What you need to know about labor law compliance
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Knowing what government posters you are required to have can be confusing. As an employer, you should be aware that:
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All U.S. businesses that have at least one paid employee are required to display the most current federal and state postings.
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If you have more than one business location, you need to have posters at each location.
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Postings must be displayed in public areas where both applicants and employees can view them.
Keeping Current with State and Federal Changes
Federal law requires employers to post six separate employee notices. State laws require multiple employee postings and, depending on the state where the business operates, this could mean posting up to 11 additional postings per state (for a total of 17 state and federal postings at each posting site). There is not a
"one-stop" government resource for posting compliance.
The postings change frequently, but the government typically does not notify businesses when changes occur. Since 2005, there have been approximately 150 federal/state posting changes each year, and about 50% of the changes are considered "mandatory" by law - requiring either new postings or replacement of outdated ones
1.
Penalties and Risks of Non-Compliance
Penalties for noncompliance are steep, with potential fines in excess of $17,000
2 for failure
to post federally required information. Further, lawsuits can be tolled based on failing to display mandatory notices.
Tolling, the extension of the statute of limitation for failing to post, can cause an employer to spend up
to $250,000 in legal fees defending a case that otherwise would not even exist
3.
Employee and labor issues are top reasons for lawsuits against business
4.
1 3Employee Posting Laws: How Noncompliance Increases Your Company's Exposure in Employment Litigation. ©G.Neil 2011
2Failure to comply with posting regulations can result in fines up to $17,000 per customer location (
29 USC Sec. 666(i) and
29 USC Sec. 2005 )
4Source: Litigation Trends Survey Findings by Fulbright & Jaworski, LLP. 2010