In the year 2024, the United States of America has experienced several changes in the field of employment laws. These new updates have impacted how organizations regulate and govern the workplace.
The US Supreme Court issued numerous decisions in 2023 which are now effective in each state. If you are an employer, getting them right is very important when employing US workers.
To help you get through the ever-evolving structure of US employment laws, in this post, we will provide you with comprehensive knowledge. Hopefully, this post will help you prepare for the changes and their impact on your business.
So, let’s get started.
- Religious Accommodation Standard
According to the new rule by the Supreme Court, employers must provide religious accommodation, in case an employee requests. But if the employer denies them they must show that granting accommodation would result in a substantial increase in the business’s operational budget. The following regulation also restricts employers with 15 or more employees from discrimination based on color, nationality, or ethnicity.
- Form I-9
From November 1, 2023 companies are instructed to use a new version of the Employment Eligibility Verification form, provided by the Homeland Security Verification Department. Employers. This regulation applies to employers who are still using old verification forms and may be mandated to pay the penalties for non-compliance.
As per the new form I-9, there is a provision to include remote verification procedures. Employers enrolled in E-Verify can use these procedures to comply with I-9 Obligations.
Relenting to the new changes in the form may be challenging, but failing may cause penalties for the companies. Therefore you must check through the current policies with Form I-9 obligation.
- Affirmative Action
The US Department of Labor (DOL) on August 30, 2023, amended the rule that exempts executive, administrative, and professional from the Fair Labor Standard Act (FSLA) for minimum wage and overtime payment. This proposal came into effect on April 23, 2024.
As per the regulation of FSLA, the employees covered under this rule must be given at least minimum wage and overtime for all hours worked. For overtime, the payment should be 1.5 of the regular wage for 40 hours above per week.
Moreover, the DOL is proposing to increase the minimum salary level from $684 to $1059 per week for professional employees. For Highly Compensated Employees the wage will be increased from $107,432 to $143,988. The new regulation under FSLA will also enable the renewal of the salary range every 3 years without any dependability on the rulemaking process.
The new orders are going to significantly affect the operation of the organization’s compliance costs and increase in litigation risk. Therefore employers must be aware of these proposed laws and must consider their process to make business functionality adaptable.
- Joint-employer Rule
The National Labor Relations Board (NLRB) announced new criteria for joint-employer status. The joint-employer condition exists when two or more employers share responsibilities like hiring, supervision, management, etc. However, to let these kinds of joint associations operate, employers must evaluate the degree of authority they hold over “Essential Terms and Conditions of Employment.” These terms and conditions include wages, employment benefits, working hours, discharge, and discipline.
Nonetheless, the new rule set by the NLRB repeals the old standards of the joint employer and clarifies new terms and conditions with the type of control necessary.
Therefore employers, especially contractors and sub-contractors should get familiarized with these new regulations and must evaluate if they are under the conditions of joint employers or not.
- Pregnant Workers Fairness Act
The Pregnant Workers Fairness Act (PWFA) was passed on June 27, 2024, and is currently in effect. As per these laws, employers having a staff of 15 members or more must provide reasonable accommodation to workers with pregnancy, childbirth, and medical conditions. But in case it causes hardship for the business operations employers can deny it.
Since PWFA amended the regulation for reasonable accommodation employers should understand and review their existing policies.
Conclusion
For this year, having a proactive approach to all these updates is necessary for the businesses. Knowing all the updated regulations from the Supreme Court and other government agencies will help you easily implement new labor laws in US 2024, and aid in supporting the employees.
Therefore you must stay informed to avoid legal risk and must try to contribute to a positive and holistic work environment. By understanding these changes employers can enhance their position in a constantly changing world of rules and regulations.