Introduction
Employment laws are set to protect human rights and ensure fair treatment of employees by their employers. Companies are required to adhere to federal and state employment laws (Guerin & DelPo, 2013). To improve working conditions and morale of the employees, organizations are encouraged to follow employment laws, governing codes, and set expectations of conduct within the workplace (Twomey, 2010). Since DPG is a manufacturing organization, it is required to adhere to all provisions of the constitutions (federal and state) Source: (Goldman, Corrada & Goldman 2011). Critical laws to be followed are detailed below. Overall, it is in DPG interest to be proactive in observing the relevant employment laws that pertain to both their employees and overall business venture.
The Ohio Minimum Wage Laws under Ohio Constitution Art. II
Ohio State Law
This law is a state law that protects the employees in the DPG who are classified as non-exempt union and non-exempt salaried. It ensures that the employees are given rights for the sustainability and a positive working environment as stipulated within the article. This minimum wage law is usually adjusted from year to year to ensure that the consumer price index is taken into consideration (Twomey, 2010).
Premise of Law:
The federal minimum wage law is set intentionally low to establish a national minimum standard. The states have the right to raise the minimum wage so long as they meet the minimum federal requirements. Ohio is exercising this right with this law.
Key Provisions:
Companies earning more than $297,000 annually shall pay the minion wage of $8.10/hr.
Companies earning less than $297,000 pay employees a minimum of $7.25/hr
This law ensures that the employers are providing a positive work environment to their employees and not having unfair overtime that is unpaid.
May protect against strikes, employee complaints, and litigation since employees subscribe to this law upon employment.
Importance to DPG:
Given that DPG is a manufacturing organization, this law is particularly relevant to the nature of their business because many manufacturing sectors are unionized and non-exempt. Thus, DPG has to comply with their minimum wage laws. In this case, the Ohio minimum wage laws need to be followed because they are higher than the federal laws. That being said, there is a loop hole in the federal provision otherwise known as the Fair Minimum Wage Act of 2013. What this act provides is that it Amends the Fair Labor Standards Act of 1938 (FLSA) to increase the federal minimum wage for employees to: (1) $8.10 an hour on the first day of the third month after the enactment of this Act; (2) $9.15 an hour after one year; (3) $10.10 an hour after two years; and (4) the amount determined by the Secretary of Labor (based on increases in the Consumer Price Index) after three years, and annually thereafter.
This is particularly relevant to the nature of DPG because even though their turnover is quite high, they still do have employees that stay multiple years that will have to abide by the Ohio minimum wage laws and then adhere to the federal increases.
Federal Law
Premise of Law:
- This law was established in 1964 because the need to protect the employees was raised by trade unions and human rights activists.
- It is illegal to discriminate against someone because of race, color, religion, nationality, origin, and sex.
Key Provisions:
In addition, it is unlawful to discriminate on any of these five bases in apprenticeship, training, or retraining programs. It also is illegal to indicate a preference or a discrimination based on race, color, religion, sex or national origin in advertisements relating to employment.
These prohibitions, however, are subject to some exceptions
(Civil Rights Act Title VII)
Importance to DPG:
This is absolutely relevant to DPG because they are likely going to have employees from all different backgrounds and need to observe the federal anti-discrimination laws.
The Age Discrimination in Employment Act of 1967.
Federal Law
Premise of Law:
Key Provisions:
Age Discrimination in Employment Act of 1967: protects individuals who are 40 years of age or older from employment discrimination based on age. The ADEA’S protection apply to both employees and job applicants.
Importance to DPG:
This law is important to any employer who has older employees or those that may receive applications from those who are 40 or above. It is essential to follow this to avoid unnecessary employment lawsuits.
Occupational Safety and Health Administration Act of 1970 (OSHA)
Federal Law
Premise of Law:
This is a federal law that was enacted to avoid some of the dangers in the workplace that happened in the years before 1960.
Key Provisions: OSHA provides many relevant standards that employers are required to impose on their employees. Some examples of these key provisions are: providing a workplace free from serious recognized hazards and comply with all pertinent standards, rules, and regulations prescribed in the act. Additionally, it is important for employees and employers to work together to maintain a safe work environment. Employees are required to keep records of safety operating procedures that are to be presented to their employer. There must also be a documentation of the hazardous materials used and the employee’s handling of these hazardous materials.
Goldman, Corrada and Goldman mention that “The Occupational Safety and Health Administration Act of 1970 states that the employers shall assure of a safe and healthful working conditions for working men and women; by authorizing enforcement of the standards developed under the Act” (2011). Additionally, they mention:
Employment conditions of the employment need to be free from recognized hazards likely to cause death or serious injury or harm
Ensures that safety standards in the manufacturing sector and all other sectors are highly maintained
Source: Goldman, Corrada & Goldman 2011
Workers are allowed to file a complaint if they feel that their right to a safe workplace is being violated as prescribed in OSHA. (OSHA).
Importance to DPG:
This is imperative to DPG business because they are in the manufacturing sector. If they neglect these safety standards, they could have a costly lawsuit as a result. OSHA is one of the key laws that is relevant to the manufacturing industry because it guarantees a safe workplace to employees. If DPG is not producing a safe workplace for their employees as prescribed under OSHA, they could be subject to a major lawsuit. Additionally, if DPG does not require their employees to keep accurate records of the hazardous materials that they are handling, then they will also be at a risk of a lawsuit.
Fair Labor Standards Act of 1938 (FLSA)
Federal Law
Created in 1938
Premise of Law:
Key provisions:
Protects the employees from being overworked without pay
Wages and Hour Worked Law provides for the payment of the overtime hours
Does not limit the number of hours that an employee should work in a day or in a week
Employers should pay an additional fee for the extra hours (exceeding 40 hours per week) -paid one and a half times more than the normal rate
Source: Benedict & Winkler 2004
Importance to DPG:
This is relevant to DPG because the manufacturing business can go around the clock. This means that employees could be working more than 40 hours per week. This is important because if DPG fails to pay their employees overtime, they are breaking the Fair Labor Standards Act and would be unsuccessful if one of their employees sued them.
The Labor-Management Reporting and Disclosure Act (LMRDA) of 1959: Landrum Griffin Act:
Federal Law
Passed in1959
Premise of Law:
Key Provisions:
The federal government provides the Labor-Management Reporting and Disclosure Act (LMRDA) of 1959 which is administered by the Office of Labor- Management Standards (OLMS). The Act:
Protects the interest of the trade unions
Explains the relationship between the union and its members (Goldman, Corrada & Goldman 2011)
Protects the funds of the union.
Ensures all the activities undertaken by the union are democratic.
Source: Goldman, Corrada & Goldman 2011
Importance to DPG:
This is a federal law that is relevant to the unions that DPG has. Even though DPG could add more unions, they still have to comply with their existing unions in order to be in compliance with the law.
The Employee Retirement Income Security Act (ERISA)
Federal Law
Established in 1974
Premise of Law:
This is a federal law that is relevant to those employees who stay at DPG for many years. This is important because even though the turnover in the manufacturing industry is sizable, it is still recommended for those employees who do stay on long enough to have the proper benefits that follow the federal statute.
Key Provisions of Law: see http://www.dol.gov/general/topic/health-plans/erisa OR A HR textbook – this was not addressed from the last version.
Regulates employers who offer pension or the welfare benefits plans to their employees during retirement.
Provides for the portable health care under the Health Insurance Portability and Accountability Act (HIPAA) of 1996.
Increases the morale of the employees due to health and pension security
Source: Benedict & Winkler 2004.
Requires employees to be on notice of their options to participate in plans. Employers are required to disclose how these programs could benefit their employees and invite them to participate.
Gives participants the right to sue for benefits and any breach of fiduciary duty.
Protects these funds from mismanagement and misuse.
Importance to DPG:
This law is relevant to DPG because it establishes standards in which employers need to follow for welfare and healthcare protocols. One of the other issues that is commonly neglected by employers is their contribution to retirement and pension options. The employee is entitled to protections against this and if employers do not follow these, they could have a costly lawsuit.
Works Cited
Age Discrimination and Employment Act of 1967. Retrieved from: http://www.eeoc.gov/laws/statutes/adea.cfm/.
Benedict, M. L., & Winkler, J. F. The history of Ohio law. Athens, Ohio: Ohio University Press. (2004). Print.
ERISA. Retrieved from: http://www.dol.gov/general/topic/health-plans/erisa/.
Fair Labor Standards Act. Retrieved from: http://www.dol.gov/whd/regs/statutes/fairlaborstandact.pdf/.
Goldman, A. L., Corrada, R. L., & Goldman, A. L. Labour law in the USA. Alphen aan den Rijn: Kluwer Law International. (2011). Print.
Guerin, L., & DelPo, A. The essential guide to federal employment laws. (2013). Print.
LMDRA. Retrieved from: http://www.dol.gov/olms/regs/compliance/compllmrda.htm/.
Ohio Minimum Wage Law. Article II. Retrieved from: http://codes.ohio.gov/orc/4111/.
OHSA. Retrieved from: https://www.osha.gov/.
Twomey, D. P. Labor & Employment Law: Text & cases. Mason, Ohio: South-Western Cengage Learning. (2010). Print.
