Navigating federal employment laws is a key concern for small businesses, as noncompliance can lead to complaints, fines, and lawsuits. Several major federal laws set standards for workplace practices and require employers to post specific notices in the workplace.
The Fair Labor Standards Act (FLSA), administered by the U.S. Department of Labor, establishes rules for minimum wage, overtime pay, recordkeeping, and child labor. Employers are required to display the Employee Rights Under the Fair Labor Standards Act poster where employees can see it.
The Equal Pay Act prohibits paying different wages or providing different benefits to men and women performing the same job for the same employer. Differences in pay are allowed only if they are based on legitimate reasons. Employers must also post the Know Your Rights: Workplace Discrimination is Illegal poster.
The Providing Urgent Maternal Protections for Nursing Mothers Act (PUMP Act) amends the FLSA to require reasonable paid break time and a private space for nursing mothers to pump breast milk during the first year after childbirth.
The Pregnant Workers Fairness Act (PWFA) requires employers with 15 or more employees to provide reasonable accommodations for pregnant and breastfeeding workers upon request. The law covers limitations related to pregnancy, childbirth, or associated medical conditions. Employees must communicate their need for accommodation; employers should not make assumptions about an employee’s needs.
The National Labor Relations Act (NLRA) grants most private sector workers rights related to union activities and collective bargaining. Federal contractors and subcontractors must display the Employee Rights Under the National Labor Relations Act poster.
Title VII of the Civil Rights Act of 1964 bars discrimination based on race, color, religion, sex, or national origin in hiring, employment, and termination at businesses with 15 or more employees. Violations may result in reinstatement of employees, back pay, compensation for future losses or emotional distress, attorney fees, and sometimes punitive damages. The Know Your Rights: Workplace Discrimination is Illegal poster must be posted as well.
Under the Americans with Disabilities Act (ADA), employers with 15 or more employees cannot discriminate against qualified individuals with disabilities who meet job requirements and can perform essential functions with or without reasonable accommodation—unless doing so would cause significant difficulty or expense for the business. The ADA covers both visible and non-visible disabilities; when uncertain about a condition’s status under ADA protections, legal advice is recommended.
The Family and Medical Leave Act (FMLA) applies to employers with 50 or more employees. It provides eligible workers up to 12 weeks of unpaid leave for certain family or medical reasons if they have worked at least 12 months and logged at least 1,250 hours in that period. Covered employers must post Your Employee Rights Under the Family and Medical Leave Act poster.
The Occupational Safety and Health Act (OSH Act) mandates that workplaces be safe and healthy according to standards set by OSHA. Most employers are covered except self-employed individuals and family-only farms. Certain injuries must be recorded; some incidents require direct reporting to OSHA within specified timeframes. Smaller businesses may be exempt from some recordkeeping unless requested by OSHA or state law requires it. The Job Safety and Health: It’s the Law poster must also be displayed.
For further details on these regulations—including guidance on wage laws, ADA lawsuits, OSHA inspections—and answers to additional questions about federal employment law compliance for small businesses, resources are available through NFIB’s recently updated Guide to Federal Employment Law as well as its Legal Center via info@nfib.org.
