US Laws & Regulations Flashcards
Consumer Credit Protection Act
Limits wage garnishments: up to 25% of disposable wages after deductions
Child support: up to 50% garnishments if dependents, 60% if none
Student loans: up to 15%
ERs cannot retaliate unless > 1 garnishment
Davis Bacon Act
Contractors & subcontractors must pay prevailing wages to laborers
ERISA
Employee retirement income security act
protects EEs pensions from losses in benefits due to job changes, plant closures, bankruptcies or mismanagement
Does not apply to public EEs or churches
HIPAA
Health insurance portability and accountability act
EEs who leave/lose job can get health coverage even if someone in family ill or pregnant
Privacy reqs for medical records
Limits exclusions for preexisting conditions and guarantees health coverage renewability
FLSA
Fair Labor Standards Act determines minimum wage, OT (1.5x normal pay for all hours >40)
Determines exempt or nonexempt OT status
ERs must keep records of EE info
Types of Exempt Status EEs
Executive, administrative, professional, computer systems, outside sales
Exempt EEs
Excluded from OT requirements
Nonexempt EEs
Included in OT requirements and entitled to cash OT
FLSA Exemption Requirements
Minimum salary w/o improper deductions
Perform exempt duties
Primary Duty Issue
The main/most important duty that determines exemption
>50% time performing exempt primary duty = exempt status
Lower %age results in greater legal challenge
Executive Exemption
Primary duty of managing enterprise, dept., subdivision
Authority to hire/fire & promotion decisions
Direct work of 2+ FT EEs or equivalent
Administrative Exemption
Performance of office or non-manual work directly related to management or biz operations of ER/ER customers
Must include exercise of discretion/independent judgment related to matters of significance
Professional Exemptions
Learned Professional: advanced knowledge in science or learning acquired by prolonged instruction - intellectual, exercise of discretion & judgment
Creative professional: minimum salary reqs met; work requires inventions imagination, originality, talent; recognized field of creative/artistic endeavor
Highly Compensated Exemption
annual salary of 100K or more including at least $455 per week on salary/fee basis
Must perform executive, admin, or professional duties
Computer Systems Exemption
Minimum salary $455/week
Cannot be subject to deductions inconsistent w/salary basis req
Primary duties must be either: 1) systems analysis, 2) design, development of computer systems, 3)design, documentation, testing of programs related to machine OS or 4) combination
Outside Sales Exemption
Primary duty making sales or obtaining orders/contracts
Customarily, regularly engaged away from place of business
NOT SUBJECT to min salary reqs
Improper Deductions
Make improper deductions, lose exemption and pay OT to EEs in same job classification for the EE who rec’d improper deductions during same time period
Eg: absences related to operational reqs of ER, deductions for illness in less than full-day increments
Permissible Deductions
EE performed no work in a work week
EE absent from work b/c of personal issues excluding sickness/disability
Disciplinary suspensions of 1+ days
Safe Harbor Provision
Prevents ER from losing OT exemption for improper pay deductions regardless of reason as long as:
1) ER clearly communicated policy prohibiting improper deductions
2) Co makes good faith effort to comply in future
3) EEs reimbursed for improper deductions
FLSA Basis OT Provisions
Rate of OT pay 1.5x regular pay >40 hours including base pay, shift premiums, production bonuses
OT req on time worked, not time compensated (eg sick pay, holiday, etc.)
Sets work week as any fixed, recurring period of 168 hours (7 24-hour days)
Compensatory Time
OT must be paid in cash
Public sector EEs may grant comp time off
Public EEs may accumulate comp time 240 hours; police/fire 480 hours
FLSA Child Labor Protections
Restricts hours/conditions of employment for minors
FLSA Under Age 14
Prohibited from most non-farm work
May be employed by parents
Certain jobs permitted: acting, paper route
FLSA Age 14-15
May work 3 hours/day during school hours
May work 8 hours/day during school vacation
Hours restricted
FLSA Age 16-17
Prohibited from hazardous jobs as all minors are but no other restrictions
LMRA/Taft-Hartley Act
Labor Management Relations Act helps ERs
Prohibits unfair labor practices by unions and outlaws closed shops where union membership req to get/keep job
NLRA/Wagner Act
National Labor Relations Act helps unions
EEs allowed to form unions, negotiate wage/hour issues w/ERs
EEs may organize, join unions, engage in collective bargaining/concerted activities
Protects against ER unfair labor practices
Landrum-Griffin Act
Protects the EEs in the unions
No corrupt/discriminatory labor unions/orgs
Norris-LaGuardia Act
Prohibits yellow dog contracts - agmts where EEs promise ERs they will not join unions
Sherman Anti-Trust Act
Prohibits restriction of competition, price fixing, restriction of trade
Wagner-Peyser Act
Assists unemployed
Job seeking assistance and recruitment services for ERs
ADA
Americans w/Disabilities Act (15+ EEs)
ERs must provide reasonable accommodations to qualified individuals unless undue hardship on operations
If no req for accommodation, no action req by ER
No inviting applicants to ID disability status prior to offer
Civil Rights Act (Title VII)
15+ EEs
Employment discrimination
6 protected classes: race, color, religion, national origin, sex, sexual orientation/gender identity (NOT age/disability!)
Drug Free Workplace Act
15+ EEs
Only applies to fed contractors & orgs receiving fed grants
Genetic Info Nondiscrimination Act
15+ EEs
May not use genetic info to make emp. decisions
Lilly Ledbetter Fair Pay Act
15+ EEs
Clock starts anew every time there is an illegal discrimination against EE
Statute of limitations for filing equal pay lawsuit w/EEOC is two years from the time the discriminatory paycheck is rec’d
ADEA
Age Discrimination in Employment Act
20+ EEs
Discrimination prohibited EEs age 40+
COBRA
20+ EEs
ERs must offer terminated EEs continuing health coverage after they leave/no longer qualify for benefits
Cost at group rates w/max 2% admin service charge
Provide notice w/in 90 days of EE leaving
Establish reasonable notice procedures for all EEs
Not req for term after gross misconduct
Affirmative Action
50+ EEs
Equal employment opp and outreach for minorities and women
FMLA
50+ EEs
Family & Medical Leave Act applies to all public schools and agencies regardless of size
Leave up to 12 weeks in 12 month period that is unpaid unless ER has own policy
Employed at least 12 mos, 1250 hours of service
EE guaranteed to RTW in same job, pay, conditions as prior to leave
Affordable Care Act
50+ EEs
ERs must provide FT EEs with minimum health ins coverage or get fined 2K per EE
ERs with < 25 EEs rec tax credit if they provide health ins
WARN
Worker Adjustment & Retraining Notification Act for 100+ EEs in single facility
Mass layoffs req 60 days advance notice to EEs
Mass layoff = 500 laid off from 500+ workforce or 33% laid off in 50-499 workforce
Any loss of 50+ EEs including part time workers is trigger event
