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They say the future tends to repeat the past. When it comes to
employment compliance, this may be especially true.
With the exception of the laws and regulations applicable to
federal contractors, not much changed on the federal employment law
landscape (except by some case decisions). Rather, most of the
changes with respect to workplace rules and regulations occurred at
the state level.
Among the new state laws in 2015 that affected employers
were:
So, what can we expect for 2016? We can expect further state law
expansion of paid sick and parental leaves, additional expansion of
"ban the box" rules and regulations, and additional
increases in minimum wage limits as most states head toward a $10/hour requirement
over time. However, while we continue to expect most changes to
occur at the state and local level, there is at least one
significant federal change expected for 2016: the increased salary required for maintenance of
the Fair Labor Standards Act white collar exemptions.
What does all this mean for you the employer?
First, you must know your state and local
laws, and stay vigilant with respect to ongoing
developments. If you have operations in multiple states,
ask about developments in each state and be cognizant of conflicts
between state laws.
Second, be prepared for mandatory paid sick and
other forms of leave. To this end, you may wish to
consider implementing a paid sick or other leave program now, as
most state and local legislation that mandates paid time off (for
illness, parenting requirements, and the like) allows employers to
take advantage of their own implemented programs (in other words,
if you are already providing what the law would require, you are
covered).
Third, it may be time to modify your employment
application as it relates to inquiries with respect to criminal
background history. Although there is no federal
"ban-the-box" law in place, the Equal Employment
Opportunity Commission (EEOC) has long taken the position that inquiries into an
applicant's criminal history have a disparate impact on
minorities and are, therefore, a discriminatory practice.
Additionally, the president recently directed the Office of Personnel Management (OPM) to take
action in the hiring process for federal employees by banning the
inquiry into criminal history until later in the process. With the
expanding state and local legislation banning inquiries into an
applicant's criminal history, employers are better served
limiting these inquiries to those safety or other positions where
an applicant's criminal history has a direct correlation to his
or her qualification for the position at issue, and making these
inquiries only later in the hiring process.
Fourth, and finally, start budgeting now for
increasing minimum wage requirements (at the various state levels)
and the likely implementation of the modified salary requirements
for exempt status. The Department of LaborWage and Hour
Division is expected to publish the final regulations modifying
the minimum salary requirement in June or July 2016. As such,
employers can expect the higher salary requirement to take effect
in late 2016, unless litigation somehow puts a hold on
implementation. The salary increase will be significant (the
minimum salary to maintain the exemption is estimated to be $50,440 in 2016).
The content of this article is intended to provide a general
guide to the subject matter. Specialist advice should be sought
about your specific circumstances.
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