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How an HR Services Company Helps Maintain Compliance with Workplace Laws

Nannette Madera, PHR
by Nannette Madera, PHR on December 20, 2018

Workplace laws are some of the most difficult to navigate because they are complex and can vary based on state and city. Some employers can’t keep up (or don’t want to try) with tracking and incorporating these ever-changing laws into their policies and procedures, especially when their business spans more than one state. So because of all the layers, and the mounting costs of violations, these employers choose to outsource HR to an HR Services Company. HR services compliance workplace laws

These types of companies handle several facets of HR administration and provide guidance on some of the most common workplace laws regarding topics like compensation, paid time off, background checks and scheduling. Whether you outsource to HR professionals or manage human resources in house, here are three workplace laws employers should have on their radar for 2019:

#1 Minimum Wage

The federal minimum wage is holding steady at $7.25, but more than two dozen states have higher minimum wages. Some are gradually raising the rate each year, and rates in larger cities (with a higher cost of living) are steadily increasing to $15 an hour. Some cities have also adopted tiered minimum-wage rates based on the size of the employer and the particular industry.

Click here to view the pay requirements, deductions and termination rules in any state where you have employees.

#2 Paid Sick Leave

Much like wage laws, paid-sick-leave laws vary by state and local level, which means each city employers operate in could have different eligibility requirements, caps, accrual rates and coverage. For example, in California, employers must comply with statewide law, local ordinances and potentially industry rules (i.e. a large hotel operator in Los Angeles might be covered by all three). Other cities may have leave laws when a statewide law is not in place (i.e. Philadelphia has paid-sick-leave mandates even though there’s no statewide law).

#3 Ban the Box

Ban the Box laws prohibit employers from asking job candidates about their criminal histories until a certain stage of the hiring process. The idea is not that employers should not know a candidate’s background, but that they should consider a job candidate’s qualifications first, without the stigma of a conviction in their past. So far, 150 cities and counties across the country are putting these regulations into place. Likewise, 32 states have adopted some type of statewide laws or policies regarding inquiries about criminal histories during the application process.

How an HR Services Company Can Help

Small businesses that don’t have much HR support often outsource HR for assistance complying with federal and state workplace laws. Not only do employers have to decide whether a law affects their workplace, they must also determine how the law relates to other federal, state and local laws. HR Services Companies help employers review company policies and procedures and employee handbooks to see how a particular law might affect operations.

One HR outsourcing solution to compliance challenges that small and mid-size businesses are increasingly considering is a Professional Employer Organization (PEO). PEO solutions include all of the following:

  • Payroll, technology and tax administration
  • Employee benefits and benefits administration
  • Workers' compensation, safety and risk management
  • Human resources and compliance

FrankCrum, a PEO headquartered in Clearwater, Florida, has saved businesses of all sizes thousands of dollars by providing a results-oriented HR consulting service. The team of HR professionals provides exceptional customer service by helping clients make informed HR decisions. FrankCrum’s “FrankAdvice” team provides:

  • Discussion and expert advice on topics such as hiring practices, discipline, termination, investigations, discrimination, wage and hour issues and federal acts
  • Comprehensive employee handbook preparation or detailed review of existing policies
  • Tools to create clear, detailed and uniform job descriptions
  • Ability to provide information or training on important topics
  • Availability to provide forms and publications related to HR functions
  • Regular communication on various topics and important changes in employment laws

One FrankCrum client, Courtyard Gardens, found it difficult to handle HR-related issues in house. Since the company outsourced HR to FrankCrum, its owners and employees have been able to focus on top quality, individualized resident care. Partnering with FrankCrum has also helped Courtyard Gardens control costs, improve efficiencies and maintain compliance with HR regulations. Read the Courtyard Gardens case study here.

To learn more about the HR administration services provided by FrankCrum, call 1-800-277-1620.

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Nannette Madera, PHR
Nannette Madera, PHR

Nannette Madera, is a bilingual Certified Professional in Human Resources who has over 10 years of experience in Human Resources, Management, Training, and Organizational Development.