Understanding the Basics of Employment Law: What Small Business Owners Need to Know
As a small business owner, it is important to understand the basics of employment and labor law to protect your business and avoid costly legal issues. Employment and labor law is a complex and ever-changing area of law that governs the relationship between employers and employees.
So ask yourself, are you confident in your knowledge of employment and labor law?
No? Don’t worry, we’ve got you covered.
In this blog post, we will cover the basics of employment and labor law and what small business owners need to know to comply with the law.
Hiring Practices
Anti-discrimination laws are a crucial aspect of employment law. The Civil Rights Act, Americans with Disabilities Act, and Age Discrimination in Employment Act prohibit employers from discriminating against employees based on certain protected characteristics. It is important to ensure that your hiring practices comply with these laws to avoid discrimination claims.
Immigration and citizenship status are also important considerations when hiring employees. Employers must verify that employees are authorized to work in the United States but should avoid discriminating against employees based on their citizenship status or national origin.
Wage and Hour Laws
The Fair Labor Standards Act governs wage and hour laws in the United States. It requires employers to pay non-exempt employees at least the minimum wage and overtime pay for hours worked over 40 hours per week. Additionally, employers must maintain accurate records of non-exempt employee hours worked and pay. Exempt employees are not eligible for overtime. If you are struggling to determine if an employee is exempt or non-exempt, you should consult an attorney as there are specific rules promulgated by the federal government.
Workplace Safety
Employers have an obligation to maintain a safe workplace under the Occupational Safety and Health Act. This includes providing a workplace free from recognized hazards and complying with OSHA standards. Employers should take steps to identify and address potential workplace hazards to keep employees safe.
Be sure to address the safety precautions of the workplace in your Employee Handbook. If you don’t have an Employee Handbook for your business, you are running a risk. Click here and Nalls Davis will help you create one right away.
Employee Leave and Accommodations
The Family and Medical Leave Act (FMLA) provides eligible employees with up to 12 weeks of unpaid leave per year for qualifying reasons, such as a serious health condition or the birth of a child. Additionally, the Americans with Disabilities Act requires employers to provide reasonable accommodations to employees with disabilities. If your business is covered by FMLA, it is important to comply with these laws and provide employees with the necessary leave and accommodations to avoid legal issues.
Employee Leave and Accommodations should also be covered in your Employee Handbook. You can read more about Employee Handbooks here.
Need Legal Advice? Use the Button Below to Book Your Free Consultation
Workplace Harassment and Discrimination
Title VII of the Civil Rights Act prohibits harassment and discrimination in the workplace based on protected characteristics. Employers should take steps to prevent and address harassment and discrimination in the workplace to create a safe and inclusive work environment. If an employee complains about being harassed at work, then it is important to take steps to remedy the harassment which could, at a minimum, include conducting an internal investigation.
Termination and Layoffs
At-will employment is the default employment relationship in the United States, which means that employers can terminate employees for any reason, except for an unlawful reason. However, there are exceptions to at-will employment, and employers should be aware of these exceptions and avoid discrimination and retaliation claims when terminating employees or implementing layoffs. If an employee has a contract, then the contract should specify in detail when the employment relationship may end and how it should be terminated.
Independent Contractor vs. Employee Classification
There are important differences between independent contractors and employees, and misclassifying workers can lead to significant legal consequences. Employers should understand the differences between independent contractors and employees and properly classify workers to avoid legal issues. If you are hiring an independent contractor, it is best to consult with an attorney prior to making an offer or drafting a contract.
Conclusion
Employment and labor law is a complex and important area of law that all small business owners should understand. By following these basic guidelines, you can avoid legal issues and create a safe and inclusive work environment. If you have any questions about employment law or need legal advice, please do not hesitate to contact us at Nalls Davis Attorneys at Law. We offer a FREE consultation to discuss your employment and labor law needs.
Disclaimer
The information provided on this website does not, and is not intended to, constitute legal advice; instead, all information, content, and materials available on this site are for general informational purposes only. Information on this website may not constitute the most up-to-date legal or other information. This website contains links to other third-party websites. Such links are only for the convenience of the reader, user or browser; Nalls Davis Attorneys at Law and its members do not recommend or endorse the contents of the third-party sites.