Frequently Asked Questions
A monthly rotating set of frequently asked employment law questions
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What does it mean to be an “at will” employee?
Being an at-will employee means your employer can terminate your employment at any time, and does not need good cause to do so. In most jurisdictions, there is a legal presumption that you are an at-will employee unless you can show evidence to the contrary. Such evidence may include an employer’s written policies or verbal statements regarding your job security. Note that while an employer need not show good cause to fire an at-will employee, those workers are still protected by laws prohibiting discrimination and harassment.
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What is the Family and Medical Leave Act (FMLA)?
The Family and Medical Leave Act (FMLA) is a federal law that permits employees to take extended leave, usually up to 12 weeks, from their jobs without being in jeopardy of losing their position. Employers commonly extend FMLA leave to employees when the employees have a serious health condition that prevents them from performing their jobs. FMLA leave is also given for the birth of a child, the adoption of a child, or providing foster care for a child. Employees are also covered by FMLA if they need to care for a parent, child, or spouse with a serious health condition, and in certain emergency situations arising from an employee’s spouse, parent, or child serving in active duty in the military.
Eligible employees can usually take FMLA leave for up to 12 weeks within a 12-month period. Additionally, FMLA guarantees only that employees’ positions will not be terminated during their absence. The law does not guarantee continued pay to employees during their leave. To be eligible for FMLA coverage, employees must have worked for the same employer for a minimum of 12 months, and the employer must have at least 50 employees.
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What is the difference between an “independent contractor” and an “employee”?
Worker misclassification can result in significant penalties. It occurs when an employee is improperly characterized as an independent contractor. In some cases, this misclassification is intentional so that an employer can avoid tax withholding, paying overtime, or purchasing workers' compensation. However, in other cases, it happens only because an employer misunderstood the difference. Generally, an independent contractor exercises a high degree of independent judgment, may work for others, uses his or her own equipment or tools, and may hire people to help. An employee typically uses the employer's tools in the workplace and is more restricted in how he or she performs the work.
According to the Department of Labor, the actual quality of the working relationship determines whether you are an independent contractor or an employee. Among the factors to be considered when determining whether there is an employment relationship are the extent to which the work being performed is integral to the employer's business, the permanency of the worker's relationship to the employer, the worker’s exercise of independent judgment or open competition with others, the worker's investment in facilities, and the nature of the employer's control over the work.
If a worker is an employee, the employer must compensate him or her according to the FLSA and other employment laws. Unless they are misclassified, independent contractors are not protected under these laws.
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What is the statute of limitations for bringing an employment lawsuit?
The statute of limitations varies depending on what type of employment lawsuit is being brought, and whether it is being brought under federal or state law. Under federal law, for example, an employee has 180 days to file a charge of discrimination with the EEOC, but this period is extended to 300 days when a state or local government has a law prohibiting the same type of discrimination. Each state has its own statute of limitations for bringing a discrimination suit.
Similarly, lawsuits brought for a breach of an employment agreement are subject to state statute of limitations for breach of contract claims. Usually the statute of limitations for a breach of a written contract is longer than for an oral contract because documentary evidence, and not just witness testimony, will serve to prove or disprove the claims.
If the issue relates to defamation or wrongful termination in violation of public policy, you will have to consult your state law to determine how long the statute of limitations period is.
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A human resources (HR) department can fulfill many business needs: labor law compliance, employee recruitment, employee engagement and development, and compensation and benefits management. At large enterprises, HR is often the backbone of the organization, defining the company culture and investing in the long-term success of its employees.
HR plays a vital function, but for some merchants, it’s not always feasible to create a separate human resources team to serve a small number of employees.
In evaluating whether or not your company needs an HR manager, partner, or full team, it’s important to understand the role that HR serves.
Human resources is in charge of:
Ensuring the company is compliant with local, state, and federal employment laws.
Hiring and retaining new employees.
Training employees and supporting their professional development.
Managing compensation and benefits.
Handling performance reviews.
Creating an inclusive company culture.
Writing and maintaining employee handbooks.
Many small business owners take on tasks such as payroll, benefits management, hiring, and training instead of hiring a human resources generalist or bringing on a partner. However, this can limit the business's ability to hire and foster great employees who help it grow. At some point, it makes more sense for the business owner to delegate these tasks.
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A workplace investigation is a formal, impartial process aimed at gathering and assessing evidence regarding alleged misconduct, policy violations, or legal breaches in the workplace. The goal is to determine what actually happened, whether company policies or laws were violated, and to guide appropriate corrective action. Investigations focus on verifiable evidence rather than opinions, including reviewing documents, interviewing witnesses, and analyzing relevant information.
Investigations are often initiated in response to:
Harassment, discrimination, or bullying complaints
Safety incidents or breaches of occupational health regulations
Fraud, corruption, or misuse of company resources
Ethics violations or breaches of confidentiality
Performance or conduct issues that may affect workplace culture.