Employment Law Compliance Plan

Employment Law Compliance Plan

Margaret Battista

February 26, 2014

HRM/531

Instructor: Susan Gates – Ennett

From: Margaret Battista

To: Traci Goldeman

Subject: Employment Law Compliance Plan

Hello,

After reviewing the Client Communications that you had with Mr. Bradley Stonefield I have determined the following: Mr. Stonefield is interested in opening a small limousine business in Austin, Texas called Landslide Limousines and he wishes to employ twenty – five associates within the first year of operation.  With this in mind, I have identified the following employment laws for Mr. Stonefield to take into consideration while forming his small business:

Texas Minimum Wages Law

The Texas Minimum Wages Law went into effect July 24, 200 and adopted the federal minimum wage of $7.25 an hour (Texas Workforce Commission, 2015).  It doesn’t prohibit collective bargaining, allows employs to count tips, the value of meals, and the value of lodging towards minimum wage, doesn’t require an employer to pay an employee living on premises for on-call time, and enables employers to pay sub – minimum wage to employees with productivity impairments, due to age, or if they are a patient of the Texas Department of Mental Health and Mental Retardation (Texas Workforce Commission, 2015).  The Texas Minimum Wages Law also requires employers to provide written earnings statements to employees (Texas Workforce Commission, 2015).

The consequences of noncompliance with the Texas Minimum Wages Law are that they employer “is liable to an affected employee in the amount of the unpaid wages plus an additional equal amount as liquidated damages … In addition to a judgment awarded to the plaintiff, the court shall allow reasonable attorney's fees and costs of the action to be paid by the defendant” (Texas Constitution and Statutes, N.D.).

Texas Payday Law

        The Texas Payday Law covers the following kinds of payments: “compensation for services rendered regardless of how they are computed, commissions and bonuses according to the agreement between the parties, certain fringe benefits due under a written agreement with or policy of the employer” (Texas Workforce Commission, 2015).  In terms of the delivery of payments, the law states that, unless other arrangements / agreements are made with the employee in writing, “wages must be paid in United States Currency, a written instrument negotiable on demand at full face value for United States currency, or by electronic transfer of funds” (Texas Workforce Commission, 2015).  This payment must be received during working hours at the employees place of work, direct deposited no later than payday, or mailed via registered mail (Texas Workforce Commission, 2015).  This law also gives employees up to one hundred and eighty days to file a claim for unpaid wages (Texas Workforce Commission, 2015).