You might hear the phrase “HR law” and want to run for the hills. But don’t fret, it’s not as scary as it sounds! Human Resources law is what makes the workforce world go-’round, and is key to understanding culture when running a business (and as an employee).
HR law runs under the term Human Resource Management (HRM) and is “the function that assists organizations in achieving goals by obtaining and maintaining effective employees.”
Through HRM, there are many laws to follow and use as a guideline for your long-term HR culture and implementation.
HR Law is, “related to Labor and Employment law and encompasses the various laws and regulations specific to HR professionals. It deals with the issues that HR professionals must contend within the majority of their work functions, predominantly in overseeing and managing duties related to hiring, firing, employee benefits, wages, paychecks, and overtime.”
HR Law can also be used under the umbrella of safety at the workplace, harassment and discrimination, and overall employee privacy.
Some of the primary HR regulations should be known across the board to help your company culture be its best. These HR laws can be categorized into:
These are broad topics and have many different applications– so let’s focus on employee benefits laws.
Employee Benefit Laws
Employee benefit laws are widely talked about, for good reason. A company wants to create the best environment to offer employees, including benefits with proper paid time, sick leave, life insurance, retirement benefits, and health insurance (to name a few). One example of an HR law surrounding employee benefits is the Employee Retirement Income Security Act (ERISA).
According to the U.S. Department of Labor, “ERISA requires plans to provide participants with plan information including important information about plan features and funding; provides fiduciary responsibilities for those who manage and control assets; requires plans to establish a grievance and appeals process for participants to get benefits from their plans, and gives participants the right to sue for benefits and breaches of fiduciary duties.”
Does this topic intrigue you? If so, you might want to consider looking into our monthly “Laws and Lattes” event. (And if HR Law doesn’t interest you, we’re sure lattes do!)