5 Reasons Why Labor Laws Are Important

Labor laws are crucial for the smooth operation of businesses. It clearly clarifies and stipulates the business obligation to the employees. There has been a long history of labor laws advocating for the full protection of a worker's rights. Labor posters can be found in almost all organizations to remind employees of their rights. To some business owners, the laws could be seen as bureaucratic but are meant to keep employees safe and protect in the work environment.

How Labor Laws Changed The Workplace

Classification of Workers

Labor law helps in the classification of workers depending on the job environment. Independent contractors or those who work on their own are not covered by labor laws. This means that the employer doesn't have to pay for taxes for independent contractors. The labor laws are very strict in the classification of employees and prohibit companies labeling employees as independent contractors in an attempt to save money. The laws also ensure that employees are not burdened with heavy taxes. There is always a big concern about the difference between an employee and a contractor. If the employer can control when and how the person works, they should definitely be classified as an employee. A contractor works on deliverables and the time of work doesn't really matter.

Child Protection

This is one of the most important roles of labor law. The federal Fair Labor Standards Act doesn't allow the employment of children under the age of 14. There is also a clear regulation on the hours which children 14 to 16 can work. Employers should be vigilant about the law especially when it comes to dealing with children.

Wage Protection

According to the FLSA, the federal minimum wage is set at $7.25 an hour as of 2018. The minimum wage laws could vary from one state to another but the Federal rate is the bare minimum. It should be noted that the law stipulates that employees who are under the age of 20 can be paid a minimum of $4.25 for the first 90 days of their employment.

Reasonable Hours and Compensation

Before FLSA laws coming to effect, employers had the right to force workers to work extra hours without compensation. FLSA mandates that the employer has to pay the worker time-and-a-half if they're exceeding 40 hours during a given work week. It is also required that the employers keep the record of the working hours so that they're able to track how long an employer works. This makes it easy to schedule the hours and also avoid breaking the law.

Discrimination Prevention

Discrimination laws are protected and enforced by the Civil Rights Act of 1964. Even though the Department of Labor is not involved in oversight, the laws do have an effect on employer and employee relationship. A business can't discriminate based on age, sex, gender, race, ethnicity, religion, and disability. The same laws apply when it comes to paying wages. You can check out https://www.laborlawcc.com/ for more information on federal labor laws and how they affect you.

Follow up with us on social media:

(800) 801-0597