leave, so long as they are cautions about adhering to the parameters of the law. In fact, they can even offer slightly different benefits for new mothers and new fathers without legal ramifications. Birth mothers are recuperating from the physical aftermath of pregnancy and birth, so they can receive paid time off for medical reasons, whereas new fathers are ineligible for this benefit.
Natalie Pedersen teaches legal studies at LeBow College of Business, and has been published in several journals, including the Journal of Empirical Legal Studies and the Hofstra Labor and Employment Law Journal. She earned her BS in economics from The Wharton School at UPenn and a JD from Harvard University.
Industry Expert Ellen Terry Helps to Shape Analytics Program at Houston Bauer
Ellen Terry, a lecturer at the University of Houston – C.T. Bauer College of Business is bringing her years of analytics experience into the classroom to help students—and the university—prepare for changing industry needs.
According to a 2016 report from the McKinsey Global Institute, one of the biggest challenges to integrating data and analytics into their operations is simply finding the right person for the job. Bauer decided to respond to the ever-growing need for talent in the analytics field, making expansions to their program and following guidance from industry experts like Terry.
Ellen Terry, who currently serves as a lecturer in Bauer’s Department of Accountancy & Taxation, brings her many years of experience to help Bauer shape a new program that can address the growing needs of the industry. She is a former vice president in the Data Science Group at JPMorgan chase, also having served for more than a decade at Microsoft. Working alongside Kaye Newberry, Professor and Department Chair, and Michael Newman, a clinical professor and Director of Accounting Programs, Terry has played a key role in developing new graduate level advanced analytics courses at the university.
“We decided to start with the end game,” Terry said. “What competencies do students need when they start with a company and get the opportunity to apply data science on the job? At JPMorgan, I had a good view of incoming capabilities … the biggest challenge I saw was the ability to comprehend holistic business architectures and integrate the intelligence pieces.”
In addition to addressing these challenges through coursework, students will also have the chance to work with Big Four accounting firms like KPMG and Ernst & Young. The application of analytics training, however, Terry believes, will be applicable to many fields even outside of accounting. “I can’t think of many job markets that won’t be impacted,” she said “It’s already happening with the big companies: banks, accounting firms, manufacturers, governments … are all busy transforming.”
Despite the coming changes in various markets and industries, Terry has no concerns about what’s to come. “I’d like to say this to the students,” she said. “You are very lucky to be living in this era—the future is going to be amazing!”
Alumni Spotlight: JPMorgan Vice President Juan Solis, Quinlan MBA
The Loyola University Chicago Quinlan School of Business recently took a look at the life and career of 2008 MBA graduate Juan Solis, the current Vice President of JPMorgan Chase. A short interview touched on a few topics, including why Solis chose Quinlan, and whether he had any advice for current or prospective MBAs. Continue reading…
Columbia Conference Surveys Impact of Media Coverage on Market Movement
Columbia Business School recently revealed findings about the Bank of America Merrill Lynch and JP Morgan Chase-sponsored 2nd Annual News and Finance Conference, which addressed the effects of media coverage on the world of finance.
What Are The Most Affordable Philadelphia MBA Programs?
Earning an MBA is a significant commitment that can command significant returns. MBA graduates can potentially earn substantially higher salaries than students without graduate degrees (as well as many who earn other kinds of graduate degrees.) An MBA also opens channels to career paths and opportunities for advancement that might not have been available otherwise. The financial commitment of pursuing a graduate education can pose a significant challenge for prospective MBA students. Luckily, there are many cost-effective programs out there in cities like Philly.
Top MBA Recruiters: JPMorgan Chase
The largest bank in the United States, JPMorgan Chase & Co. is a multinational banking and financial services holding company based in New York, New York. JPMorgan Chase is one of the Big Four banks of the United States, along with Bank of America, Citigroup, and Wells Fargo. According to Bloomberg, in October 2011, JPMorgan Chase surpassed Bank of America as the largest American bank by assets. Continue reading…
