🚭Public Policy and Business Unit 4 – Labor Laws and Employment Regulations

Key Concepts and Definitions

• Labor laws are a body of laws, administrative rulings, and precedents which address the legal rights of, and restrictions on, working people and their organizations
• Employment regulations are rules and directives set by government agencies that dictate how employers must treat employees, former employees and applicants for employment
• Collective bargaining is the negotiation process between an employer and a union or association representing workers to establish conditions of employment (wages, working hours, benefits, etc.)
• Minimum wage is the lowest remuneration that employers can legally pay their employees
  • Federal minimum wage provisions are contained in the Fair Labor Standards Act (FLSA)
  • Many states also have minimum wage laws, some higher than the federal minimum
• Overtime pay is the additional pay rate for hours worked beyond a standard workweek, typically over 40 hours
• Discrimination in employment is treating an applicant or employee unfavorably because of their race, skin color, national origin, gender, disability, religion, or age
• Occupational safety and health regulations aim to ensure safe and healthful working conditions for employees

Historical Context of Labor Laws

• Labor laws in the United States have evolved over centuries, often in response to societal changes and labor movements
• In the late 19th and early 20th centuries, the Industrial Revolution led to poor working conditions, long hours, and child labor, prompting calls for reform
• The Great Depression in the 1930s saw a wave of labor legislation aimed at protecting workers and stimulating the economy
  • Key laws from this era include the National Labor Relations Act (1935) and the Fair Labor Standards Act (1938)
• World War II brought about changes like the Rosie the Riveter campaign, encouraging women to join the workforce
• The Civil Rights Movement of the 1960s led to anti-discrimination laws in employment, such as Title VII of the Civil Rights Act (1964)
• More recent developments include the Family and Medical Leave Act (1993) and amendments to the Americans with Disabilities Act (2008)

Major Labor Legislation

• The National Labor Relations Act (NLRA) of 1935, also known as the Wagner Act, guarantees the right of private sector employees to organize into trade unions, engage in collective bargaining, and take collective action such as strikes
• The Fair Labor Standards Act (FLSA) of 1938 establishes minimum wage, overtime pay, recordkeeping, and youth employment standards
  • It applies to full-time and part-time workers in the private sector and in federal, state, and local governments
• Title VII of the Civil Rights Act of 1964 prohibits employment discrimination based on race, color, religion, sex and national origin
• The Occupational Safety and Health Act (OSHA) of 1970 ensures that employers provide their workers a place of employment free from recognized hazards to safety and health, such as exposure to toxic chemicals, excessive noise levels, mechanical dangers, heat or cold stress, or unsanitary conditions
• The Employee Retirement Income Security Act (ERISA) of 1974 sets minimum standards for most voluntarily established retirement and health plans in private industry to provide protection for individuals in these plans
• The Family and Medical Leave Act (FMLA) of 1993 provides certain employees with up to 12 weeks of unpaid, job-protected leave per year for specified family and medical reasons

Employee Rights and Protections

• Employees have the right to a safe workplace free from recognized hazards under OSHA
  • This includes the right to request an OSHA inspection and to speak to the inspector
• The FLSA ensures the right to a minimum wage and overtime pay for hours worked over 40 in a workweek
• Employees have the right to take job-protected leave under the FMLA for specified family and medical reasons
  • Eligible reasons include the birth and care of a newborn child, placement of a child for adoption or foster care, care for an immediate family member with a serious health condition, or the employee's own serious health condition
• Employees have the right to a workplace free from discrimination under Title VII and other anti-discrimination laws
  • This includes protection from discrimination based on race, color, religion, sex (including pregnancy, sexual orientation, and gender identity), national origin, age (40 or older), disability or genetic information
• Under the NLRA, employees have the right to engage in concerted activity for mutual aid or protection, even if they are not in a union
  • This includes the right to discuss wages, benefits, and other terms and conditions of employment with co-workers

Employer Responsibilities

• Employers must pay at least the federal minimum wage and overtime pay for hours over 40 in a workweek under the FLSA
  • Some states have higher minimum wages that employers must follow
• Employers must provide a safe and healthful workplace under OSHA standards
  • This includes providing safety training in a language and vocabulary workers can understand
• Employers must comply with anti-discrimination laws in all aspects of employment, including hiring, firing, pay, job assignments, promotions, layoff, training, and benefits
• Employers must provide eligible employees with up to 12 weeks of unpaid, job-protected leave under the FMLA
  • The employer must continue the employee's health benefits during the leave
• Employers cannot interfere with, restrain, or coerce employees exercising their rights under the NLRA
  • This includes not discriminating or retaliating against employees for engaging in union activities or concerted activities for mutual aid or protection
• Employers must keep accurate records of hours worked and wages paid under the FLSA
• Employers who offer pension or welfare benefit plans must follow ERISA standards

Enforcement Agencies and Mechanisms

• The Department of Labor (DOL) is the primary federal agency responsible for enforcing labor laws
  • Within the DOL, specific agencies handle different laws, such as the Wage and Hour Division for the FLSA and the Occupational Safety and Health Administration for OSHA
• The Equal Employment Opportunity Commission (EEOC) enforces federal laws prohibiting employment discrimination
• The National Labor Relations Board (NLRB) enforces the NLRA
  • It investigates and remedies unfair labor practices by employers and unions
• Employees can file complaints with the relevant agency if they believe their rights have been violated
  • For example, an employee can file a complaint with OSHA if they believe their workplace is unsafe
• Agencies can conduct investigations, issue citations and fines, and order remedies such as back pay or reinstatement
• Employees can also file lawsuits in court to enforce their rights under some laws, such as Title VII or the FLSA

Current Issues and Debates

• The gig economy and classification of workers as independent contractors rather than employees, which can affect eligibility for labor law protections
  • Some states, like California with its AB5 law, have sought to extend employee classification to more workers
• The federal minimum wage has not increased since 2009, leading to debates over whether and how much to raise it
  • Some states and cities have enacted higher minimum wages
• Income inequality and the role of labor laws in addressing it
• The decline of union membership and collective bargaining in the United States
  • In 2022, the percentage of wage and salary workers who were members of unions was 10.1 percent
• The impact of globalization and international trade on U.S. jobs and labor standards
• Balancing workplace safety with the economic impact of regulations on businesses
• Ensuring equal pay for equal work and addressing the gender wage gap

Case Studies and Real-World Applications

• In 2022, Starbucks workers at several locations across the U.S. voted to unionize, sparking a broader movement and debate over unionization in the fast food industry
  • This involves issues of the NLRA and the right to engage in concerted activity
• The COVID-19 pandemic raised numerous labor law issues, such as:
  • Workplace safety standards and OSHA enforcement
  • Leave policies under the FMLA and the temporary Families First Coronavirus Response Act
  • Accommodations for remote work under the ADA
• In 2020, the Supreme Court ruled in Bostock v. Clayton County that Title VII's prohibition on sex discrimination includes discrimination based on sexual orientation and gender identity
  • This was a significant expansion of LGBTQ+ rights in the workplace
• Rideshare companies like Uber and Lyft have faced ongoing litigation over the classification of their drivers as independent contractors rather than employees
  • This affects drivers' eligibility for minimum wage, overtime, and other labor law protections
• The #MeToo movement has brought increased attention to sexual harassment in the workplace and the role of labor laws in addressing it
  • This includes issues of employer liability and the use of non-disclosure agreements in settlements