Presentation on theme: "CHAPTER 22 Employment Law"— Presentation transcript:
1 CHAPTER 22 Employment Law 4/20/2017CHAPTER 22 Employment Law22-1 Making and Terminating Employment Contracts22-2 Duties of Employers and Employees
2 Employment at WillAt-will employees – employees who do not have employment contracts.Wrongful discharge – the discharge of an employee in violation of a statute, an employment contract, or public policy, or tortiously.The employee can recover damages and other remedies.
3 22-1 Making and Terminating Employment Contracts GOALSDescribe how employment contracts are madeExplain how employment contracts are terminatedChapter 22
4 HOW ARE EMPLOYMENT CONTRACTS MADE? Terms of the employment contractExpress agreementsImplied agreementsTerms imposed by lawChapter 22
5 HOW ARE EMPLOYMENT CONTRACTS TERMINATED? By performanceBy termination at willWrongful dischargeViolation of contract termsGovernment employeesBy material breachUnemployment compensationChapter 22
6 22-2 Duties of Employers and Employees GOALSList an employer’s dutiesName an employee’s duties
7 WHAT ARE AN EMPLOYER’S DUTIES? Duties owed to employeesReasonable treatmentSafe working conditionsFair labor standardsPayroll deductionsMilitary serviceVotingChapter 22
8 WHAT ARE AN EMPLOYER’S DUTIES? (continued)Duties owed to minorsState lawsFederal lawDuties owed to those injured by employees
9 WHAT ARE AN EMPLOYEE’S DUTIES? Duty to fulfill the employment contractDuty of obedienceDuty of reasonable skillDuty of loyalty and honestyDuty of reasonable performanceChapter 22
10 Workers’ Compensation Acts Acts that compensate workers and their families if workers are injured in connection with their jobs.
11 Workers’ Compensation Acts Workers’ compensation benefitsvary by state.are paid according to preset limits established by statute or regulation.
12 Workers’ Compensation Insurance States usually require employers to:To pay for workers’ compensation insurance, orTo self-insure by making payments into a contingency fund.
13 Employment Related Injury To recover under workers’ compensation, the worker’s injuries must have been employment-related.Stress may be a compensable work-related injury.
14 Exclusive Remedy Workers’ compensation is an exclusive remedy. Workers cannot sue their employers in court for damages.Exception occurs when an employer intentionally injures an employee.
15 Occupational Safety and Health Act (1970) Enacted to promote safety in the workplace.Established the Occupational Safety and Health Administration (OSHA).Virtually all private employers are within the scope of the act.Federal, state, and local governments are exempt.
16 Occupational Safety and Health Act (continued) The act imposes record keeping and reporting requirements on employers.Employers are required to post notices in the workplace informing employees of their rights under this act.OSHA is empowered to administer the act and adopt rules and regulations to interpret and enforce it.
17 Occupational Safety and Health Act (continued) OSHA is empowered to inspect places of employment for health hazards and safety violations.If a violation is found, OSHA can issue a written citation.Requires the employer to abate or correct the situation.
18 Types of OSHA Standards Specific Duty StandardAddresses a safety problem of a specific duty nature.e.g., requirement for a safety guard on a particular type of equipmentGeneral Duty StandardDuty that an employer has to provide a work environment “free from recognized hazards that are causing or are likely to cause death or serious physical harm to his employees.”
19 Fair Labor Standards Act (FLSA) Federal act enacted in 1938 to protect workers.Prohibits child laborEstablishes minimum wage requirementsEstablishes overtime pay requirements
20 Child Labor The FLSA forbids the use of oppressive child labor. It is unlawful to ship goods produced by businesses that use oppressive child labor.The Department of Labor defines the standards for lawful child labor.
21 Minimum Wage and Overtime Pay Managerial, administrative, and professional employees are exempt from the FLSA’s wage and hour provisions.Employers are required to pay covered (non-exempt) workers at least the minimum wage for their regular work hours.Overtime pay is also mandated.
22 Minimum Wage Set by Congress and can be changed. Employers are permitted to pay less than minimum wage to students and apprentices.An employer may reduce minimum wages by an amount equal to the reasonable cost of food and lodging provided to employees.
23 Overtime PayAn employer cannot require nonexempt employees to work more than 40 hours per week unless they are paid one-and-a half times their regular pay for each hour worked in excess of 40 hours.Each week is treated separately.
24 Family and Medical Leave Act Applies to employers with 50 or more workers, federal, state, and local government workersEmployee must have worked for employer for at least one yearEmployee must have performed 1250 hours of work in previous twelve-month period
25 Family and Medical Leave Act (continued) Provides up to 12 weeks of unpaid leave for:Birth of childPlacement of child for adoption or foster careSerious health conditionCare for spouse, child, or parent with serious health conditionMust use all available sick time and vacation time before it is applied
26 Family and Medical Leave Act (continued) Employee mist be restored to either same or equivalent positionMust be given equivalent pay and benefitsNo accrual of seniority
27 Consolidated Omnibus Budget Reconciliation Act (COBRA) Separated employee must be offered the opportunity to continue group health programSeparated employee bears cost plus administration fees
28 Employee Retirement Income Security Act (ERISA) If employer offers a pension plan ERISA applies.Establishes record-keeping and disclosure requirementsSets requirements for vestingEstablishes percentage of assets that can be invested in employer’s securities
29 Immigration Reform and Control Act (IRCA) Administered by U.S. Immigration and Naturalization ServiceMakes it unlawful to hire illegal immigrants.Employers must keep records.Employers must file I-9.