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A Brief Outline of Employment Laws for Small Businesses
What federal laws regarding pay and benefits should I be concerned about as an employer?
When becoming an employer, one should familiarize oneself with (1) the Fair Labor Standards Act (FLSA), which governs minimum wage, overtime pay and child labor, (2) the Family and Medical Leave Act (FMLA), which provides certain employees with up to 12 weeks of unpaid, job-protected leave per year for specified family and medical reasons and requires that group health benefits be maintained during the leave, and (3) the Employee Retirement Income Security Act (ERISA), which applies to the administration of employee retirement and group health benefit plans.
Please remember that your state might have corresponding laws and it is your responsibility as an employer to comply with all relevant state and federal employment laws.
What are the federal laws regarding discrimination?
(1) Title VII of the Civil Rights Act of 1964 (Title VII) prohibits employment discrimination based on race, color, religion, sex, or national origin.
(2) The Equal Pay Act of 1963 (EPA) protects men and women who perform substantially equal work in the same establishment from sex-based wage discrimination.
(3) The Age Discrimination in Employment Act of 1967 (ADEA) protects individuals who are 40 years of age or older.
(4) Title I and Title V of the Americans with Disabilities Act of 1990 (ADA) prohibit employment discrimination against qualified individuals with disabilities in the private sector, and in state and local governments.
(5) The Civil Rights Act of 1991 provides monetary damages in cases of intentional employment discrimination.
The U.S. Equal Employment Opportunity Commission (EEOC) enforces all of these laws.
Please note that the requirements of the laws mentioned above are much more detailed and broader in scope than the summary provided. It is advised that you consult an attorney in order to be sure you are in compliance with all aspects of the law.
What are the rights of my employees who are in the military?
The Uniformed Services Employment and Reemployment Rights Act of 1994 (USERRA) protects civilian job rights and benefits for veterans and members of the military. USERRA enables returning service-members to be reemployed in the job that they would have returned to had they not been absent for military service. The Act prohibits discrimination in employment decisions such as hiring, promotion, reemployment, termination, and benefits. The Act also protects individuals who apply to become members of the service. USERRA also provides protection for disabled veterans - requiring employers to make reasonable efforts to accommodate the disability. All employers are subject to USERRA, regardless of the number of employees they have.
Please note that the requirements of USERRA are much more detailed and broader in scope than the summary provided above. It is advised that you consult an attorney in order to be sure you are in compliance with all aspects of the Act.
Do I need to hire an employment lawyer?
Employers are required to comply with a wide array of federal and state laws with regard to their employees. These laws can be complex and they often change quickly. Although an employer can handle many employment matters on his or her own, some issues will require legal expertise and it is often a wise investment to seek legal advice before a crisis arises.
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