With the rash of new employment laws that have been passed in the last several years it’s all but impossible for employers to feel confident that they are in compliance with them all. But forget these new laws, many companies aren’t complying with some of the oldest laws on the books and they have no idea they are even in violation. Here are a few of the laws that companies most frequently find themselves out of compliance on. Are you aware of them and how do you size up?
Federal, State and City Employment Law Posters
Although most companies know these must be displayed, many aren’t aware of the full list of posters that are required and where they must be hung, particularly City mandated ones. For example, San Francisco has a host of required notices from their own minimum wage requirement to the City’s Paid Sick Leave Ordinance.
Hourly or Salaried?
The Fair Labor Standards Act (FLSA) dictates which employees must be paid hourly, and which are “exempt” from overtime and can be paid a salary. It’s tricky, and there are numerous exemption tests, which one you use is determined by the type of work your various employees perform. The ability to accurately answer the questions on these tests is frequently a source of frustration for employers as well.
The Dreaded I9
Are you using the new I9 and completing it correctly? Many people are still unaware a new form was introduced in November of 2011, and there’s complex new instructions along with it on how to complete it properly.
Are you confident you are calculating overtime correctly in accordance with Federal and State law? It gets complicated as this can vary widely by state or industry. In California employees are entitled to daily overtime for any work over 8 hours and they receive double time on day seven if they have worked seven consecutive days in a row. The Massachusetts Blue Laws limit the time retailers are able to open on Sundays and require companies to pay employees time and a half if they work on this day.
Again, requirements around final pay for employees vary by state and type of termination. In California you must pay an employee immediately if you terminate their employment, however you have 72 hours to get them a check if they resign on the spot with no notice. In Massachusetts, on the other hand, you’ve got until the next payday to get an employee who has quit their final check.
You may have a pit in your stomach at this point, worrying about the potential consequences you are facing if you just realized you are out of compliance with some of these laws. The good news is that many of these are really easy fixes for your company to make.
Dovetail HR has a very quick and easy assessment for you to evaluate these and other employment laws, and how compliant you are with them. Click here for a link to our assessment.