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Class Overview

LECTURE 2: The Law and Human Resource Management

U.S. Constitution

5th Amendment--Due Process

"No person shall be deprived of life, liberty of property without due process of law"

13th Amendment--Involuntary Servitude

"Neither slavery nor involuntary servitude, except as punishment for a crime, shall exist."

14th Amendment

No state law can supersede a federal law.

Civil Rights Acts of 1866 & 1871

Grants all people in every state the right to make and enforce contracts, to sue, give evidence, and to the full and equal benefit of all laws enjoyed by white citizens.

The Fair Labor Standards Act (FLSA)

Who is Covered?

Companies with two or more employees, and

Companies with gross sales in excess of 500K

Exempt versus Nonexempt Employees

An exempt employee is not covered by the provisions of the act

Exempt employees include professional, administrative, executive and outside sales jobs.

Job titles are insufficient yardsticks

Remember the 80/20 rule!

Minimum Wage Provision

Establishes base pay at 5.15 per hour

Overtime Provision

In most cases, nonexempt employees must be paid 1 1/2 times their normal rate of pay for any hours worked over 40 hours in a week

Normal rate does not mean base rate!

Child Labor Provision

Established to protect the safety and educational opportunities of children under the age of 18.

Enforcement of the FLSA

Record Keeping Requirements

Enforced by the Wage and Hour Division of the U.S. Department of Labor

Equal Pay Act of 1963

Prohibits sex discrimination in the payment of wages, except where payment is made pursuant to:1) Seniority System2) Merit System3) Incentive System4) Any factor other than sex

Equal Pay Act of 1963

As of 1979 the Equal Pay Act is Administered by the EEOC

Civil Rights Act of 1964

Divided into several sections called Titles

Title VII deals with employment discrimination

Principle body of fair employment legislation

Bases of Title VII

Discrimination in employment is illegal based on SEX, RACE, Religion, or NATIONAL ORIGIN.

Title VII covers...

public and private employers

employment agencies

apprenticeship programs

Title VII established the EEOC

The federal regulatory agency that enforces federal discrimination laws.

1972 Equal Employment Opportunity Act

Amendment to Title VII

Expanded Title VII to...

public and private employers with 15 or more employees

both public and private labor organizations with at least 15 members

employment agencies

1967 Age Discrimination in Employment Act (ADEA)

Amended in 1986

Prohibits discrimination on the basis of age if the employee is 40 or over unless age is a BFOQ

Executive Orders 11246, 11375 & 11478

Covers government contractors and subcontractors with contracts in excess of 10,000.

The Executive Orders prohibit discrimination on the basis of sex, race, color, religion, or national origin by federal agencies, contractors, and subcontractors.

The Executive Orders...

11246 prescribe that employment policies be based on MERIT & FITNESS

The Executive Orders are called "Affirmative Acts" because...

Contracts in excess of 10k must maintain a program of equal opportunity

Contracts in excess of 50K and 50 employees must have an approved Affirmative Action Plan (AAP) on file in the OFCCP

1990 Americans with Disabilities Act (ADA)

Applies to employers with 15 or more employees

Administered by the EEOC

ADA...

Employment discrimination is prohibited against individuals with disabilities who are able to perform the essential job functions with or without reasonable accommodations.

ADA...

What is a Disability?a physical or mental

impairment that substantially affects one or more major life activities

People perceived as handicapped are protected

ADA...

What are Essential Job Functions?Those job duties that every employee must do to be a successful employee

ADA...

What is a Reasonable Accommodation?

Changing the work environmentRedesigning the jobAltering work schedules

A firm can claim undue hardship...Good luck!

ADA...

No accommodation is necessary if the person does not meet stated minimal qualifications!

1991 Civil Rights Act

Comprehensive set of amendments to Title VII

Three most important changes...

1991 Civil Rights Act...

Burden of ProofReinstated the Griggs standard

that the burden of proof in a discrimination case rests on the Employer

The Plaintiff must only establish a prima facie case!

1991 Civil Rights Act...

QuotasQuotas are prohibitedMust balance between giving

preference and setting quotas in your AAP

1991 Civil Rights Act...

Damages and Jury TrialsAllows both punitive and

compensatory damagesAllow jury trials

1993 Family and Medical Leave Act (FMLA)

Most employers must now provide up to 12 weeks unpaid leave to eligible employees for...the birth or adoption of a childto care for a sick child, spouse or

parentto care for the employee’s own

health condition

FMLA...

Applies to firms with 50 or more employees in a 75 mile radius

Must get the equivalent job and conditions upon return from leave

Employees are eligible after 12 months service to the company

FMLA Compliance Checklist

Is the Employer covered?

Have supervisors been informed of FMLA policies?

Are posting and record keeping requirements met?

Which employees are eligible for Family Leave? How much leave do they have coming?

FMLA Checklist...

Are the procedural requirements for leave followed correctly?

Has the employee been notified of FMLA leave?

Are employees required to use paid leave as part of Family Leave?

FMLA Checklist...

How are benefit premiums paid during leave?

Have provisions been made for job reassignment after leave?

Question???

How Involved Should the Federal Government Get in Family Leave and Work Schedules?

Other Laws to Ponder...

1986 Immigration Reform and Control Act

Requires completion of an Employee Eligibility Verification Form (I9)

1988 Drug Free Workplace Act

Government contractors must ensure a workplace free from drug use

Required to prevent and to educate about illegal drug use

Brought about acceptance of drug testing

Case Analysis--

EEO and AIDS: A Right to Know

Case Questions...

What, if anything, did management do wrong in this case?

Do you think a lawsuit against the firm will be successful? Why or why not?

Any Questions?