Difference between EmployeeContractor Someone who agrees to be
supervised for pay Works under YOU, therefore represents the
business Liability is on owner Someone who completes work under a
non- employment based contract Works independently Liability is on
the contractor
Slide 3
Employment Legal relationship based on a contract Employer is
the person who pays for work Employee is person who completes the
work assigned If either party does not do what they promise, the
contract is breached
Slide 4
Breach of Contract When either side of an agreement does not
follow what is agreed to If an employer agrees to pay you $100 for
a days work and they only pay you $90, they breached the contract
If an employee agrees to work 8 hours and they leave after 6 hours,
they breached the contract
Slide 5
Employment agreements ImpliedExpress At will Open ended
agreements with no agreed time limits Limited rights for employee
BUT they can quit anytime a better offer comes Contract based Time
limits part of all agreements Strong rights for employee (And
employer) with clear expectations for each
Slide 6
At Will Employment Employee can quit anytime they want and
employer can fire employee anytime they want No reason must be
given by either party Protections for Employee: Pay, illegal
discrimination, wrongful termination, retaliation not allowed, and
state laws MUST be followed Protections for Employer: Obligations
of employee, opportunity to better staff all the time, and can cut
a person with no reason at any time
Slide 7
Contract based Employment Express contracts, usually part
written and part spoken, that set clear obligation by employer and
employee, time limit, pay and benefits Clear reason must be given
If you are going to terminate an employee before contract ends
Protections for Employee: Contract itself, reason for termination,
time guaranteed for work being completed Protections for Employer:
Contract itself, clear expectations, employee cannot quit, set
time
Slide 8
Employee Duties Owed to Employer Obedience: Employee must obey
reasonable orders by employer Reasonable Skill: Employees possess
the necessary skills, experience and knowledge to complete the work
assigned Loyalty and Honesty: Employee is obligated to look out for
the employers best interest Reasonable Performance: Employees must
complete assigned tasks within the time limit they are expected to
be completed
Slide 9
Reasonable Orders Employees are obligated to complete tasks
assigned to them that are reasonable. Sometimes reasonable order
include asking employees to complete something outside what they
are hired to do. IF they can do the job safely, its a reasonable
request. If the request is NOT reasonable, they are justified to
say no, and cannot be fired for this with cause
(Insubordination).
Slide 10
Fair Labor Standards Act Federal Law that sets the minimum age
minors can work (14) States are given the right to set their own
minimum age (As long as they stay within federal guidelines) Ex)
NYS allows you to work at 15 not 14 Minors may work in agriculture
(Farming), entertainment or newspaper delivery under 14
Slide 11
Employers Duties Owed to Employee Reasonable Treatment:
Employers must treat employees in a reasonable manner Safe Working
Conditions: Employees must have reasonably safe working conditions,
including tools, equipment and building itself (OSHA) Fair Labor
Standards: Law must be followed Payroll Deductions: Taxes taken
from checks Minors Rules: Follow state and federal guidelines
Slide 12
Wrongful Discharge Firing an employee for incorrect reasons
Examples: race, religion, gender, age, handicap, pregnancy, veteran
status, national origin Retaliation reasons that are illegal:
Refusal to commit perjury (Lying under oath), filing a workers
compensation claim, reporting a violation or asking company to
follow the law
Slide 13
Fired for? CauseWithout Cause Not following employment
obligations Obligations means what you are supposed to do Stealing,
fighting, working under influence Not eligible for unemployment No
reason for firing given (Obligations met) Usually given to an At
will (Implied) employee Since obligations were met, you did nothing
wrong Eligible for unemployment
Slide 14
Difference between Unemployment Workers Compensation An
insurance paid by employer to allow workers fired without cause to
be compensated while looking for work Must be independent and
looking for work An insurance paid by employer to cover medical
costs of an employee who is hurt on the job Must be independent and
covers costs until the worker can go back to work
Slide 15
Sectors of Employment PrivatePublic Anyone who works in an area
NOT within a government based job Can be express or At Will Less
rights than a public employee Most of the country works within this
sector Anyone who works in a government based job Police, public
teachers, military, etc.. Strong rights as most have contracts
Makes up a much lower part of workforce
Slide 16
2 Types Private Sector Employees Implied (At Will) No time
limit stated Limited rights (Pay, working conditions, safety,
etc..) Express (Contract) Time limit and rights based on contract
agreed Right to court if dispute occurs (Must provide own
attorney)
Slide 17
Public Employees Contract based agreements with time limits
Represented if there is a dispute (Lawyer, union rep) Right to due
process if fired (Court date, proof by employer must be shown,
appeal if needed, rehired if proven false) Much harder to terminate
Strong protections (Even stronger than private contracts in most
cases)
Slide 18
FACTS Contractors are NOT employees (Liability reasons) Implied
agreements do not have written contracts All employment agreements
(Contractual or not) include the law as part of the agreement
Employees can be discharged for ANY reason if they cannot do the
work (Obligation) FICA means Social Security Fair Labor Standards
act protects workers under 14 unless they work in exception areas
State laws set minimum age for each state (Within federal)