CEO Insights Team
Samuel Hale, LLC has developed an employment solution for the Last Mile Delivery industry in California. The California PEO’s new product is called Samuel Hale Last Mile Delivery (SHLMD), and it bundles the firm’s revolutionary process for handling workers’ compensation claims with a customized service bundle including payroll, employee benefits, workers’ compensation insurance, mitigation of labor claims, a pension and compliance with state and federal regulations.
In the era of explosive e-commerce growth, many delivery companies are searching for cost-effective ways to turn a contractor-based labor force into an employee-based labor force without destroying their businesses. Samuel Hale has a comprehensive solution that addresses more than just the workers’ compensation challenges.
The SHLMD solution is timely because California delivery companies were recently rocked by California Bill AB5, passed this September in response to the April 30, 2018 Dynamex Decision, which discourages the use of independent contractors – a staple in the Last Mile delivery industry.
“Since Dynamex, we have seen a large number of delivery companies struggling to find a way to comply with the
In addition to workers’ compensation, we built a product that also gives them protection from California’s complex labor laws as well as unique tools for recruiting and retention
new challenges of the California employment landscape.
Delivery company owners demand the very lowest insurance rates possible because they have high operational costs. In addition to workers’ compensation, we built a product that also gives them protection from California’s complex labor laws as well as unique tools for recruiting and retention. We are excited to bring a desperately-needed solution to this fast-growth industry,” says Michael A. DiManno, Founder & CEO, Samuel Hale.
On the workers’ compensation side, Samuel Hale is the only company to provide Alternative Dispute Resolution (ADR) through a carve-out agreement approved by the California Department of Workers’ Compensation. ADR has shown that it can save over 50 percent on the overall claims costs which, results in lower ex-mod rates and considerable savings on workers’ comp insurance premiums.
Employee benefits are delivered through “The PACT” - a trade association agreement with employees that gives them access to medical benefits, tele-health services, other voluntary benefit options, and most notably, a pension plan with two-year vesting. The PACT structure and all its advantages pre-empt unionization by providing employees with a friendly alternative.
While the SHLDM service bundle is new, Samuel Hale has a strong track record of helping companies in complex industries save money on employment costs.