1. Employment Laws

Employment Laws

Playlist: 17 videos: 53 Minutes



Topics: Learning Material

Introduction to Employment Law
Employment laws concern the federal and state statutes governing the practices of employers and the rights of employees. Labor laws, a subset of employment laws, concern the ability of employees to organize and collective bargain for employment rights and benefits. This chapter identifies the primary employment and labor laws protecting employee interests and putting affirmative obligations upon employers. It gives a cursory explanation of the laws, explains the laws objectives, and identifies specific employee rights and employer obligations affected by the law. For further written and video explanation, discussion and practice questions, see Employment Law (Intro)

Who is an “Employee”?
  • Employee vs Independent Contractor
  • Control Test
  • Economic Realities Test

For further written and video explanation, discussion and practice questions, see Who is an "employee" under the employment law?

“At-Will Employment” Relationship
  • “At-Will” Employees - Fire for any reason

Public Policy Exception

Implied Contract Exception

Good-Faith and Fair-Dealing Exception

For further written and video explanation, discussion and practice questions, see What characterizes the employer-employee, "At-Will" relationship?

Major Employment Laws
  • Internal Revenue Code
  • Fair Labor Standards Act
  • Family Medical Leave Act
  • Worker Readjustment and Retraining Act
  • Uniformed Services Employment and Reemployment Rights Act
  • Employee Retirement Income Security Act
  • Worker’s Compensation Act
  • Occupational Safety and Health Act
  • Consolidated Omnibus Budget Reconciliation Act
  • Health Insurance Portability and Accountability Act
  • Affordable Care Act
  • Immigration Reform and Control Act

For further written and video explanation, discussion and practice questions, see What are the major employment laws?

Employer Tax Obligations
  • Income Taxes
  • Payroll Taxes
  • Federal Unemployment Tax Act (FUTA) & State Unemployment Tax Act (SUTA)
  • Worker’s Compensation

For further written and video explanation, discussion and practice questions, see What are the "taxation" requirements imposed upon employers?

Fair Labor Standards Act (FLSA)
  • Wage and Hour Division of the Department of Labor.
  • Rate and method of pay for public and private employees
  • Age restrictions
  • Enforcement

⁃ Civil causes of action by employees or the Department of Labor

For further written and video explanation, discussion and practice questions, see What is the Fair Labor Standards Act (FLSA)?

Family Medical Leave Act (FMLA)
  • 12 weeks of unpaid leave during any 12-month period:

Health Conditions

Family Members

Birth

Adoption/Guardianship

Military Injury

  • Covered Employees and Employers

50 + Employees

Daily Employees

20 + Weeks of Employment

12-Month Period

1250 + Hours

50 + Employees

For further written and video explanation, discussion and practice questions, see What is the Family Medical Leave Act (FMLA)?

Worker Adjustment and Retraining Act (WARN Act)
  • Protect employee in large-scale layoffs as a result of operational closures by businesses (such as plant closure).
  • Adequate notice (a minimum of 60 days)
  • Employee Protections

⁃ Termination of employment,

⁃ Layoff exceeding 6 months, or

⁃ A reduction in employee’s work time of more than 50% in each month for 6 months.

Plant Closing

Mass Layoff

  • Enforcement

⁃ No governmental agency cause of action, investigation, or other enforcement of the WARN Act provisions.

⁃ Private civil action

⁃ Fines up to $500 per day, per employee

  • Exceptions from WARN Act Provisions

Strikes

Refinancing

Force Majeure

For further written and video explanation, discussion and practice questions, see What is the Worker Adjustment and Retraining Act (WARN Act)?

Occupational Safety and Health Act (OSHA)
  • Regulate safety conditions for employees
  • Covers employers with 20 or more employees.
  • Employer Requirements

Safe Work Environment

Notification

Right to Complain

Retaliation

  • Enforcement

⁃ Employee complaint

⁃ Result in an OSHA inspection.

⁃ No private cause of action

For further written and video explanation, discussion and practice questions, see What is the Occupational Safety and Health Act (OSHA)?

Employee Retirement Income Security Act (ERISA)
  • Protections

Disclosure and Reporting

Fiduciary Standards

Insurance Benefits

  • Types of Pension Plans

⁃ Defined Benefit Plan

⁃ Defined Contribution Plan

  • Employee Protections & Employer Requirements

Funding

Vesting

Guarantee

For further written and video explanation, discussion and practice questions, see What is the Employee Retirement Income Security Act (ERISA)?

Consolidated Omnibus Budget Reconciliation Act (COBRA)
  • Protect employees from loss of healthcare coverage in certain situations.

⁃ Employers with 20 or more employees.

  • Qualifying Events

⁃ Death of a covered employee;

⁃ Voluntary or involuntary termination, layoff, strike, reduction of hours, etc.;

⁃ Divorce from a defendant beneficiary;

⁃ Dependent minor reaches an age of non-coverage under the employee’s plan.

  • Period of Employee Protection

⁃ Up to 18 months under no extenuating circumstances,

⁃ 29 months if a person is disabled, and

⁃ 36 months in case of divorce or widow.

For further written and video explanation, discussion and practice questions, see What is the Consolidated Omnibus Budget Reconciliation Act (COBRA)?

Health Insurance Portability and Accountability Act (HIPAA)
  • Protection of health information by employers and healthcare providers.
  • Allows to carry insurance coverage from one employer to another.
  • Prevents discrimination for pre-existing conditions
  • Often done by purchasing interim insurance under COBRA.
  • Can only exclude pre-existing conditions within 12 months
  • Significant changes by Affordable Care Act

For further written and video explanation, discussion and practice questions, see What is the Health Insurance Portability and Accountability Act (HIPAA)

Worker’s Compensation
  • Protect employees and their families from the risks of accidental injury, death, or disease resulting from their employment.
  • Government or private coverage
  • Receive portion of salary during period of injury.
  • Employee cannot sue employer for negligence.

For further written and video explanation, discussion and practice questions, see What are "Workers Compensation Laws"?

Employment Verification Laws
  • Immigration Reform and Control Act of 1986 (IRCA).
  • Form I-9 Employment Eligibility Verification forms
  • E-verify program

For further written and video explanation, discussion and practice questions, see What are "Employment Verification" Laws?

Workplace Privacy Laws
  • Electronic Communication Privacy Act (ECPA)

Business Equipment

Security

  • Employee Polygraph Protection Act (EPPA)

Drug Testing

For further written and video explanation, discussion and practice questions, see What are "Workplace Privacy Laws"?

What are “Labor Laws”?
  • Relationship between the employers and employees
  • Regards benefits, obligations, and bargaining rights.

For further written and video explanation, discussion and practice questions, see What are "labor laws"?

Major Labor Laws
  • Norris-LaGuardia Act
  • National Labor Relations Act (or Wagner Act)
  • Taft- Hartley Act
  • Labor Management Reporting and Disclosure Act

For further written and video explanation, discussion and practice questions, see What are the major labor laws?


Flashcard: Practice Material

Q1
Most of the employment laws apply to the relationship between employer and employee, and specifically exclude the independent contractor relationship. True or False

Q2
The _______________ test applies numerous factors regarding the extent of an employer’s control over the employee or independent contractor.

Q3
The _______________ test seeks to determine the economic situation under which the individual performs services for the employer.

Q4
The ______________ employment doctrine allows for an employer to discharge or fire an employee for any non-discriminatory or retaliatory reason without cause or justification.

Q5
Most states in the United States prohibit an employer from firing an employee if the reason for the action violates some readily accepted _______________.

Q6
Some states recognize an exception that sees the employer employee relationship as a contract that cannot be undone without specified or “good cause”. This exception is known as the __________________ exception.

Q7
Some states recognize the ___________________ exception, which impose upon the employer a duty to exercise good faith and fair dealing with regard to all employees. This means that an employer must treat an employee fairly in the decision to fire her.

Q8
Employment law is both both federal law and state law. True or False

A8
True

Q9
Employers have an obligation to withhold ___________ from an employee’s compensation based upon an employee’s election. The employer then submits those funds to the state and federal authorities.

Q10
Employers are required to withhold Medicare and Social Security taxes from the employee’s salary pursuant to the Federal Income Contributions Act (FICA). The employer combines these withheld funds the employer’s FICA tax obligations for the employee and submits the funds to the IRS each month. These are known as ___________________.

Q11
Employers withhold ________________ to provide protection to the employee who loses her employment for any covered reason.

A11
Federal Unemployment Tax Act (FUTA) and State Unemployment Tax Act (SUTA)

Resource Video: https://thebusinessprofessor.com/employer-withholding-requirements/

Q12
__________________ is a state law regime that requires employers to maintain insurance that provides wage and benefit replacement in the event an employee is injured in the scope of her employment.

Q13
____________________ is a law administered by the Wage and Hour Division of the Department of Labor that places limitations and requirements on the rate and method of pay for public and private employees who are covered by the law.

A13
The Fair Labor Standards Act (FLSA)

Resource Video: https://thebusinessprofessor.com/fair-labor-standards-act/

Q14
_____________________ was passed to provide covered employees (both male and female) with time away from work in the event of medical necessity.

A14
The Family Medical Leave Act (FMLA)

Q15
The Family Medical Leave Act (FMLA) allows covered employees can take up to 12 weeks of unpaid leave from work during any 12-month period in any of the following situations:

A15
Personal or Family Health Conditions, Birth, Adoption, or Guardianship of a Child

____________________ says that an employer cannot take any negative actions against the employee for taking the unpaid leave for medical reasons. The employer must allow the employee to return to her same job at the end of the period.

A16
The Family Medical Leave Act (FMLA)

Q17
The Family Medical Leave Act (FMLA) applies to employers employing __________________.

A17
50 or more employees, for 20 or more weeks per year.

Resource Video: https://thebusinessprofessor.com/family-medical-leave-act-fmla/

Q18
If the The Family Medical Leave Act (FMLA) applies to an employers employer, it provides benefits to employees who ______________.

A18
Have worked for 12 months or more; Have worked 1250 or more hours in last 12 months; Work at a location with 50 or more employees

Resource Video: https://thebusinessprofessor.com/family-medical-leave-act-fmla/

Q19
____________________ was passed to protect employee rights and interests in the event of large-scale layoffs as a result of operational closures by businesses (such as plant closure). The law provides that covered employers must provide adequate notice (a minimum of 60 days) to employees in the event of such a pending layoff.

A19
The Worker Adjustment and Retraining Act (WARN Act)

Resource Video: https://thebusinessprofessor.com/worker-adjustment-and-retraining-act/

Q20
The Worker Adjustment and Retraining Act (WARN Act) is applicable to employers with _____________ part-time and full-time employees.

Q21
The provisions of The Worker Adjustment and Retraining Act (WARN Act) are made to protect individuals who will suffer a loss of employment as a result of the layoff or operational closure. Loss of employment for purposes of the WARN Act includes:

A21
termination of employment, layoff exceeding 6 months, or a reduction in employee’s work time of more than 50% in each month for 6 months.

Resource Video: https://thebusinessprofessor.com/worker-adjustment-and-retraining-act/

Q22
(An) exception(s) to the notice provisions of The Worker Adjustment and Retraining Act (WARN Act) exist that allow(s) an employer to give less than 60 days notice to protected employees. The primary exception(s) is/are as follows:

A22
Employee Strikes, Needed for Corporate debt refinancing, Force Majeure (natural disaster)

Resource Video: https://thebusinessprofessor.com/worker-adjustment-and-retraining-act/

Q23
___________________ was passed to regulate safety conditions for employees in the work places of private employers with 20 or more employees.

A23
The Occupational Safety and Health Act (OSHA)

Resource Video: https://thebusinessprofessor.com/occupational-safety-and-health-act/

Q24
_____________________ is the federal agency charged with overseeing and developing rules and regulations concerning workplace safety, inspects business premises, fields and investigates complaints of hazardous conditions, and may take administrative and judicial actions for failure to comply.

A24
The Occupational Safety and Health Act (OSHA)

Resource Video: https://thebusinessprofessor.com/occupational-safety-and-health-act/

Q25
The primary employer requirement(s) under the Occupational Safety and Health Act (OSHA) is/are as follows:

A25
Safe Work Environment, Notification of Dangerous Conditions, Employee Right to Complain about Dangerous Conditions, Protection from Retaliation for complaining about dangerous conditions

Resource Video: https://thebusinessprofessor.com/occupational-safety-and-health-act/

Q26
__________________ Is a federal act that protects employees’ rights with regard to pension, retirement, and other benefit plans offered or provided by employers. Portions of the plan are administered by the Department of Labor, the Internal Revenue Service, and the Employee Benefits Security Administration.

A26
The Employee Retirement Income Security Act (ERISA)

Resource Video: https://thebusinessprofessor.com/employee-retirement-income-security-act-erisa/

Q27
Employer requirements or obligations under the Employee Retirement Income Security Act (ERISA) include:

A27
Disclosure and Reporting about Plan, Fiduciary Standards of Fund Administrators, Maintain Financial Institution Insurance

Resource Video: https://thebusinessprofessor.com/employee-retirement-income-security-act-erisa/

Q28
There are two basic categories of pension plan covered under ERISA. A _____________________ plan provides recurring payments to an employee upon retirement.

Q29
Employee pension or benefit protections under the Employee Retirement Income Security Act (ERISA) include:

A29
Adequate funding of plan benefits; Vesting pursuant to fixed schedules; Guarantee through Insurance

Resource Video: https://thebusinessprofessor.com/employee-retirement-income-security-act-erisa/

Q30
____________________ was passed to protect employees from the loss of healthcare coverage in certain situations by allowing an employee or an employee’s dependent who is a beneficiary under an employee’s healthcare plan to maintain health coverage when a qualifying event causes a loss of coverage.

A30
Consolidated Omnibus Budget Reconciliation Act (COBRA)

Resource Video: https://thebusinessprofessor.com/consolidated-omnibus-budget-reconciliation-act-cobra/

Q31
Consolidated Omnibus Budget Reconciliation Act (COBRA) applies to employers with ____________ employees, who lose insurance coverage based upon ________________.

A31
20 or more employees; a qualifying event.

Resource Video: https://thebusinessprofessor.com/consolidated-omnibus-budget-reconciliation-act-cobra/

Q32
_____________________ is the primary law governing the protection of health information by employers and healthcare providers. It prevents providers of health insurance or group health plans from discriminating against individuals who transfer from one insurance plan or provider to another.

A32
The Health Insurance Portability and Accountability Act (HIPAA)

Resource Video: https://thebusinessprofessor.com/health-insurance-portability-and-accountability-act-hipaa/

Q33
If an employee leaves or is discharged from employment, ____________ allows that employee to enter into a subsequent health plan with a new employer without having any elements of her prior coverage denied for preexisting conditions.

A33
The Health Insurance Portability and Accountability Act (HIPAA)

Resource Video: https://thebusinessprofessor.com/health-insurance-portability-and-accountability-act-hipaa/

Q34
____________________ laws are either state or federal statutes designed to protect employees and their families from the risks of accidental injury, death, or disease resulting from their employment.

A34
Worker’s compensation

Resource Video: https://thebusinessprofessor.com/workers-compensation-laws/

Q35
Worker’s Compensation laws require that, if an employee suffers an accidental injury in the course of performance of her work obligations, the insurer or administering worker’s compensation board or commission will pay the employee ___________ during the period of temporary disability.

A35
a pre-determined percentage of her wages

Resource Video: https://thebusinessprofessor.com/workers-compensation-laws/

Q36
Worker’s compensation laws are designed protect employers as well as employees. True or False

A36
True - The employee is protected in the even the employer goes out of business.

Resource Video: https://thebusinessprofessor.com/workers-compensation-laws/

Q37
The primary employment law concerning employee eligibility verification is the ____________________. It requires that all employers complete and retain Form I-9 Employment Eligibility Verification forms for each individual they hire in the US.

A37
Immigration Reform and Control Act of 1986 (IRCA)

Resource Video: https://thebusinessprofessor.com/employment-verification-laws/

Q38
The _____________________ prohibits the recording or monitoring of employee’s private conversations without the employee’s knowledge. That is, an employee has an expectation of privacy with regard to her personal communications in the workplace.

A38
Electronic Communication Privacy Act (ECPA)

Resource Video: https://thebusinessprofessor.com/workplace-privacy-laws/

Q39
Under the Electronic Communication Privacy Act (ECPA), an employee has no right to privacy when employing the employer’s equipment to communicate. True or False

Q40
The ______________________ prohibits private employers from using a polygraph while screening job applicants. That is, an employee or prospective employee cannot be compelled to submit to a polygraph as a condition of employment.

A40
Employee Polygraph Protection Act (EPPA)

Resource Video: https://thebusinessprofessor.com/workplace-privacy-laws/

Q41
________________ control the relationship between employers and employees with regard to such things as benefits, obligations, and bargaining rights.

Q42
The ________________ was the earliest federal law broadly protecting the rights of employees to organize and bargain collectively. Specifically, it limited the ability of federal courts to issue orders preventing organized employee groups from striking, picketing, or other protect activity.

A42
National Labor Relations Act of 1935 (NLRA)

Resource Video: https://thebusinessprofessor.com/labor-union-laws-norris-laguardia-act/

Q43
The ____________________, also known as the Wagner Act, was passed in 1935 to strengthen the protections afforded private-sector employees to organize or bargain collectively.

A43
National Labor Relations Act of 1935 (NLRA)

Resource Video: https://thebusinessprofessor.com/national-labor-relations-act-of-1935/

Q44
The provisions of the National Labor Relations Act of 1935 (NLRA) are administered by the _____________________.

A44
National Labor Relations Board (NLRB)

Resource Video: https://thebusinessprofessor.com/national-labor-relations-act-of-1935/

Q45
The ___________________ is a group of amendments to the NLRA including:

A45
Right to Work Laws, Unfair Discharge Laws, Employer protections from Boycott Activity

Resource Video: https://thebusinessprofessor.com/labor-management-relations-act-taft-hartley-act/

Q46
Perhaps most notable addition of the Taft Hartley Act is Section 14(b), providing for ________________. This provision allows states to pass laws prohibiting mandatory membership in a union or mandatory union dues for an employee.

Q47
The ____________________, also known as the Landrum-Griffin Act, was passed to provide greater protections to individual union members similar to those of corporate shareholders.

A47
Labor Management Reporting and Disclosure Act of 1959 (LMRDA)

Resource Video: https://thebusinessprofessor.com/labor-management-reporting-and-disclosure-act/


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