Employment Strategies 101 Part I – Legal Issues and Regulations Part II - Hiring Processes

1. Employment Strategies 101 Part I – Legal Issues and Regulations Part II - Hiring Processes Motivation Dealing with Issues

2. Part I – Legal Issues and Regulations Federal laws relating to employment Some apply to ALL employers (one employee or more) Some apply to employers with more than “x” employees, but ….

3. Assume ALL laws apply to you and attempt to abide by them, even if you don’t have to This will save you money and “hassles” (possible legal action against you)

4. Equal Pay Act – 1 employee You may not discriminate between employees in wages, salary based on sex (or for any other non-job-related reason) Pay based solely on job duties

5. ERISA Employee Retirement Income Security Act - 1 employee If you have employee benefits (health insurance, retirement plan) you must provide details of the plans and adhere to certain funding, vesting, fiduciary standards (Your benefits advisor should give you information about these requirements)

6. OSHA – Occupational Health and Safety Act – 1 employee You must provide a safe workplace for employees, including fire safety, blood-borne pathogens, and safety from workplace hazards. You must submit to inspections and keep records on incidents You may need to provide immunization against Hep-B

7. Unemployment compensation – 1 employee Federal and State You must participate in a fund to provide continued benefits to employees who lose their jobs involuntarily

8. Worker’s Compensation Insurance – 1 employee You are required to cover employee injuries or illnesses, and pay for medical and rehab, provide death benefits for survivors Insurance fund – state/federal?

9. Employee Polygraph Protection Act of 1988 – 1 employee You may not use lie detector tests But you may test certain employees if you suspect that they are involved in a workplace incident (embezzlement, for example)

10. FLSA – Fair Labor Standards Act – 2 employees • Pay for work “suffered or permitted to be performed” • Pay overtime for work over 40 hours a week – exempt vs. non-exempt

11. FLSA, continued • FLSA does not require you to pay for • Vacations, holidays, severance, sick time • Meal or rest periods • Premium pay for holidays or weekends • Raises or benefits

12. You do not have to give notice for discharge • 4. Child labor provisions restrict hours and duties for workers under 18 • Recordkeeping requirements • Must pay minimum wage • Must pay all earned wages at termination

13. ADA – Americans with Disabilities Act – 15 employees You must exercise “reasonable” measure of accommodation for applicants and employees who are otherwise able to perform the job duties

14. IRCA – Immigration Reform and Control Act – 4 employees You must verify identity and work eligibility for employees and keep records on employee eligibility (I-9 form for legal aliens)

15. EEO – Equal Employment Opportunity – 15 employees You must treat all applicants and employees according to abilities, achievements, experience, attitudes, without regard to race, color, creed, sex, age, national origin

16. Pregnancy Disability – part of Civil Rights Act – 15 employees You must recognize pregnancy as a disability and treat the same as other disabilities (including right to return to work after pregnancy ends)

17. Age Discrimination in Employment – 20 employees You cannot discriminate in employment against individuals aged 40 or older

18. COBRA – Consolidated Omnibus Budget Reconciliation Act – 20 employees For employees leaving, you must allow them to stay in group health plan at their cost, and you must inform them of their rights under this law

19. FMLA – Family and Medical Leave – 50 employees You must allow employees to take up to 12 weeks unpaid leave without jeopardizing job for child care, care of relative, serious health condition You may also need to restore employee to same or equivalent position

20. Rule of thumb: With some exceptions due to cost, “reasonableness” – Act as if the law applies to you Treat applicants and employees equally and fairly

21. Part II Hiring Training Motivating Dealing with Employee Issues

22. Basic Principles Respondeat Superior At Will Employment

23. Duties of employer: • Compensation • Reimbursement • Indemnity • Safe working conditions • Cooperation

24. Duties of employee • Obedience • Loyalty • Reasonable Skill • Accurate accounting • Communication

25. Laws relating to employment • Fair Labor Standards Act • Overtime • ADA – Americans with Disabilities Act (15 employees) • OSHA – one employee! • Unemployment Compensation • Workers Compensation

26. Before You Hire: Create an organization chart and job descriptions Prepare a Practice Manual

27. Hiring Process: • Decide on specifics of position • Advertise • Review applicant and interview • BFOQ and Ask All • Check references!!! • Hire and do Orientation

28. Motivating and Paying Employees Review at least once every 6 months Pay at top of range

29. Employee Issues Create a file for each employee Payroll file Personnel file Rule #1 – Document EVERYTHING Rule #2 – If you don’t document everything, you will need to start documenting EVERYTHING!

30. Terminating Employees • Remember Rule #1 – Get an Attorney • Two situations: • 1. Dangerous, violation, major rule • Don’t be afraid to terminate immediately • Performance issues • Set up due process, be sure it’s followed quickly but appropriately