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Employment Law Compliance
Countless business owners have discovered employment law compliance deficiencies only when it is too late, via a Department of Labor audit, EEOC complaint, or employee lawsuit.
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Even companies with only a few employees have exposure to significant liability, particularly through the Fair Labor Standards Act. Commonly known as “wage & hour,” the FLSA is the greatest area of exposure for most businesses. While minimum wage and overtime compliance seems simple on the surface, there are thousands of plaintiffs attorneys making a good living because of that assumption. Misclassifying employees as exempt from overtime is a common violation, and one that leaves employers subject to significant claims and attorneys' fees. Lack of a good timekeeping system and policies is often a contributing factor to this liability, but those are also easily remedied by the PEO relationship.
The exposure to employment claims increases rapidly once you exceed the 15-employee mark, when Title VII, Americans with Disabilities Act, etc. are now an issue, and additional laws apply when you reach 20 and 50 employees. |
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The following infographic just lists the federal laws affecting employers. Every state has its own employment laws, varying in the degree of burden that they impose. California and the northeastern states are justifiably notorious for the burden placed on employers.
Fortunately, we at PEO Counsel can help you identify a PEO with the state-law knowledge you need to navigate the minefield and minimize your exposure. |
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Integration of HR functions and consolidation of vendors
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With a PEO, you will have an integrated approach to HR, and will no longer need to worry about whether your payroll system communicates with your employee benefits vendors and workers comp carrier. You will reduce the considerable number of vendors you need to manage as they will be consolidated under the PEO. All this results in more time for you to grow your business (or spend productively in other ways, like a much-needed vacation).
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Employment Law Compliance
Countless business owners have discovered employment law compliance deficiencies only when it is too late, via a Department of Labor audit, EEOC complaint, or employee lawsuit.
|
Even companies with only a few employees have exposure to significant liability, particularly through the Fair Labor Standards Act. Commonly known as “wage & hour,” the FLSA is the greatest area of exposure for most businesses. While minimum wage and overtime compliance seems simple on the surface, there are thousands of plaintiffs attorneys making a good living because of that assumption. Misclassifying employees as exempt from overtime is a common violation, and one that leaves employers subject to significant claims and attorneys' fees. Lack of a good timekeeping system and policies is often a contributing factor to this liability, but those are also easily remedied by the PEO relationship.
The exposure to employment claims increases rapidly once you exceed the 15-employee mark, when Title VII, Americans with Disabilities Act, etc. are now an issue, and additional laws apply when you reach 20 and 50 employees. |
|
The following infographic just lists the federal laws affecting employers. Every state has its own employment laws, varying in the degree of burden that they impose. California and the northeastern states are justifiably notorious for the burden placed on employers.
Fortunately, we at PEO Counsel can help you identify a PEO with the state-law knowledge you need to navigate the minefield and minimize your exposure. |
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