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Succession planning is about much more than who takes over when a dealer owner dies. It is also about creating the conditions for the next owner or owners’ success. Hugh Robert, a partner and succession advisor at family business succession planning experts The Rawls Group, spoke with Getting to Go! about how The Rawls Group assists families in crafting a succession plan which benefits diverse needs. Below is an edited version of that conversation.

So, you want to keep your dealership in the family?

Crafting the proper financial platform is key

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In today’s environment of roll ups, acquisitions, financial requirements imposed by manufacturers, changes in driving habits, the types of vehicles being produced, and the ever-changing economy, it is no wonder that dealers are questioning the future of their business. Many options are available, and none are really bad, but one must figure out what is best for you, the owner.

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On August 7, 2023, the U.S. Equal Employment Opportunity Commission (“EEOC) issued a Notice of Proposed Rulemaking (“NPRM”) to implement the Pregnant Workers Fairness Act (“PWFA”). As required by federal law, the NPRM was published for public comment in the Federal Register on August 11, 2023. Members of the public wishing to comment on the NPRM will have 60 days from the date of publication to do so through www.regulations.gov.

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On August 02, 2023, the National Labor Relations Board issued a decision (Stericycle, Inc.) that established a new standard for scrutinizing employee conduct rules under Section 8(a)(1) of the National Labor Relations Act. This decision states that prior standards for workplace conduct rules issued by the NLRB, permitted employers to adopt overbroad work rules that chill employees’ exercise of their rights.

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Time rounding policies have been a source of unsettled contention and conflicting court rulings recently. The most recent California Court of Appeal came down against the practice in Woodworth v. Loma Linda Univ. Med. Ctr. The plaintiff in that case claimed that she was not paid for all hours worked as a result of the employer’s practice of rounding time punches to the nearest tenth of an hour.

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For years, the federal “Equal Employment Opportunity is the Law” poster has been a familiar sight in workplace break rooms, hallways and other work areas. In 2022, this poster was replaced by a new poster issued by the EEOC entitled: “Know Your Rights: Workplace Discrimination is Illegal.” There is now an update to this new poster with the same title, issued June 27, 2023, which includes information about protections under the new federal Pregnant Workers Fairness Act.

Prop 65 update

New chemicals added to the list

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Proposition 65 contains approximately 900 chemicals that are known to cause cancer or reproductive toxicity. The list grows every year and, as in the past, new chemicals have been added since January of 2023. In addition to identifying the newly-added chemicals, this article describes the process by which chemicals are considered for and thereafter added to the list.

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