Local and state laws can vary, but federal legislation applies to almost every company operating in the United States.
The federal workplace laws and organizations that HR departments deal with most frequently include the following:
- Fair Labor Standards Act (FLSA). FLSA covers overtime pay and child labor laws, among other labor practices.
- Family and Medical Leave Act (FMLA). FMLA applies to any employer with 50 or more workers and regulates time off for family or medical reasons.
- Occupational Health and Safety Administration (OSHA). OSHA enforces the rights of an employee if they’re injured on the job, as well as workplace safety practices.
- Employee Benefits Security Administration (EBSA). EBSA regulates how employers administer retirement, healthcare and other benefits. The Affordable Care Act, Employee Retirement Income Security Act and Consolidated Omnibus Budget Reconciliation Act all fall under EBSA.
- Equal Employment Opportunity Commission (EEOC). EEOC enforces employment discrimination laws, such as hiring or firing employees based on race, gender, religion, age or disability.
HR also needs to understand and comply with local and state laws.
The Mexican food chain Chipotle is one example of a company that experienced the costly consequences of not adhering to local laws, said Matthew Burr, HR consultant at Burr Consulting LLC, an HR consultancy located in Spencer, N.Y. Last year, an investigation by the New York City Department of Consumer and Worker Protection resulted in Chipotle reaching a settlement to pay 13,000 workers up to $20 million after DWCP determined the company had violated New York City’s Fair Workweek Law and Paid Safe and Sick Leave Law.