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Necessary Laws For Compliance Week 2
Necessary Laws For Compliance Week 2
There are several laws that all HR representatives must understand and follow in order to be
compliant. They include:
Types of Compliance
AIHR explains that there are four types of compliance within the HR field:
Contractual compliance: Contractual compliance addresses the terms and regulations that
bind an organization in a contractual relationship. This contract can be between the
organization and their employees, with partner organizations, etc.
Union law compliance: If your organization operates with union workers, the organization
must be aware of and adhere to the rules set up by the union.
Examples of Compliance
Compliance means adhering to all applicable labor laws, such as OSHA, the Americans with
Disabilities Act, the Equal Pay Act, and more. HR is responsible for ensuring compliance
within an organization. Compliance is an ongoing task that should be taken seriously. The
following are examples of compliance in any organization, regardless of industry, according
to ADP.
Background Checks
Background checks should be conducted only after a conditional offer has been made to a
candidate. Someone other than the hiring manager should complete the background check. Be
aware that some cities and states, such as California, Colorado, Hawaii, New Mexico,
Washington, and others, have “Ban the Box” laws that prohibit employers from inquiring
about a candidate’s criminal history prior to a specific stage in the hiring process.
Correctly Classifying Employees
Equal Pay
It is essential to abide by the Equal Pay Act. Gender pay gaps can develop,
unintentionally,over time due to recruitment, transfers, and promotions. Regular pay audits
can help prevent these gaps.
Final Wages
Most states have laws that address how and when to pay final wages to an employee who is
no longer employed by the organization. You must be familiar with the laws in your area.
You should also update your records to prevent overpayment.
For example, employers in Colorado are required to make an employee’s final wage upon
the next scheduled payday, no matter the reason for the employee’s departure.
Interviewing
While interviewing potential candidates, avoid asking questions that reveal protected
characteristics, pry into a candidate’s personal life, or disclose information unrelated to the
job. These types of questions can offend a potential employee and expose the organization to
employment discrimination lawsuits. Instead, job interview questions should allow
candidates to demonstrate their abilities. If a candidate reveals a disability and makes a
reasonable request for accommodations, it is illegal to refuse to hire them on the basis of their
disability or the accommodation.
Job Listings
When creating job ads, do not use language that indicates preference for a candidate based on
protected information or characteristics, such as race, color, religion, sex, national origin, etc.
Employees may need to take a leave of absence. Under the Family and Medical Leave Act, or
FMLA, employees are granted up to 12 weeks of unpaid leave for a number of reasons,
including childbirth or adoption,, family illness, and more. HR must balance compliance with
FMLA laws and the organization’s productivity. Ensure your policies and processes follow
all necessary regulations.
Not only does ensuring that employees are paid accurately and on time maintain workforce
morale, it also helps the organization avoid wage claims. HR professionals must calculate
payroll taxes and file them with the correct government agencies. Failure to do so risks audits
or fines for the organization. Payroll and taxes can be conducted by an organization’s staff or
a payroll service. Payroll services automate the calculations, tax deductions, and payments
which can improve accuracy and compliance and save time.
Orientation is the first step to acquaint new hires with an organization’s operations, policies,
and code of conduct. Clear expectations lower the risk for employee misconduct. Employees
who understand an organization’s expectations for appropriate behavior and how to report
harassment and other incidents can lower the organization’s risk for lawsuits. Altogether,
training can help organizations achieve compliance.
Transparency
Transparency with employees is essential in building trust. Openly communicating issues and
changes is an important element of compliance because it addresses challenges immediately.
Secure Documents
All documents for employees and job candidates must be stored appropriately and should
only be accessible by authorized individuals within the organization, such as the HR
manager.
Workers’ Compensation
When job-site accidents happen, it is essential to follow OSHA’s rules about reporting
incidents. Insist that employees report workplace accidents immediately and instruct
managers on the proper method to submit claims. You can also implement safety programs
and training to prevent avoidable injuries.
Workplace Conflicts
Unfortunately, employee conflicts are inevitable. Mishandled exits, such as failing to conduct
an exit interview, can hurt employee morale. Terminating an employee during a confrontation
can lead to a wrongful termination lawsuit. Mitigate workplace conflicts by regularly
requesting employee feedback and acting on it quickly. Doing so can address or eliminate
workplace issues before they result in a conflict or resignation.
Conclusion
Laws
This reading will cover several key laws related to HR functions, including:
These laws have evolved, each building upon the previous ones, to enhance employee
protection in various aspects of the employment relationship.
Norris-LaGuardia Act
In 1932, the Norris-LaGuardia Act was put into effect. This Act safeguarded the right of
employees to unionize. Additionally, the Act prohibited employers from compelling workers to
sign contracts prohibiting union membership and interfering with peaceful union activities.
Conclusion
In conclusion, this reading provided an overview of key laws and regulations that govern the
relationship between employees and employers in the legal world. By understanding these laws,
HR professionals can navigate the legal aspects of their field more effectively, enhance
employee protection, and establish a fair balance in labor-management relations. HR
professionals should familiarize themselves with these laws to ensure compliance and uphold the
rights of both employees and employers.
Executive Orders
Executive Orders
Federal Executive Orders, or EOs, help organizations and HR professionals navigate compliance
and risk management by establishing guidelines for fair and inclusive workplace practices.
Executive orders are issued by the president of the United States. They are formal declarations
of federal government policy. An executive order has the force of law, but it may be overturned
by the federal courts or by a subsequent president.
In 1965, President Lyndon Johnson issued Executive Order 11246 to stop workplace
discrimination. The order prohibited federal contractors with annual contracts exceeding $10,000
from engaging in employment discrimination. It mandated that these contractors actively promote
equal employment opportunities, regardless of race, creed, color, or national origin, for job
applicants as well as employees.
Additionally, the executive order required contractors with more than 50 employees or contracts
worth more than $50,000 per year to file written affirmative action plans with the Office of Federal
Contract Compliance Programs (OFCCP). It effectively established the principle of affirmative
action as a part of federal employment law.
For example, if an organization has two equally qualified candidates for a position, and the
candidates are of different races, they cannot take race into consideration when making the final
hiring decision.
EO 11375, also issued by President Lyndon Johnson in 1967, expanded the scope of Executive
Order 11246 by adding "sex" as a protected class alongside race, creed, color, and national
origin. This amendment ensured that federal contractors were prohibited from discriminating
against employees based on sex, emphasizing equal treatment for all employees.
For example, if an HR team offers leadership training programs to men, it must also provide the
same opportunity to women, ensuring equal access to career development.
President Richard Nixon issued Executive Order 11478 in 1969, focusing on the federal civilian
workforce. This order includes jobs in the federal Civil Service, the U.S. Postal Service, and
civilian armed forces employees. The order required all departments and agencies of the Federal
Government to create and maintain a program of equal employment opportunity for all civilian
employees and applicants. This made it illegal for employers to discriminate against employees
based on their race, color, religion, sex, national origin, disability, and age—for employees over
40 years old.
EO 13087, issued by President Bill Clinton in 1998, marked a significant milestone by making it
illegal to discriminate against individuals based on their sexual orientation. It is a further
Amendment to Executive order 11478. If one candidate is openly homosexual, while the other is
heterosexual, the organization must evaluate both candidates solely based on their skills,
qualifications, and performance, without considering their sexual orientation.
EO 13152, issued by President Clinton in 2000, made discrimination based on parental status
unlawful. According to the order, “status as a parent” refers to a person who has a biological
child, an adopted child, a foster child, is a stepparent, has a legal ward, is in loco parentis over
an individual, or is actively seeking legal custody or adoption of an individual. If an organization
rejects a single parent because they assume the applicant will have more responsibilities outside
of work, it would be in violation of EO 13152.
EO 13279, issued by President George W. Bush in 2002, introduced an exemption for religious
or community organizations from specific requirements of EO 11246 (mentioned above).
Organizations can claim this exemption based on their religious beliefs or organizational
structure. This executive order aimed to balance religious freedom and anti-discrimination
measures while promoting fairness and inclusivity in federal contracting practices.
Conclusion
Executive orders help organizations and HR professionals navigate compliance and risk
management by establishing guidelines for fair and inclusive workplace practices. As an HR
employee, it is critical to know about and follow these executive order guidelines.
Whether intentional or
not, discrimination can significantly impact employees and an organization.
Understanding discrimination and analyzing the causes are crucial for
creating fair and inclusive environments.
In this video, we will define discrimination and
explore several methods organizations can use to identify it.
Let's get started.
When discriminatory practices occur systematically,
they can be particularly harmful.
Systemic discrimination refers to the pattern and practice of treating employees
in an unfair way, rather than singular isolated incidences of unfair treatment.
It can occur during various stages, such as hiring, training, and promoting.
As a result of systemic discrimination and its effects,
the Equal Employment Opportunity Commission, the EEOC, recognizes and
addresses systemic discrimination as a priority.
Proving discriminatory practices can be challenging.
However, there are three analyses that organizations can use to examine their
workforces for unintentional discrimination.
Let's explore these analyses.
Cohort analysis is a method that helps determine if discrimination has occurred
by comparing how a person or
group is treated compared to others in a similar situation.
For example, if a group of employees feels they were terminated unfairly,
they can claim it was due to discrimination.
They must show that others in similar roles were not terminated to prove
their claim.
If none of their colleagues who do the same work were terminated,
it suggests the termination may have been discriminatory.
However, if employees in similar positions were also terminated,
it indicates that discrimination may not have been the cause.
An availability analysis examines how many individuals from protected classes,
such as minorities, women, and people with disabilities, qualify for employment.
To be eligible for employment, a person must have the necessary skills and
qualifications for the job.
They should live in the local area and
be willing to work in the geographic location of the business.
As an example, the Office of Federal Contract Compliance Programs, the OFCCP,
an agency of the US Department of labor, requires an availability analysis for
employees who are federal contractors or subcontractors.
An impact ratio analysis assesses if protected groups of employees from
an organization are represented fairly compared to the overall labor force.
If a small percentage of an organization's employees belong to protected groups,
it could indicate possible discrimination against those employees.
If the analysis indicates that specific jobs have either too many or
too few individuals from protected classes, those jobs
are identified as focused job areas and are considered potential problems.
As with availability analysis, the OFCCP also requires impact ratio analysis for
employees who are federal contractors or subcontractors.
Play video starting at :3:7 and follow transcript3:07
Using techniques like cohort analysis, availability analysis, and impact ratio
analysis, organizations can identify potential instances of discrimination and
help HR professionals take appropriate actions to address them.
These methods directly support organizations in prioritizing fairness and
compliance throughout their high hiring and training processes.
Rehabilitation Act
These regulations ensure that no employee faces discrimination based on these protected
characteristics.
Rehabilitation Act
Enacted in 1973, the Rehabilitation Act aimed to combat workplace discrimination targeting
individuals with disabilities. Its employment provisions primarily pertain to federal agencies and
contractors with annual federal contracts exceeding $10,000. The Act grants the Equal
Employment Opportunity Commission (EEOC) authority to address discrimination claims against
federal agencies. In cases of alleged discrimination by a federal contractor, individuals with
disabilities can file complaints with the Department of Labor via the Office of Federal Contract
Compliance Programs (OFCCP).
In addition, USERRA mandates that employers grant leaves of absence for up to five years for
employees in the National Guard or Reserves who are summoned to active duty. Employers
must also provide leaves of absence for boot camp, annual training, weekend duty, and other
valid military obligations.
Further reading will explore these court cases and their contributions to advancing equal
employment opportunities.
Conclusion
In conclusion, EEO laws and policies ensure equal treatment in the workplace regardless of
protected characteristics. The Rehabilitation Act, VEVRAA, IRCA, Glass Ceiling Act, and
USERRA are key laws promoting fairness. Court cases like Griggs v. Duke Power, McDonnell-
Douglas Corp. v. Green, and Albemarle Paper v. Moody have also shaped equal employment
opportunities. These efforts strive to foster an inclusive work environment for all.
In this video, we will define the concept of affirmative action in the workplace.
Let's get started.
Affirmative action is an activity designed to correct previous inequality that may
have existed for certain groups or classes of people.
Several affirmative action policies and initiatives aim to address past and
current discrimination against women,
racial and ethnic minorities, people with disabilities, and most military veterans.
Organizations committed to affirmative action policies actively seek to promote
diversity and inclusion.
Firstly, they actively recruit individuals from underrepresented groups, focusing
on marginalized communities that have faced barriers to equal opportunities.
Secondly, they work to challenge and change managerial attitudes,
such as encouraging open dialogue to build a culture of inclusivity throughout
the organization.
Additionally, they remove discriminatory barriers that
prevent underrepresented groups from advancing.
For example, revising hiring practices and promoting equal play and benefits,
help to remove discriminatory barriers from the workplace.
Furthermore, these organizations set specific goals and
establish timetables to track and measure progress toward enhancing diversity.
The presumption is that race or
gender conscious measures are necessary to overcome discriminatory practices.
However, it's important to note that hiring quotas are not allowed under EEO
laws, and affirmative action does not give preference to unqualified candidates.
Play video starting at :1:35 and follow transcript1:35
Now you understand the basics of affirmative action.
Next, we will delve deeper into the various elements of affirmative action,
allowing you to gain a more comprehensive understanding of this important
workplace practice.
Because there are so many laws relating to employment, the laws sometimes overlap or conflict
with one another, especially when state laws differ from federal regulations. In situations where
laws and regulations conflict, an employer should pursue whichever action is in the employee’s
best interest. It is essential to be knowledgeable about both state and federal laws to avoid
potential issues.
The following laws and regulations are among the most common:
Davis-Bacon Act
The Davis-Bacon Act was passed in 1931 and was the first federal legislation to mandate that
laborers and mechanics be paid the prevailing wage on public works projects.
Norris-LaGuardia Act
The right to unionize was protected by the Norris-LaGuardia Act of 1932. This act also prevents
employers from forcing employees to sign contracts indicating they will not join a union (also
known as yellow dog contracts) and from interfering in nonviolent union activities.
Portal-to-Portal Act
The Portal-to-Portal Act determined that commute time is not compensable, but that employers
must compensate workers for performing job-related tasks outside of work hours or during lunch
breaks.
As an HR professional,
you will need to understand how to navigate in a union environment.
Because unions have a great amount of influence on certain sectors of
the economy and the workforce.
In this video, we are going to discuss unions and labor relations.
Two important laws associated with labor relations
are the National Labor Relations Act of 1935, or NLRA, and the Taft-Hartley Act.
The NLRA guarantees workers the right to organize a union,
to bargain collectively, and to engage in collective activities.
It also defines unfair labor practices, provides for a secret ballot and
union votes, and it established a National Labor Relations Board.
The National Labor Relations Board is responsible for
ensuring compliance with the NLRA.
Next, the Taft-Hartley Act is also known as the Labor Management Relations Act,
or LMRA of 1947.
This act identifies union activities that constitute unfair labor practices.
Employees cannot be forced to join a union or take part in union activities.
It also forbids unions from requiring members to discriminate against
non-union colleagues.
Finally, it prohibits unions from charging unreasonably high membership dues.
It is critical to understand that all employees should be treated equally and
fairly, receive clear communication.
And earn rewards and punishments regardless of whether or
not they belong to labor unions.
For those who work in a unionized environment, behaviors are closely
monitored by contractual agreements and volumes of labor laws.
If an employer fails to follow those contracts and agreements,
it is likely that conflict, expense, and diversion of management will occur.
Along with employee energy being taken away from activities that are designed
to help an organization succeed.
Some employers look to prevent their employees from unionizing for
a variety of reasons.
The best way to protect against unionization is to create a positive
work environment where employees feel as if they are welcome,
treated fairly appreciated, and are recognized for their achievements.
In a positive work environment, employees feel more open to communicating
with management, which in turn creates a sense of trust and mutual respect.
In such cases, employees are less likely to feel it is necessary to protect their
interests through unionization.
It is also important to understand that there is not a lot an employer can do if
employees decide to unionize, it is employees right to do so.
Employers cannot threaten to interrogate employees to exert control over
the unionization process.
Likewise, employers should not spy on employees or make promises contingent on
employees not entering a union, doing so is considered unfair labor practice.
However, employers do have a right to communicate
with employees about their desires and reasons for considering unionization.
Employers can also prohibit solicitation by union representatives on company
property.
But only if solicitation is prohibited in all cases,
not just in the case of union representatives.
Play video starting at :3:20 and follow transcript3:20
It is ultimately up to employees to unionize or not, and
they have the right to do so.
However, employers can lessen the likelihood of employee unionization by
creating a positive and trusting environment full of mutual respect.
Copyright Laws
Copyright is the legal right to publish, reproduce, or perform a literary, artistic, or musical work.
Typically, the copyright belongs to the author of the work or their heirs, and it lasts for the life of
the author, plus 70 years. Only the owner of the copyright is allowed to authorize others to use
the material, and they may charge a fee to do so. Once the copyright has expired, it passes into
the public domain, and anyone can use the material without permission.
Patent Laws
A patent is a license granted by the government to an inventor, which gives the inventor the
exclusive right to sell an invention for a set time. There are three main types of patents defined
and issued by the U.S. Patent Office:
Utility patent: this patent applies to the invention of “a new and useful process, machine,
manufacture, or composition of matter, or a new and useful improvement thereof.” These
patents encompass roughly 90 percent of patents issued in the past 20 years. Utility
patents are generally granted for 20 years.
Design patent: a design patent applies to “new, original, and ornamental design embodied
in or applied to an article of manufacture.” If issued after May 13, 2015, the patent lasts
for 15 years. Patents issued before May 13, 2015 last for 14 years.
Plant Patent: a plant patent is granted to anyone who develops, discovers, or invents new
varieties of asexually reproduced plants. They last for 20 years.
Unions
Unions have a great influence in certain sectors of the economy and the workforce. It is essential
to understand the laws regarding unions and how to form positive relationships with them. There
are four types of unions:
Local Unions: represent employees from a single organization or a group of organization
in a localized area
Fair Labor Standards Act: The FLSA sets a basic minimum wage and overtime pay standards for
exempt and nonexempt employees. Federal minimum wage is $7.25 per hour. Some states have
their own minimum wage requirement. In these locations, employees are paid whichever is
higher of the state or federal rates. Overtime pay is required for nonexempt employees who work
more than 40 hours in a week. Overtime pay is 1.5 times the base rate for each additional hour
worked.
Equal Pay Act and the Fair Pay Act: These laws prevent pay discrimination based on gender for
equal jobs, which is determined by job content, not job title. In these laws, pay includes base pay,
bonuses, overtime hours, performance-based benefits, sick pay, pension access, and severance
pay.
Local, State, and Federal Laws: According to local, state, and federal laws, employers are
obligated to provide or offer the following to employees:
Access to health insurance for employees and their families
Conclusion
In order to ensure compliance and mitigate risk management, employers are required to follow
various laws and regulations. HR managers play an essential role in this process, so it is
important to understand the laws and regulations surrounding copyright and patents, unions, and
compensation and benefits.