Employment law is a complex and ever-evolving field that governs the rights and responsibilities of both employers and employees. Staying informed about key aspects of employment law is crucial for individuals entering the workforce or managing a business. Here are three important things you should know about employment law.

1. Employment Classification

One of the fundamental aspects of employment law is the distinction between employees and independent contractors. While employees enjoy certain legal protections, such as minimum wage, overtime pay, and protection against discrimination, independent contractors are generally considered self-employed and are not entitled to the same benefits. Employers must carefully classify workers correctly to avoid legal complications and ensure compliance with labor laws. Factors such as the level of control exercised over the worker, the nature of the working relationship, and the provision of tools and equipment are considered when determining employment status.

2. Anti-Discrimination Laws

Anti-discrimination laws are designed to safeguard individuals from unfair treatment based on protected characteristics, such as race, gender, age, disability, religion, or national origin. Employers are legally obliged to provide equal opportunities and prohibit discriminatory practices during the hiring process, promotions, terminations, and other employment-related decisions. Familiarize yourself with federal and state anti-discrimination laws applicable to your jurisdiction to ensure compliance and maintain a fair and inclusive work environment. Employers must also establish effective policies, provide training, and promptly address any claims of discrimination to mitigate legal risks.

3. Wage and Hour Laws

Wage and hour laws regulate minimum wage, overtime pay, and work hours to protect employees' rights and ensure fair compensation. Employers must comply with federal, state, and local regulations governing these areas. It is important to be aware of the minimum wage applicable in your jurisdiction and understand the criteria for overtime eligibility. Employers should accurately record employee work hours, provide necessary breaks, and compensate employees for any additional hours worked. Failure to comply with wage and hour laws can result in significant financial penalties and legal liabilities.

Understanding the distinction between employees and independent contractors, familiarizing oneself with anti-discrimination laws, and adhering to wage and hour regulations are crucial for both employers and employees. By being informed about these key aspects, you can ensure a fair and legally compliant work environment for all parties involved. According to Legal Zoom, only about 33% of Americans over 55 have a durable power of attorney, which is shockingly low. We want to help you stay protected. Call Peacock Keller, LLP today to learn more.