Business law essay questions
CHAPTER 18
EMPLOYMENT LAW
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
QUOTES OF THE DAY
“I wouldn’t want to live unless I could work for a living.”
Erle Stanley Gardner
mystery writer, creator of Perry Mason
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
HISTORY OF EMPLOYMENT LAW
- In pre-industrial society, most people followed their parents’ occupations.
- Employers knew their workers and expectations were understood.
- With the industrial revolution came changes in employment law too, and a trend toward employment contracts.
- Without a contract, a worker was an employee at will.
- An employee at will can be fired for a good reason, a bad reason or no reason at all.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
EMPLOYMENT SECURITY
- Family and Medical Leave Act (FMLA)
- Guarantees both men and women up to 12 weeks of unpaid leave each year for childbirth, adoption, or a serious health condition of their own or in their immediate family.
- Applies only to companies with at least 50 workers
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
WRONGFUL DISCHARGE
- Wrongful discharge prohibits an employer from firing a worker for a bad reason.
- The public policy rule prohibits an employer from firing a worker for a reason that violates basic social rights, duties, or responsibilities, such as:
- Refusing to Violate the Law
- Performing a Legal Duty (like jury duty)
- Exercising a Legal Right
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
CONTRACT LAW
- Truth in Hiring
- Oral promises made during the hiring process can be enforceable.
- An employee handbook creates a contract.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
TORT LAW
- Workers have successfully sued their employers under the following tort theories.
- Defamation
- Intentional Infliction of Emotional Distress
- Whistleblowing
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
DEFAMATION
- Employers may be liable for defamation when they give false and unfavorable references about a former employee.
- More than half of the states recognize a qualified privilege (protection unless the statement is known false or given in ill will) for former employers who give references.
- Employers are generally not required to give any information about former employees, but may sometimes be held liable if potentially dangerous information is withheld.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
INTENTIONAL INFLICTION OF EMOTIONAL DISTRESS
- Employers who condone cruel treatment of their workers face liability under the tort of intentional infliction of emotional distress.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
WHISTLEBLOWERS
- Employees who disclose illegal behavior of their employers.
- The False Claims Act protects those who refuse to sign inaccurate reports.
- The Dodd-Frank act offers protection for those who provide information to the government about violations of securities or commodity laws.
- The Sarbanes-Oxley Act of 2002 protects employees of publicly traded companies who provide evidence of fraud to investigators.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
WORKPLACE FREEDOM
- In the absence of a specific law to the contrary, employers do have the right to fire workers for off-duty conduct.
- A few states, such as California, have passed lifestyle laws that protect the right of employees to engage in any lawful activity or use any lawful product when off duty.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
WORKPLACE FREEDOM (CONT’D)
- Free speech in the workplace
- The National Labor Relations Act (NRLA) protects all employees (1) who engage in collective activity (2) in connection with work conditions and (3) who are not supervisors.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
GUNS
- Employers have the right to prohibit guns in the workplace but, in almost half the states, Bring Your Gun to Work Laws prevent companies from banning firearms in the parking lot.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
WORKPLACE SAFETY
- In 1970, Congress passed the Occupational Safety and Health Act (OSHA) to ensure safe working conditions.
- Sets specific health and safety standards.
- Obliges employers to keep workplace “free from recognized hazards.”
- Requires records of all injuries and accidents.
- Allows inspection of workplaces and fines for unsafe conditions.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
FINANCIAL PROTECTION
- Fair Labor Standards
- Passed in 1938, the Fair Labor Standards Act (FLSA) regulates wages (minimum wage and overtime pay) and limits child labor.
- Workers’ Compensation
- Workers’ compensation statutes ensure that employees receive payment for injuries incurred at work.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
FINANCIAL PROTECTION (CONT’D)
- Health Insurance
- Under the Affordable Care Act, employers with more than 50 full-time employees must pay a penalty if they do not provide basic health insurance.
- Losing your job does not mean that you must also give up your health insurance—at least not immediately with COBRA.
- Social Security
- Currently, the Social Security system pays benefits to workers who are retired, disabled, or temporarily unemployed and to the spouses and children of disabled or deceased workers.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Since the first time one person hired another, there has been tension in the workplace. The law attempts to balance the right of a boss to run a business with the right of a worker to fair treatment.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.