How to Abide by Federal Labor Laws

There are many federal labor laws, and it can be difficult to make sure that you abide by all of them. However, several agencies of the U.S. government focus on helping businesses comply with regulations, making the process much easier. Many of these laws actually protect employers who meet their requirements, making it worthwhile for businesses to comply.

Instructions

Difficulty: Moderately Easy

1. Follow minimum wage and overtime requirements. You will also need to comply with payroll regulations, such as Social Security deductions and format. Most labor laws change very infrequently, but minimum wage can change relatively often. It can also vary by locality.
2. Check that your workplace meets all requirements listed by the Occupational Safety and Health Administration (OSHA). OSHA can inspect work sites without prior announcements, though most inspections focus on manufacturing and construction. OSHA offers compliance assistance on their website (see Resources below).
3. Comply with industry-specific legislation. There are various laws which cover individual industries, such as restaurants or manufacturers, which can deal with issues including pay, hazardous environments and management issues.
4. Hire only employees legally able to work. Employees must either be a U.S. citizen or have authorization to work in the U.S. Employees must also be over the age of 16, with certain exceptions.
5. Contact your state's department of labor for information about local resources. Labor agencies at the state level often work in conjunction with their federal counterparts in order to ensure that a local business can abide by the law and still focus on conducting business.

Tips & Warnings

• It is easier to abide by labor laws from the beginning, rather than retroactively meet requirements, especially because of the high costs associated with labor issues.
• Many requirements focus on an employer's need to inform employees of their rights under the law, rather than any sort of active compliance.
• The Department of Labor offers a number of compliance assistance tools, but has made an extra effort to help small businesses comply with federal law (see Resources below).
• Labor laws can vary greatly between states.
• Many employers find that the most difficult laws to abide by are those affecting payroll, such as federal laws covering deductions.
• Noncompliance with labor laws can result in both civil and criminal charges, and be punishable by fines or jail time.