Chapter 20 Flashcards
(43 cards)
Employment at Will
When a person provides services to another for compensation without the duration of the relationship specified
*different than a contractor that has a time limit
Application of the Employment at Will Doctrine
The employment relationship may be terminated by either party at any time for any reason, subject to certain exceptions
Exceptions to the Employment at Will Doctrine
- Implied contract
- Implied covenant of good faith
- Public policy
Implied contract
Guarantees of continued employment can create an implied contract
“you will have a job, if you do a good job”
Implied Covenant of Good Faith
Some states hold that the employment relationship creates an implied promise to act in good faith. So, if the employer fires an employee for an arbitrary or unjustified reason, it may be considered bad faith (taking advantage of an employee)
Public Policy
Applies when the employer fires a worker for reasons that violate a fundamental public policy of the state (common law, administrative agency law, etc.)
Firing that violates common law:
- Employer directs an employee to commit a crime and the employee refuses and is fired (ALL states)
- Fraud/tort by the employer
- Employer fires employee for Whistleblowing
Example of fraud/tort by the employer
Goldfinch convinces Brianna to leave one good job in one state for another in another state. This position is described by Goldfinch as a “long-term, thriving position.” Goldfinch is not thriving and planning on terminating the position
Whistleblowing
When an employee tells a government official, upper management, or the press that her/his employer has engaged in some unsafe or illegal activity
Statutes protecting Whistleblowers
- Whistleblower Protection Act of 1989 (Federal) - an employer cannot retaliate against whistleblowers
- State whistleblower statutes
Texas Statutes protecting Whistleblowers
- Public Employee Whistleblower Act: protects public employees who make good faith reports of violations of law by their employer to an appropriate law enforcement authority
- Other statutes: Texas Medicaid Fraud Prevention Act
Wrongful Discharge
- The employer has fired the employee in violation of the employment contract between the parties; OR
- The employer has fired the employee in violation of a statute or common law
Fair Labor Standards Act of 1938
- Child Labor rules
- Minimum wages
- Tipped workers
- Overtime
Child Labor Rules - Children under 14
Allowed to do only certain types of work (they can deliver newspapers, work for their parents, and be employed in entertainment or agriculture)
Child Labor Rules - Children 14 & 15
Allowed to do work, but not hazardous occupations (restrictions on how many hours per day and per week)
Child Labor Rules - Children 16 & 17
No time restrictions
Cannot be employed in hazardous jobs
Minimum wage
Federal: $7.25
TX: $7.25
Tipped workers
Direct wages of $2.13 an hour plus tips must equal federal minimum wages
Overtime
Any employee who agrees to work more than 40 hours per week must be paid no less than one and a half times his regular pay for all hours over 40
Who is exempt from overtime rules?
- Executives
- Administrative
- Professional
- Outside salespeople
- Those who create computer codes
And those making more than $50,440 a year (as of 2016)
Family Medical Leave Act of 1993
- Employers who have 50 or more employees must provide employees with up to 12 weeks of UNPAID family/medical leave during any 12-month period
- During the leave, the employer must continue the worker’s health-care coverage
- Employee is guaranteed to return to the same or a comparable position after leave
Exceptions to the coverage of the FMLA
- “Key Employee Exception”
- Must have worked at least one year with the company
- Must have worked at least 1250 hours the preceding year (not a part-time employee)
Key Employee Exception
When the leave is over the employer doesn’t have to return the employee to the “key employee” position. However they are still entitled to the leave. Key employee=top 10% wage earners at the company
Requirements for Family or Medical Leave
- To care for a newborn within one year of birth
- To care for adopted or foster child within one year of placement
- To care for employee’s CHILD, SPOUSE, or PARENT with a “serious health condition” - cancer, heart attack, etc.
- When employee has a “serious health condition” making them unable to do the job
- Exigent circumstances arising out of the fact that spouse, son, daughter, or parent is covered military member on active duty - get up to 26 weeks in a 12 month period