When starting a business, you might need employees at some point. Some business owners hire employees when beginning, while others handle all business aspects by themselves until demands increase. Regardless of when you bring employees in, you need to be adequately informed about certain matters to protect your business.
Below are four examples:
1. Anti-discrimination laws
Numerous anti-discrimination laws exist at the federal and state levels. These include Title VII of the Civil Rights Act, the Age Discrimination in Employment Act (ADEA), the Americans with Disabilities Act (ADA), the Texas Labor Code, Chapter 21 and the Texas Workers’ Compensation Act. It’s crucial to understand the provisions of these laws.
Your hiring practices should not result in an applicant being treated unfavorably because of their identity attribute. For example, the job post should not include language that may discourage some qualified applicants from applying.
Anti-discrimination laws should be observed when hiring an applicant, when they become an employee and when they file a claim.
2. Wage and hour laws
You should comply with the minimum wage and overtime pay established by the Fair Labor Standards Act (FLSA). Paying employees less than the accepted rate or failing to pay when they work overtime can get you into legal trouble. Assess the nature of your employees’ duties to make informed decisions about overtime eligibility.
3. Employee classification
How you categorize workers is crucial. If you want to work with independent contractors, you should treat them accordingly. Exercising direction and control over a worker hired as an independent contractor can be considered employee misclassification.
4. Workplace safety
Ensure that your workplace observes regulations set by the Occupational Safety and Health Act (OSHA). You don’t want to expose employees to elements that may harm them.
As a new employer, it’s vital to be well-informed about relevant laws. Consider legal guidance to avoid costly mistakes and make your work more manageable.