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How COVID-19 is Reshaping Corporate Culture
The outbreak of COVID-19 is radically changing how many U.S. companies operate. Public-safety measures have closed physical offices and made remote working the norm. Travel restrictions have heightened the importance of efficient technology, communication, and collaboration. Executives have had to pivot quickly — reorganizing and rallying their workforce to push forward in an unprecedented time. Some […]
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The outbreak of COVID-19 is radically changing how many U.S. companies operate.
Public-safety measures have closed physical offices and made remote working the norm. Travel restrictions have heightened the importance of efficient technology, communication, and collaboration. Executives have had to pivot quickly — reorganizing and rallying their workforce to push forward in an unprecedented time.
Some business leaders think COVID-19 marks a permanent turning point. And at the center of the seismic change is the reshaping of corporate culture — the beliefs and behaviors that influence how a company’s employees and management interact.
The pandemic unquestionably will have lasting effects on corporate cultures. There is a growing sense it’s a fundamental shift, a new normal.
It starts with empathy. Company leaders are seeing they need to listen more to their employees’ concerns, which are really everybody’s concerns right now. Many people feel fear and uncertainty. It’s an opportunity to be more understanding and build relationships with the people you work with, and from there as a company, being better able to work in new and more collaborative ways.
Here are the ways corporate culture will be reshaped in the wake of COVID-19 and how leaders can influence those positive changes.
Providing emotional support along with technical support. While technology is the key to keeping a remote workforce functioning at a high level, how leaders create a culture of mutual support will be a big factor in company culture and the employee experience. You want to get people helping and looking out for each other. Not every Google Chat, call, or email has to be business-related.
More, and better, communication. Working remotely, with managers and employees at different locations, places an emphasis on focused and more precise communication — even over-communication if necessary — to keep operations flowing. The use of video conferencing is very effective, keeping everyone connected and agendas targeted. It increases responsiveness, attention span, and strengthens collaboration.
More of a family feeling. Working from home personalizes the workplace, partly because you are working from your personal space, and the imaginary line between family and work is basically gone. People are out of their shell now, more relatable. Colleagues and clients are happy to share a screen with their kids or pets in the background. There is a blending of the personal and professional, and it’s liberating.
Better collaboration. Your relationship with your teammates will improve. Fighting a common enemy, the coronavirus, creates bonds in relationships. Everyone being in this together brings new levels of connection with colleagues and clients. You’re happy to see each other on screen during this period of physical isolation, and that feeling can be brought forward when things settle down. The bond strengthens with teammates also by having worked together to solve problems and be proactive during difficult times. That means better collaboration and more enthusiasm for teamwork and shared success.
This crisis has challenged us in seemingly every way. It’s been sudden, profound, and life-changing. Companies have been forced to make major changes, and in the process, they are seeing the workplace and the world differently. It’s a great opportunity for growth and positive, permanent change.
Chuck Crumpton (www.chuckcrumpton.com) is founder and CEO of Medpoint, LLC, a global consulting firm serving medical device and pharmaceutical companies in the U.S., Europe, Asia, and Latin America. He is author of “The Jagged Journey: A Raw & Real Memoir about the Non-Perfect Path of Life & Business.”
Opportunities in Estate Planning During the COVID-19 Crisis
In the last several weeks, we have seen the drastic impact of the COVID-19 crisis on our health, way of living, and the economy. While these times may feel uncertain, there are still many factors in your control and even opportunities for those who seek them out. This is especially true regarding your estate plan. The
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In the last several weeks, we have seen the drastic impact of the COVID-19 crisis on our health, way of living, and the economy. While these times may feel uncertain, there are still many factors in your control and even opportunities for those who seek them out. This is especially true regarding your estate plan.
The current environment of low-interest rates and depressed asset values presents several unique estate-planning opportunities for individuals to make the most of their hard-hit assets and leverage the transfer of wealth and business interests.
Federal Gift-Tax Exemption & Annual Exclusion
In 2020, the federal gift and estate tax lifetime exemption amount is $11.58 million per individual, and the annual exclusion for gifts is $15,000 per recipient per year.
These figures will remain in effect until 2026, when the lifetime exemption will “sunset” and revert back to about $5 million (as adjusted for inflation), barring any intervening legislation before then. The IRS has also clarified that individuals making gifts prior to 2026 can do so without concern that they will lose the tax benefit of the higher-exclusion level if the current law sunsets.
Depressed Asset Values = Opportunity for Tax-Advantaged Transfers
Whether you want to leverage your annual exclusions, preserve your federal exemption, or limit your gift-tax exposure, the depressed asset values and business interests provide an opportunity to make tax-advantaged transfers to other individuals or trusts and allow any future growth to occur outside of your estate.
While outright gifts are certainly an option, the transfer of appreciable assets and interests to certain trusts can provide additional benefits and tax advantages that are intensified under the current depressed-value conditions.
Trust instruments, such as Grantor Retained Annuity Trusts (GRAT), Charitable Lead Annuity Trusts (CLAT). and Intentionally Defective Grantor Trusts (IDGT), are just a few examples of low-risk vehicles that facilitate tax-advantaged transfers of appreciable assets while reducing your taxable estate. The advantages of these options are further amplified when the interest rates used in determining the taxability of such transfers are lower.
Low Interest Rates = More Efficient Tax-Advantaged Transfers
In response to the slowed economy, we have seen various interest rates being lowered to stimulate economic growth and to encourage borrowing and investment. This includes reductions in interest rates like the IRS § 7520 Rate and Applicable Federal Rates (AFR) that directly affect the taxability of transferring wealth and business interests.
Historically low IRS § 7520 Rate: The IRS § 7520 Rate — a rate used to determine the gift-tax consequences of transfers to trusts like GRATs and CLATs — has reached a historic low of 0.8 percent in May 2020. This is down from 2.8 percent in May 2019, and 3.2 percent in May 2018.
Simply stated, the current § 7520 Rate presents an opportunity to make larger gift-tax-advantaged transfers to your beneficiaries.
Low applicable federal rates: We have also seen drastic reductions in the Applicable Federal Rates (AFR), which are used to determine interest charged on below-market value loans and promissory notes.
May 2019 Annual AFR
• Short-Term: 2.39%
• Mid-Term: 2.37%
• Long-Term: 2.74%
May 2020 Annual AFR
• Short-Term: 0.25%
• Mid-Term: 2.37%
• Long-Term: 1.15%
Low AFR makes this a good time to consider issuing or restructuring loans to family members while also reducing your taxable estate. This method of transfer is most successful if the assets appreciate over the course of the loan in excess of the applicable AFR.
For owners of closely-held businesses, it may also be a good time to consider transferring your closely-held business interests to your family members or successors. Tax-advantaged transfers of business interests can be accomplished by strategic gifting plans or by a series of sales. While circumstances will vary for each individual and his or her business, in many cases, low AFR will permit larger tax-advantaged transfers.
Higher Deductions for Charitable Giving
The recently enacted Coronavirus Aid, Relief and Economic Security Act (CARES Act) encourages individuals and corporations to “give more” by increasing tax deductions for charitable donations.
For individuals who itemize deductions on their income-tax returns, the Act suspends the adjusted gross income (AGI) deduction limitation, allowing individuals to receive a charitable deduction of up to 100 percent of their AGI. For corporations, the limitation on deduction has been increased from 10 percent to 25 percent of taxable income.
Non-itemizing individuals are not left out, as the CARES Act permits an above-the-line deduction for up to $300 in charitable donations made in 2020 by individuals.
Opportunity for Roth IRA Conversions at Reduced Cost
In addition to the strategies above, depressed asset values have made Roth IRA conversions an effective strategy for both estate reduction and wealth transfer at a lower cost to your beneficiaries. This may be something you have already considered in light of the SECURE Act, which became effective on Jan. 1, 2020. (Read more on the SECURE Act at: https://www.bsk.com/news-insights/the-secure-act-of-2019).
Depressed market values reduce the amount of taxable income that would be recognized as part of the conversion, along with the added benefit of allowing depressed assets to grow and/or regain their values tax free.
Samantha E. Grossmann is an associate attorney at Bond, Schoeneck & King PLLC in Syracuse, in the firm’s Trust and Estate practice area. Contact her at sgrossmann@bsk.com. Matthew W. Taylor is an associate attorney in Bond’s Rochester office, also in the firm’s Trust and Estate practice area. Contact him at mtaylor@bsk.com
Teachers Are Doing Incredible Work In These Difficult Times
They deserve our praise These last few months have been challenging for most everyone. Our normal routines and activities that previously provided structure have been turned upside down. The state’s educational system has faced sweeping changes and has been forced to dramatically adjust the ways in which teachers connect to their students. New York’s educators
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They deserve our praise
These last few months have been challenging for most everyone. Our normal routines and activities that previously provided structure have been turned upside down. The state’s educational system has faced sweeping changes and has been forced to dramatically adjust the ways in which teachers connect to their students. New York’s educators and administrators have put in an incredible amount of work to make the most of a difficult situation.
We recently celebrated Teacher Appreciation Week, and I cannot think of a better example of all the work these incredible people do than what we have seen this academic year. Their ability to adapt during this unprecedented educational upheaval is remarkable. Teachers’ dedication to students, willingness to go above, and beyond and their daily professionalism deserves our recognition. We are fortunate that our youngest New Yorkers are in the hands of teachers who care so deeply and compassionately about them.
As educators rise to the occasion, they regularly deal with the challenges their students face in a new and unfamiliar environment. Children have not been able to see their friends and classmates each day and are missing the benefits of in-class instruction time. It is through innovation and creativity that schools and teachers are finding new ways to connect and improve students’ ability to work independently and with focus.
Recently, Gov. Andrew Cuomo has made plans about “reimagining” education on the other side of this health crisis. He questioned the need for the traditional classroom model and announced that he would partner with Microsoft founder Bill Gates on advancing the use of technology in the education. For parents and teachers who lived through previous forays of the Gates Foundation into New York’s educational system, this is hardly welcome news. There may be a number of ways technology can, and will, offer new educational opportunities. But, right now our focus must be on eradicating this terrible virus, reopening society, and getting children back in classrooms with their peers as soon as possible.
These are uncertain times, especially considering the enormous budgetary shortfalls we are expecting in the next few years. Now is not the time add even greater uncertainty into an education sector facing tremendous pressures. Now is the time for damage control; it is the time to offer any protections we can to our most important institutions. Our children need socialization, interaction, and togetherness. This must be the priority of any plans for our state’s education system.
Ultimately, we are going to be OK. New York, especially, has always rallied in times of crisis and our capacity for kindness and compassion is unrivaled. We are strong. For now, keep doing the best you can and take care of each other; that is all we really can do right now.
William (Will) A. Barclay, Republican, is the New York Assembly Minority Leader and represents the 120th New York Assembly District, which encompasses most of Oswego County, including the cities of Oswego and Fulton, as well as the town of Lysander in Onondaga County and town of Ellisburg in Jefferson County. Contact Barclay at barclaw@assembly.state.ny.us or (315) 598-5185.
Governor’s Misguided Education Comments Send the Wrong Message
During a recent press conference, Gov. Andrew Cuomo announced that he is enlisting the help of Bill and Melinda Gates in an effort to “reimagine” the state’s education system. The governor seems to be considering some radical proposals. He dismissively referred to the idea of students sitting in a classroom and learning from a teacher
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During a recent press conference, Gov. Andrew Cuomo announced that he is enlisting the help of Bill and Melinda Gates in an effort to “reimagine” the state’s education system. The governor seems to be considering some radical proposals. He dismissively referred to the idea of students sitting in a classroom and learning from a teacher standing in the front of the class as the “old model.”
“Why? With all the technology you have?” he asked.
For many teachers, administrators, parents, and students, this would amount to a historic bait and switch. Closing schools was one of the many emergency orders the governor sold to the public as a temporary sacrifice to mitigate an unprecedented crisis. And while teachers and administrators should be commended for their efforts to implement distance learning on the fly, education advocates have been quick to point out its limitations in the wake of the governor’s comments.
“Since the schools were shut down in mid-March, our understanding of the profound deficiencies of screen-based instruction has only grown. The use of education tech has its place, but only as an ancillary to in-person learning, not as its replacement.” That is what the NYS Allies for Public Education, Class Size Matters, and the Parents Coalition for Student Privacy said in a letter to the governor. New York State United Teachers were even more direct in saying, “Remote learning, in any form, will never replace the important personal connection between teachers and their students.”
The approach isn’t just flawed. It’s also inaccessible for far too many children. Too many families in rural areas cannot access a reliable internet connection. Far too many families in poverty across the state simply do not have the technology to provide their children with an effective workspace for digital learning.
As government officials, we need to do what is best for our children. Children belong in school. It’s where they form lasting bonds and friendships and it’s where they learn how to work together. They learn trade skills and life skills at school. They join sports teams, theatrical productions, and volunteer groups there. School is where our students with special needs receive the services they deserve. Instead of leaning on a celebrity who has championed his share of failed education initiatives, the governor should be working with our teachers, administrators, and parents to meet the needs of every child in this state.
We aren’t going to move our education system forward by permanently emptying our classrooms.
Brian M. Kolb (R,I,C–Canandaigua) represents the 131st Assembly District, which encompasses all of Ontario County and parts of Seneca County. Contact him at kolbb@nyassembly.gov
New York cheese and butter production rose last year
New York plants produced 832.2 million pounds of cheese (excluding cottage cheese) in 2019, up nearly 4 percent from almost 802.3 million pounds in 2018, the USDA’s National Agricultural Statistics Service recently reported. The state had 65 cheese-production plants last year, up from 62 in 2018. New York plants produced nearly 26.5 million pounds of
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New York plants produced 832.2 million pounds of cheese (excluding cottage cheese) in 2019, up nearly 4 percent from almost 802.3 million pounds in 2018, the USDA’s National Agricultural Statistics Service recently reported.
The state had 65 cheese-production plants last year, up from 62 in 2018.
New York plants produced nearly 26.5 million pounds of butter in 2019, up more than 7 percent from nearly 24.7 million pounds the year before.
The Empire State had nine butter-production plants last year, down from 11 in 2018.

DACHENG REN, Ph.D., has been named interim associate dean for research and graduate programs in the College of Engineering and Computer Science at Syracuse University. He is the Stevenson Endowed Professor in the Department of Biomedical and Chemical Engineering and director of the Syracuse Biomaterials Institute. Ren received an early career translational research award in
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DACHENG REN, Ph.D., has been named interim associate dean for research and graduate programs in the College of Engineering and Computer Science at Syracuse University. He is the Stevenson Endowed Professor in the Department of Biomedical and Chemical Engineering and director of the Syracuse Biomaterials Institute. Ren received an early career translational research award in biomedical engineering from the Wallace H. Coulter Foundation in 2009 and a National Science Foundation (NSF) career award in 2011. He was named the College Technology Educator of the Year by the Technology Alliance of Central New York in 2010. At Syracuse, Ren was a recipient of the Faculty Excellence Award from the College of Engineering and Computer Science in 2014 and the Chancellor’s Citation for Faculty Excellence and Scholarly Distinction in 2018. Ren’s research has been supported by the NSF, National Institutes of Health, Environmental Protection Agency, Wallace H. Coulter Foundation, Alfred P. Sloan Foundation, and industrial sponsors. He received his Ph.D. in chemical engineering from the University of Connecticut in 2003. After finishing postdoctoral training at Cornell University, he joined Syracuse University in 2006.

Loretto has promoted COURTNEY LYON to administrator for Loretto Health & Rehabilitation in Syracuse. Formerly the assistant administrator of Loretto Health & Rehabilitation, Lyon holds a bachelor’s degree of biological science from Le Moyne College and a master’s degree in health-care administration from Utica College. She has been with Loretto since 2015, with roles in
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Loretto has promoted COURTNEY LYON to administrator for Loretto Health & Rehabilitation in Syracuse. Formerly the assistant administrator of Loretto Health & Rehabilitation, Lyon holds a bachelor’s degree of biological science from Le Moyne College and a master’s degree in health-care administration from Utica College. She has been with Loretto since 2015, with roles in finance, operations, and most recently the assistant administrator at Loretto Health & Rehabilitation.
JACK PEASE, former administrator of Loretto Health & Rehabilitation, was appointed administrator for the Nottingham Residential Health Care Facility in Jamesville. He has served as administrator for several Loretto locations since 2012. Pease is a certified nursing home administrator and American College of Health Care Administrators fellow, with a bachelor’s degree in economics and a master’s degree in health-care administration from SUNY Brockport.

Preferred Mutual Insurance Company
Preferred Mutual Insurance Company has appointed HEIDI HOELLER, retired partner at PricewaterhouseCoopers (PwC), to its board of directors. She spent more than 25 years at PwC, working with global and regional property and casualty insurance clients on regulatory and compliance reporting and audits. Hoeller is a CPA, and also a champion of diversity and inclusion
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Preferred Mutual Insurance Company has appointed HEIDI HOELLER, retired partner at PricewaterhouseCoopers (PwC), to its board of directors. She spent more than 25 years at PwC, working with global and regional property and casualty insurance clients on regulatory and compliance reporting and audits. Hoeller is a CPA, and also a champion of diversity and inclusion in the workplace. She will serve on the board’s audit and risk committee.
MICHAEL HAYDUK, deputy director of the information directorate at the Air Force Research Laboratory in Rome, has also joined the Preferred Mutual board. He will serve on the board’s compensation committee. Hayduk has spent almost 30 years with the Air Force Research Laboratory, and has held many positions while honing his engineering, networking, and communication technologies expertise. Hayduk also has significant research and development experience in advanced computing technologies, such as nanocomputing, quantum computing, optical computing, and computational intelligence.

The Syracuse Northeast Community Center has named BRIAN FAY as its new executive director. The center provides enriching programming and services principally to the Northeast side of Syracuse. Fay previously served as director of strategic initiatives for the Syracuse Community Center Collaborative, a shared-services partnership between Northeast, Huntington Family Centers, Syracuse Community Connections, and Westcott
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The Syracuse Northeast Community Center has named BRIAN FAY as its new executive director. The center provides enriching programming and services principally to the Northeast side of Syracuse. Fay previously served as director of strategic initiatives for the Syracuse Community Center Collaborative, a shared-services partnership between Northeast, Huntington Family Centers, Syracuse Community Connections, and Westcott Community Center. He succeeds Michael Collins, who directed the organization for six years of strong growth until he was appointed commissioner of neighborhood and business development by Syracuse Mayor Ben Walsh in March. Through his work in the collaborative, Fay is already well-versed in the operations, staff, and mission of Northeast. He has been involved with the center as it has transitioned to continuing services through the COVID-19 pandemic. Staff, working remotely, continues to provide comprehensive coordinated services to the community. Fay spent much of his professional career as a public-school teacher working with at-risk youth. He holds a bachelor’s degree from SUNY Oswego and a master’s degree from Radford University in Virginia.

MIKE METZGAR has joined TDO – Train, Develop, Optimize as business development manager. He will be responsible for promoting the vision, mission, core values, and capabilities of TDO, while also growing its presence within the five-county Central New York region. Metzgar comes to TDO from Onondaga Community College, where he served as associate VP of
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MIKE METZGAR has joined TDO – Train, Develop, Optimize as business development manager. He will be responsible for promoting the vision, mission, core values, and capabilities of TDO, while also growing its presence within the five-county Central New York region. Metzgar comes to TDO from Onondaga Community College, where he served as associate VP of economic and workforce development. He previously served as executive director of workforce development at Raritan Valley Community College. Metzgar formerly served as chairman of the TDO board of directors.
Stay up-to-date on the companies, people and issues that impact businesses in Syracuse, Central New York and beyond.