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CHAPTER 5: BUSINESS LAW. WORKERS AND THE LAW 5.2 The Importance of Employment Laws In this section you will learn: The five major kinds of employment laws The three major federal equal employment opportunity laws The importance of occupational safety and health laws
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CHAPTER 5: BUSINESS LAW WORKERS AND THE LAW 5.2 The Importance of Employment Laws In this section you will learn: • The five major kinds of employment laws • The three major federal equal employment opportunity laws • The importance of occupational safety and health laws • How the Fair Labor Standards Act protects workers • Five benefits laws with which companies must comply • How labor relations laws protect workers’ rights
CHAPTER 5: BUSINESS LAW WORKERS AND THE LAW 5.2 The Importance of Employment Laws • In the early part of the twentieth century, employees were at the mercy of companies with respect to amount of salary, dangerous working conditions, and discriminatory hiring practices. • In the 1930’s Congress and state legislatures passed employment laws that regulated the relationship between companies and their workers, and give workers significant rights and benefits.
CHAPTER 5: BUSINESS LAW WORKERS AND THE LAW 5.2 The Importance of Employment Laws Companies must comply with five major kinds of employment laws: • Equal Employment Opportunity (EEO) laws prohibit discrimination against workers. • Occupational safety and health laws require compliance with federal, state, and local government standards. • Wage-hour laws establish minimum wage, overtime, and child labor standards. • Benefits laws guarantee certain benefits. • Labor relations laws protect the right to organize unions to bargain collectively for better wages and working conditions.
CHAPTER 5: BUSINESS LAW WORKERS AND THE LAW 5.2 The Importance of Employment Laws Equal Employment Opportunity (EEO) Laws : • The Civil Rights Movement of the 1960’s resulted in Title VII of the Civil Rights Act of 1964. • Under Title VII, companies were prohibited from discrimination on the basis of race, color, religion, sex, or national origin. • Title VII created the Equal Employment Opportunity Commission which could sue employers on behalf of workers.
CHAPTER 5: BUSINESS LAW WORKERS AND THE LAW 5.2 The Importance of Employment Laws Equal Employment Opportunity (EEO) Laws : • The Age Discrimination in Employment Act protected employees between ages 40 and 70 against discrimination. • The Americans With Disabilities Act (ADA) prohibits discrimination against persons with disabilities.
CHAPTER 5: BUSINESS LAW WORKERS AND THE LAW 5.2 The Importance of Employment Laws Occupational Safety and Health Laws : • The Occupational Safety and Health Act created the Occupational Safety and Health Administration (OSHA). • OSHA sets for keeping workplaces clean and free of hazards. • OSHA routinely visit workplaces to ensure compliance with government regulations. • Employees can request an OSHA inspection due to suspected violations.
CHAPTER 5: BUSINESS LAW WORKERS AND THE LAW 5.2 The Importance of Employment Laws Wage-Hour Laws : • In 1938 Congress passed the Fair Labor Standards Act (FLSA) also known as the Wage-Hour Law. • It addresses overtime, minimum wage, and child labor standards. • Employing children under age 14 is prohibited.
CHAPTER 5: BUSINESS LAW WORKERS AND THE LAW 5.2 The Importance of Employment Laws Benefits Laws • There are five different benefits laws: • Social Security Act (1935): retirement income and health insurance (Medicare) • Employee Retirement Income Security Act (ERISA):protects retirement fund money • Unemployment Insurance Laws: financial assistance during unemployment; 2 criteria • Worker’s Compensation Laws: workers are insured against illness, injury, or death on the job • Family and Medical Leave Act (FMLA): employees get up to 12 weeks of unpaid leave
CHAPTER 5: BUSINESS LAW WORKERS AND THE LAW 5.2 The Importance of Employment Laws Labor Relations Laws : • The National Labor Relations Act (NLRA) give employees the right to form unions. • Unions are groups of workers that collectively bargain for higher wages and better working conditions. • The NLRA says that companies must bargain “in good faith.” • Three of the most powerful unions are the Teamsters (diverse group; started with freight drivers), the National Education Association, and AFL-CIO (The American Federation of Labor and Congress of Industrial Organizations) which is a federation of over 50 labor unions from pilots to teachers.
CHAPTER 5: BUSINESS LAW THE END