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The Essentials of Employment Law: A Guide for Employees

Written by Salary.com Staff

September 11, 2023

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Employee rights exist, and it is critical to be aware of them. Employment law regulates employer-employee relations and protects employees. Whether they start a new job or are employed for a while, employees must understand the basics of employment law.

This article covers a rundown of the most critical employment laws in the US and explores how they defend employees. Knowing their rights under employment law helps employees navigate disputes at work and build a successful career.

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What is an Employment Law?

The term "employment law" refers to a body of rules, laws, and obligations. Employment law governs the employer-employee relationship. Hiring, payment, separation, and workplace safety are all areas covered by employment law.

There are aspects of employment law to be aware of:

Hiring practices

It ensures that employers follow fair hiring practices. They should execute it without discrimination. Age, gender, race, religion, disability status, and sexual orientation are common factors that concern this area.

Wages and compensation

The Fair Labor Standard Act covers fair compensation for all employees, covering minimum wage, overtime pay, and other regulations.

Workplace conditions

Health and safety laws require employers to offer a workplace free from hazards. Some examples include exposure to toxic chemicals and sensible adjustments for staff with disabilities.

Termination and layoffs

Laws forbid employers from firing or laying off employees for unjust reasons. It includes discrimination or retaliation. They also need to give advance notice for mass layoffs.

Leave and benefits

The Family and Medical Leave Act ensures eligible employees’ unpaid leave. This covers cases like illness, childbirth, or adoption. Some laws also demand employers provide benefits like health insurance, retirement plans, disability insurance, etc.

Why does Employment Law Matters?

Employers and employees have certain rights and obligations under employment law. Knowing the laws that protect employees is essential. It addresses issues like pay, safety at work, unfair treatment, and harassment.

Knowing employment law helps identify unlawful actions in the workplace. If there are violations, employees can file a complaint or pursue legal action. Many employment laws also protect whistleblowers who report unlawful practices.

For employers, following employment law is critical. Violations can lead to legal liability, fines, and damage to a company’s image. Employers must provide proper pay, benefits, leave, and harassment-free work settings. They must also make ample space for people with disabilities and avoid unfair methods in areas like hiring, promotion, and termination.

5 Key Terms Related to Employment Law

To know your rights as an employee, it is crucial to be familiar with some key terms related to employment law.

At-will employment

The term refers to an employment relationship. Any party can end this relationship at any time for any reason. But a company cannot fire at-will employees for unlawful reasons. For example, terminating an employee due to discrimination. It is the default in all U.S. states except Montana.

Wrongful termination

It refers to when a company fires an employee for unlawful reasons. This could be due to bias, harassment, and retaliation. Employees can take legal action against their employers if any of this happens.

Protected class

The Civil Rights Act protects groups of people regardless of gender, age, color, race, nationality, disability, and genetic data. Employers may not discriminate against employees based on their position in the company.

Reasonable accommodation

These are workplace changes that allow an employee with a disability to perform the key duties of their job. The Americans with Disabilities Act (ADA) requires employers to make reasonable accommodations for them.

Hostile work environment

When harassment occurs in the workplace, it creates a hostile work condition. It makes the workplace appear unfriendly or abusive, which has an adverse impact on an employee's ability to do their job. The Title VII of the Civil Rights Act forbids hostile workplaces.

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4 Key Areas Under Employment Law

The set of laws, executive judgments, and norms governing the employer-employee relationship is employment law. Some of the key areas of employment law are:

Wage and Hour Laws

Employees are subject to minimum wage, overtime pay, data storage, and child labor standards under the Fair Labor Standards Act (FLSA). This employment law requires most employees to receive at least the state minimum wage. They should also receive overtime pay at half their regular rate.

Health and Safety

The Occupational Safety and Health Act (OSHA) ensures that people have safe working conditions. It establishes and enforces occupational health and safety regulations. It also provides training, outreach, education, and aid.

Discrimination

Title VII of the Civil Rights Act of 1964, the Age Discrimination in Employment Act (ADEA), and the Americans with Disabilities Act (ADA) are examples of federal statutes. They prohibit bias based on race, color, religion, gender, age, disability, genetic information, and national origin.

Family and Medical Leave

The Family and Medical Leave Act (FMLA) grants up to 12 weeks of unpaid, job-protected leave annually for family and medical reasons. These might result from having a baby or taking care of a sick relative. While on leave, employers must still provide health benefits.

Employment law sets up guides for the key aspects of the employee-employer relationship. Being aware of the basics of employment law can help protect oneself in the workplace.

Rights and Protections as an Employee Under the Law

Employees have certain rights and protections under employment law. Some major laws that protect employees include:

The Fair Labor Standards Act (FLSA)

The Fair Labor Standards Act (FLSA) sets clear and fair rules for minimum and overtime pay, record-keeping, and youth employment. Based on this employment law, companies must pay a minimum wage and overtime pay of 1.5 times the standard rate for any working hours over 40 per week.

Title VII of the Civil Rights Act of 1964

This law forbids discrimination based on gender, race, color, religion, or national origin. Hiring, firing, promotions, harassment, training, salaries, and benefits are all covered. Employers may not discriminate against employees based on these traits.

The Family and Medical Leave Act (FMLA)

Following the FMLA, qualified employees may assume to 12 weeks of unpaid leave for qualifying family and medical reasons, such as:

  • A newborn child's birth and care.
  • Making a child available for adoption or foster care.
  • Caring for a close family member suffering from a serious disease.
  • A serious disease that renders the employee unable to do their duties.

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People who are aware of employment law can ensure that their employers treat them well and that they can balance their work and personal needs. They have the right to sue their employer if there is a violation of any employment law. But it is better to raise concerns with the company's HR team or with the aid of legal counsel before deciding on the next action.

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