Key Employment Law Regulations

Why This Matters

Employment law sits at the intersection of constitutional rights, federal regulation, and business operations—making it a favorite testing ground for Business Law exams. You're not just being asked to recall which law does what; you're being tested on how these regulations create a layered system of worker protections and what obligations they place on employers of different sizes. Understanding the threshold requirements, protected classes, and enforcement mechanisms will help you tackle both multiple-choice questions and FRQ scenarios involving workplace disputes.

These laws didn't emerge randomly—they reflect decades of legislative responses to specific workplace abuses, from unsafe factories to discriminatory hiring practices. When you study them, think about what problem each law solves and how employers must change their behavior to comply. Don't just memorize acronyms—know what concept each regulation illustrates and how they interact when multiple laws might apply to the same situation.

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Anti-Discrimination Protections

These laws establish protected classes—categories of workers who cannot be treated differently based on characteristics unrelated to job performance. The underlying principle is that employment decisions should be based on qualifications and merit, not personal characteristics.

Title VII of the Civil Rights Act

• Prohibits discrimination based on five protected classes—race, color, religion, sex, and national origin in hiring, firing, promotion, and compensation decisions
• 15-employee threshold applies, meaning small businesses may be exempt; complaints go through the Equal Employment Opportunity Commission (EEOC)
• Disparate treatment and disparate impact are both actionable—intentional discrimination and neutral policies with discriminatory effects can both violate the law

Americans with Disabilities Act (ADA)

• Requires reasonable accommodations for qualified individuals with disabilities—modifications that don't cause undue hardship to the employer
• 15-employee threshold mirrors Title VII; covers physical and mental impairments that substantially limit major life activities
• Interactive process requirement means employers must engage with employees to identify effective accommodations rather than simply denying requests

Age Discrimination in Employment Act (ADEA)

• Protects workers 40 and older from age-based discrimination—notably, there's no protection for younger workers claiming reverse age discrimination
• 20-employee threshold is higher than Title VII and ADA; applies to hiring, promotion, compensation, and termination decisions
• Prohibits mandatory retirement in most industries, though exceptions exist for executives and public safety positions

Genetic Information Nondiscrimination Act (GINA)

• Bars use of genetic information in employment decisions—including family medical history and genetic test results
• Restricts employer acquisition of genetic data; employers cannot request, require, or purchase such information
• 15-employee threshold applies; represents Congress's response to emerging biotechnology concerns in the workplace

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Wage and Compensation Standards

These regulations address economic fairness in the employment relationship, ensuring workers receive minimum compensation and equal pay for equal work. The principle here is that labor has inherent value that employers cannot exploit below certain floors.

Fair Labor Standards Act (FLSA)

• Establishes federal minimum wage and overtime requirements—non-exempt employees must receive 1.5x regular pay for hours exceeding 40 per week
• Exempt vs. non-exempt classification is heavily tested; executive, administrative, and professional employees meeting salary thresholds may be exempt
• Recordkeeping mandate requires employers to maintain accurate documentation of hours worked and wages paid for at least three years

Equal Pay Act

• Prohibits sex-based wage discrimination for substantially equal work requiring similar skill, effort, and responsibility
• Four affirmative defenses allow pay differences based on seniority, merit, quantity/quality of production, or factors other than sex
• No minimum employee threshold—applies to virtually all employers, making it broader than most anti-discrimination statutes

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Workplace Safety and Health

This category focuses on the physical working environment and employers' duty to prevent workplace injuries and illnesses. The underlying principle is that workers shouldn't have to choose between their health and their paycheck.

Occupational Safety and Health Act (OSHA)

• General duty clause requires employers to maintain workplaces free from recognized hazards likely to cause death or serious harm
• Specific standards cover everything from fall protection to chemical exposure limits; industries face different regulatory requirements
• Whistleblower protection prohibits retaliation against employees who report safety violations or refuse genuinely dangerous work

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Leave and Job Security

These laws balance employer operational needs with employees' personal and family obligations. The principle is that workers shouldn't lose their jobs due to circumstances beyond their control, like illness or family emergencies.

Family and Medical Leave Act (FMLA)

• Provides 12 weeks of unpaid, job-protected leave for qualifying events—birth/adoption, serious health conditions, or caring for ill family members
• 50-employee threshold within 75 miles makes this one of the most restrictive coverage requirements; employee must also have worked 1,250 hours in prior year
• Job restoration right requires employers to return employees to the same or equivalent position—not just any available job

Worker Adjustment and Retraining Notification Act (WARN)

• Requires 60 days' advance notice of plant closings or mass layoffs affecting 50+ employees at a single site
• 100-employee threshold means only larger employers face this obligation; back pay liability results from inadequate notice
• Exceptions exist for unforeseeable business circumstances, natural disasters, and faltering companies actively seeking capital

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Collective Action Rights

This area protects workers' ability to organize collectively and negotiate with employers as a group rather than as isolated individuals. The principle is that collective bargaining power balances the inherent power asymmetry between employers and individual workers.

National Labor Relations Act (NLRA)

• Protects organizing, collective bargaining, and concerted activity—including the right to form unions, strike, and engage in mutual aid
• Unfair labor practices are prohibited for both employers (interfering with organizing) and unions (coercing employees)
• Private sector coverage excludes agricultural workers, domestic workers, independent contractors, and supervisors; public sector has separate state laws

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Quick Reference Table

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Self-Check Questions

1. A company with 18 employees terminates a 45-year-old worker, claiming poor performance. Which federal anti-discrimination laws could potentially apply, and which would not—and why?

2. Compare and contrast the FLSA and Equal Pay Act: What specific workplace problem does each address, and how do their coverage requirements differ?

3. An employee requests to work from home due to a chronic medical condition. Under which law must the employer evaluate this request, and what standard determines whether they must grant it?

4. If an FRQ describes a manufacturing plant closing that will eliminate 75 jobs, what additional facts would you need to determine whether WARN Act notification was required?

5. How do the NLRA and individual anti-discrimination statutes (like Title VII) represent different approaches to protecting workers—and in what situation might an employee have claims under both?