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Keeping On Top Of Employment Laws

February 14, 2012 | Comments: 0 | Views: 156

Privacy and its impact on today's world helps to understand why employment laws are becoming more and more complex. Not only are people more aware of what is not acceptable, but there are organizations that oversee the privacy of individuals. Some of the areas affected in the employment world are:

The wording of ads soliciting for employees,

Hiring practices,

Interviewing potential future employees,

Pre-employment testing,

Wording on an employment application,

Workplace harassment,

Discrimination because of physical attributes,

Limits to paid absences.

Owner Options

The owner of a business has several options in handling human resources.

1. The owner can assume all the responsibility of the human resources function.

While that may take some time away from managing the business, it does leave the owner completely in charge of who they hire and how they handle the hiring, interviewing and mediating. Is this a wise choice? If the owner is willing to keep up with all the laws and regulations concerned in handling employees and is also willing to take time away from the business itself, it is an acceptable option.

2. The owner can hire personnel to manage the human resources function.

If the business is small, this can adversely impact the bottom line. It takes a lot of training to become a human resources professional. It also takes updating to assure that the latest laws and regulations are met. Having an in-house human resources department allows the owner to closely monitor the decisions made by that department. This may be an advantage and may be an acceptable option for some firms.

3. The owner can outsource the human resources function.

Some Advantages of Outsourcing Human Resources

In Depth Knowledge of Laws and Regulations

The entire focus of a firm that solely deals with the human resources function is to keep up to date on all laws and regulations dealing with employee issues. They are familiar with how to solicit employees, how to interview them, how to test them, how to hire and fire them and taxes related to the employee that the owner must pay.

Coverage When Vacation Time Comes

An outsourcing organization never needs time off for vacation or sick leave. They are always on duty. This eliminates the worry of having to cover when someone is absent.

Allowing the Owner to Manage the Business

The owner is free to pursue managing and growing the business. An owner's central concern should be the business and not spending time interviewing, hiring, or arbitrating employee issues. Even the paperwork involved in the human resources function takes time. If outsourced, all these small details are handled without needing to interfere with daily business.

It May Be Cost Effective

Outsourcing may reduce costs for several reasons. Once familiar with the business, the outsourcing firm may be able to make suggestions that will reduce the cost of doing business. Not living up to laws and regulations may cost a business money in fines and possibly in law suits. Benefit packages may be less expensive.


Taking time to consider the option that is the best fit for a company will reduce mistakes. The HR function is vital to the organization. Hiring right and keeping federal and state laws is vital.

It is worth looking at human resource management and advice companies, either to outsource whole or part of the operation, leaving the company to its business development.

Source: EzineArticles
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