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Essentials Of Business Law Chapter 28 Employment Law McGraw-Hill/Irwin Copyright © 2007 The McGraw-Hill Companies, Inc. All rights reserved.
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Essentials of Business LawChapter 28-2 Employee – Employer Relationship Employment at will Employer may terminate an employee at any time for a good reason, a bad reason, or no reason at all An employee many not be terminated for: Jury duty service Being called to active duty in the military Whistleblowing Illegal discrimination Many other reasons
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Essentials of Business LawChapter 28-3 Employment Contracts Employer and employee enter into a formal, written contract of employment Specifies that the employer agrees to pay, and the employee agrees to work, for a specified period of time at a specified salary Arbitration clauses in employment contracts are enforceable provided the employee: Has signed the agreement Has a reasonable time to file a claim Has access to the same remedies that a court could provide Has access to an arbitrator with expertise in employment law Has the right to be represented by an attorney Does not have to pay the cost of arbitration
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Essentials of Business LawChapter 28-4 Employee Handbook Contain the many policies of the firm Maybe considered a kind of contract between the employer and the employee Typically contains the following information: History of the company Hiring procedures Hours of employment Payment of salaries Salary increments Promotions Termination procedures Benefits Leaves of absence Safety and security Miscellaneous policies
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Essentials of Business LawChapter 28-5 Employee References Employer must exercise care when providing references for past or current employees Invasion of privacy Disclosing personal, irrelevant information irrespective of whether such information is true or false Defamation Disclosing information to a third party that is untrue, irrespective of whether or not it relates to the employee’s job performance An employer can safely disclose: The employee’s prior employment and educational history The employee’s character as such relates to the job The employee’s performance capabilities The employer’s willingness to re-hire the employee
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Essentials of Business LawChapter 28-6 Worker Health And Safety Workers’ compensation Insurance that allows employees to recover damages for work-related injuries Employee does not need to prove negligence on the part of the employer Exclusive remedy Employee can only recover damages through workers’ compensation
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Essentials of Business LawChapter 28-7 Worker Health And Safety Occupational Safety and Health Act Promote safety and health in the workplace Occupational Safety and Health Administration Requires that companies maintain records of employee work-related accidents and sicknesses Inspects workplaces to be certain that these work sites comply with safety and health standards Imposes penalties ranging from fines to closing the facility
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Essentials of Business LawChapter 28-8 Discrimination In Employment Civil Rights Act of 1964 Federal statute designed to protect individuals from illegal discrimination Title VII covers discrimination in employment based on: Race, creed, color, sex, and place of national origin Created the Equal Employment Opportunity Commission Federal agency responsible for administering to laws prohibiting discrimination in employment
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Essentials of Business LawChapter 28-9 Discrimination In Employment The Age Discrimination in Employment Act Protects individuals over age 40 The Pregnancy Discrimination Act The Americans With Disabilities Act The Civil Rights Act of 1991 An employee may collect punitive damages An employee may recover for emotional distress related to discrimination Sexual harassment
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Essentials of Business LawChapter 28-10 Labor Unions National Labor Relations Board Administers laws relating to labor unions Employees rights To form, join, and assist a labor union To bargain collectively through representatives of their own choosing Not to be discriminated against because of their union activities To vote for union leadership in democratically held elections If the employee has a dispute with his or her union, he or she may retain an attorney and file a lawsuit
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Essentials of Business LawChapter 28-11 Labor Unions Rights of the union To represent all employees of a company who are a part of the bargaining unit To negotiate a contract with the employer To ensure that the employer bargains in good faith during negotiations To call a strike if an agreement is not reached Rights of the employer Freedom from featherbedding Secondary boycotts To ensure that the union bargains in good faith To engage in a lockout if an agreement is not reached
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