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Agency Law & Government. Fair Hiring Practices According to the Civil Rights Act and the American With Disabilities Act (ADA), it is illegal for employers.

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Presentation on theme: "Agency Law & Government. Fair Hiring Practices According to the Civil Rights Act and the American With Disabilities Act (ADA), it is illegal for employers."— Presentation transcript:

1 Agency Law & Government

2 Fair Hiring Practices According to the Civil Rights Act and the American With Disabilities Act (ADA), it is illegal for employers to make hiring decisions based on personal information, such as age, marital status, ethnicity, race, and gender.

3 Employment Employment at will means that an employer can be discharged at any time for cause because there has been no agreement about the length of employment. An employee may quit a job at anytime without being liable for breach of contract.

4 Employment (continued) Employment contracts can always be identified as either “at will” or “for a specific job” State and federal laws impose many important terms into each employment contract whether or not the employer and employee want them included.

5 Employment (continued) Minimum pay is regarded as minimum wage. Fair Labor Standards Act (Wage and Hour Act) establishes the minimum wage and maximum hours for all employees under the jurisdiction of the act Maximum hours that can be worked at regular pay rates= 40 per week. Over 40 hours per week must be at 1.5 X the regular rate.

6 Employment (continued) Minimum wage and overtime requirements do not apply to executives, administrators, and professional workers. Hourly provisions apply only partially to workers in seasonal industries. Special rules apply to trainees, apprentices, student workers, and handicapped workers.

7 Reasonable Treatment Employers are required to treat employees in a reasonable manner. An employee is entitles by law to reasonably safe working conditions. Working conditions must not be harmful to the employee in health, saefty, morals, or reputation. If unsafe working conditions exist, the employee can quit without breach of contract.

8 Benefits Worker’s Compensation- system was created as a substitute for negligence suits. If an injured employee is covered by worker’s compensation, no negligence suit ordinarily is allowed against the employer. If State Law requires that an employee be covered but the employer has not purchased worker’s compensation insurance, the injured employee can sue the employer for negligence. Is an employee is not required to be covered by worker’s compensation and is injured because of the employer’s negligence the employee may sue the employer.

9 Collective Bargaining The process whereby the union and the employer negotiate a contract of employment that binds both sides. Unions can choose their own negotiations. Management or lawyers typically represent the company. Pay and fringe benefits are typically the issue negotiated.

10 Collective Bargaining (continued) The union has legal powers flowing from the ability to strike ( to collectively stop working to force an employer to give in to union demands) The employer has legal power flowing from the ability to lock out (when an employer temporarily closes down operations to induce the union to agree to the employer’s position) Collective bargaining sometimes breaks down or becomes deadlocked (when the union and employer cannot agree on important issues) When this happens, a government representative may try to bring the parties together to settle their differences- mediation.

11 Collective Bargaining (continued) The Wagner Act and other state and federal statutes require that employers treat unions fairly by allowing them to organize. They also require that management engage in good faith negotiations; “collective bargaining” with unions.

12 Collective Bargaining (continued) Unfair Labor Practices are prohibited under these laws. Examples include: –Interfering with employee’s efforts to form, join, or assist unions –Dominating a union or giving it financial or other support –Encouraging or discouraging union membership –Refusing to bargain in good faith with the union –Discriminating against an employee for filing charges of labor law violations or for testifying about such charges.

13 Collective Bargaining (continued) Taft-Hartley Act and other statues require that unions treat employees and management fairly. Unfair labor practices by unions include: –Refusing to bargain collectively –Attempting to force an employer to pay for featherbedding –Picketing- (patrol the employer’s property with signs) by uncertified unions to try to force the employer to bargain with that union. –Engaging in strikes and boycotts prohibited by law –Requiring payment of an excessive or discriminating fee for intimidation into the union –Forcing (or attempting) employees to support that union or to restrain employees from supporting competing unions. –Causing (or attempting) an employer to discriminate against an employee because of union related activities.

14 Collective Bargaining (continued) The Labor-Management Reporting snd Disclosure Act (aka-Landrum-Griffin Act) requires that unions operate in a manner that gives members full voice in decision making.

15 When Unions May Strike Economic strike- the dispute is over wages, hours, or conditions of employment. Unfair Labor Practice Strike- A strike over an unfair labor practice by management. Cooling-Off Period- Stopping a labor dispute by federal court for a period of 80 days when a national emergency strike is threatened. National Emergency Strike- Work stoppage that involves national defense or major industries or that would imperil national health or safety. A boycott is a refusal to buy or use someone’s products or services. A primary boycott involves the employee’s refusal to buy their employer’s goods or services. A secondary boycott is striking employees trying to discourage customers to stop buying products or services of a 3 rd party.

16 Consumer Protection Legislation Consumer- am Individual who acquires goods that are primarily intended for personal, family, or household use.

17 Consumers Individuals who acquire goods that are intended primarily for personal, family, or household use. Consumers are protected in the market place through actions they make on their own behalf as well as through actions the government takes to protect them.

18 Caveat Emptor- “let the buyer beware” –Consumers were thought to be adequately protected by their own ability to judge a product’s safety and utility. –The forced of supply and demand in a competitive marketplace were to keep product makers and sellers committed to producing the best product for their money. –Consumers can also seek help from their state attorney general’s office, the local BBB, and the customer service of the company involved.

19 Legislation Local, state, and federal governments have passed legislation to help put consumers on an equal footing with sellers in the marketplace. –These laws fund agencies that add to the common- law based contract, tort, and criminal protection against such abuses. –Any seller who has deceived a consumer while contacting may be sued by the individual consumer, as well as be subject to changes by a government agency.

20 Class Actions –Allows me one or several persons to sue not only on behalf of themselves, but also on behalf of many others similarly wronged. –Combining individual cases provide incentives for law firms to handle these cases.

21 Cease-and-Resist Order –When a government agency acts on behalf of the injured consumer. It may investigate and order a company to stop the specified conduct. –Failure to abide by the cease-and-resist order can result in heavy civil penalties. –Often the defendant will sign a consent order involuntary, consent-enforceable agreement to stop illegal or questionable practices, rather than resist the challenge in a long battle.

22 Licensing –Suppliers of consumer services often are required to acquire licensing to provide their goods and/or service to consumers. –Sometimes inspections are required in order for businesses to operate and to meet set standards of operation. –Some service businesses are required to provide written estimates prior to services being performed detailing the work to be done to the consumer.

23 Unsafe Products –1972 Consumer Product Safety Act Enacted This law created the Consumer Product Safety Commission Gave the CPSC authority to establish and enforce safety standards Requires any manufacturer, distributor, or retailer discovering failures of its product to report it to the commission.

24 Unfair Trade Practice –Any method of business that is dishonest or fraudulent or that illegally limits free competition. –Government has established numerous laws to prohibit such practices. –Mainly are federal anti-trust laws and the Federal Trade Commission Act. Designed to prevent unfair trade practices in interstate commerce. Many states also have similar policies concerning interstate commerce. –Some individuals or companies enter into agreements to control or fix prices and thereby try to ensure their survival by eliminating competition. This is illegal and unenforceable Violators are subject to criminal penalties

25 False and Misleading Advertising –Intentional decisions, makes untrue claims of quality or effectiveness, or fails to reveal critically important facts. –Bait and switch- Leading buyers to the store with an under stocked, low priced good and then redirecting them to a more experienced product.

26 Other unfair Trade Practice –Illegal lotteries and confidence games –Unfair pricing and service –Mislabeled goods

27 Safety Standards (Drugs, Food, and Cosmetics) The Federal Food and Drug Administration (FDA) requires that the production facilities for cosmetics, food, and drugs be clean and that the products be prepared from ingredients fit for human use or consumption. –A product that does not meet the minimum requirements set by the FDA is considered adulterated and may be confiscated by the government. Standards for Weights and Measures –The Constitution gives Congress the power to set standards for weights and measures. To do so, Congress created the National Bureau of Standards. They provide standardized sets of actual weights and measures to the state and local governments.



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