What Is Employment Law Compliance?

Employers rarely fail employment law compliance because they do not care about the law. They fail because requirements change by workforce size, location, benefits, hiring practices, recordkeeping duties, and federal-contractor status. Employment Law Compliance is a dynamic management task, and it has to be managed like one.

Federal legislation is written first, then state and local legislative laws or acts add their own guidelines and enforcement action. These laws and acts can become obsolete or require modification as the workforce changes, so small to mid-size business managers need a practical way to monitor requirements, maintain records, and update policies.

What Is Employment Law Compliance?

Employment law compliance is the process of identifying the employment laws that apply to a company and then building policies, postings, records, and management practices that follow those laws. It includes federal labor laws, state and local rules, and specific obligations tied to the number of employees, the type of work, benefits offered, and whether the company performs federal contracts.

Forty years ago, the workforce was more homogeneous than it is today, and business compliance requirements were easier to track. Non-discrimination employment law expanded from early protections around race and national origin into broader coverage involving sex, pregnancy, religion, age, disability, genetic information, veteran status, and other protected areas under federal, state, and local law. As demographics and workplace norms change, managers can expect employment law compliance to keep changing as well.

Companies can use lawful pre-employment assessments, including tools such as Berke from HighMatch, to evaluate job-related skills and fit. Those tools do not replace compliance. Hiring practices still have to follow the common rules of fair selection, consistent job criteria, reasonable accommodation, recordkeeping, and nondiscrimination.

HR compliance dashboard showing labor law requirements by employee count

Which Federal Labor Laws Apply?

To facilitate discussion, the following Federal Labor Laws table shows common federal acts that may apply from the smallest group of employees to larger organizations. Most of the laws listed apply broadly, while additional employment law compliance is required at 15, 20, 50, and 100 employees, and for companies servicing Federal contracts. The alphabetical listing has no bearing on frequency of use or importance.

The table is a starting point, not a legal opinion. Every individual company is responsible for knowing which laws apply to its operations, location, employee count, benefits, hiring process, and contracts so it can achieve employment law compliance.

Federal Acts	Number of Employees
Federal Acts	1-14	15-19	20-49	50-100	100+
Civil Rights Act of 1964	X	X	X	X	X
Civil Rights Act of 1991	X	X	X	X	X
Consumer Credit Protection Act of 1968	X	X	X	X	X
Employee Polygraph Protection Act (1988)	X	X	X	X	X
Employee Retirement Income Security Act (ERISA) of 1974[1]	X	X	X	X	X
Equal Pay Act of 1963	X	X	X	X	X
Fair Credit Reporting Act (FCRA) of 1970	X	X	X	X	X
Fair Labor Standards Act (FLSA) of 1938	X	X	X	X	X
Federal Insurance Contributions Act (FICA) of 1935	X	X	X	X	X
Health Insurance Portability & Accountability Act of 1996 (HIPAA)[2]	X	X	X	X	X
Immigration Reform and Control Act (IRCA) of 1986	X	X	X	X	X
Immigration and Nationality Act	X	X	X	X	X
Labor-Management Reporting & Disclosure (Landrum-Griffin) Act	X	X	X	X	X
National Labor Relations Act (NLRA) of 1935	X	X	X	X	X
Occupational Safety & Health Act (OSHA) of 1970	X[3]	X	X	X	X
Social Security Act	X	X	X	X	X
Taft-Hartley Labor Management Relations Act of 1947	X	X	X	X	X
Uniform Guidelines for Employee Selection Procedures (1978)	X	X	X	X	X
Uniform Services Employment & Re-employment Rights Act (1994)	X	X	X	X	X
Title I, Americans with Disabilities Act (ADA) of 1990		X	X	X	X
Title VII, Civil Rights Act of 1964		X	X	X	X
Title VII, Civil Rights Act of 1991		X	X	X	X
Age Discrimination in Employment Act (ADEA) of 1967			X	X	X
Consolidated Omnibus Budget Reconciliation Act (COBRA) 1985			X	X	X
Family and Medical Leave Act (FMLA) of 1993				X	X
Pregnant Workers Fairness Act (PWFA) of 2023		X	X	X	X
EEO-1 Report: All for-profit companies must file with the EEOC when covered					X
Worker Adjustment and Retraining Notification Act (WARN) of 1989					X
FC – Federal Contractors must also include
EEO-1: Must be filed with the Equal Employment Opportunity Commission if your company is a Federal contractor.				FC	FC
Drug Free Workplace Act of 1988	FC	FC	FC	FC	FC
Davis Bacon Act of 1931	FC	FC	FC	FC	FC
Executive Order 11246 (1965)	FC	FC	FC	FC	FC
Service Contract Act of 1965	FC	FC	FC	FC	FC
Vietnam Era Veterans Readjustment Act of 1974	FC	FC	FC	FC	FC
Vocational Rehabilitation Act of 1973	FC	FC	FC	FC	FC
Walsh-Healy Act of 1936	FC	FC	FC	FC	FC

What Employment Law Notices Must Employers Post?

Federal laws require covered employers to post certain notices in the workplace where all employees and applicants can view them. The exact posting set depends on the laws that apply, the employer size, the nature of the work, and whether the business is a federal contractor. The U.S. Department of Labor maintains current workplace poster guidance, and the EEOC provides the current Know Your Rights workplace discrimination poster.

If a company has more than fifty employees, the employer usually needs to check whether information concerning the Americans with Disabilities Act, Age Discrimination in Employment Act, Title VII, Employee Polygraph Protection Act, Fair Labor Standards Act, Family and Medical Leave Act, and Occupational Safety and Health Act must be posted or documented. For FMLA specifically, the Department of Labor explains that covered employers must display an FMLA poster where employees and applicants can see it, and coverage rules often turn on the 50-employee threshold.

The Americans with Disabilities Act of 1990 (ADA);
The Age Discrimination in Employment Act of 1967;
Title VII of the Civil Rights Act of 1964;
The Employee Polygraph Protection Act;
The Fair Labor Standards Act, including current minimum wage notice requirements;
The Family Medical Leave Act (FMLA) of 1993; and
Occupational Safety and Health Act (OSHA) of 1970.

A company with fewer than fifty employees is not required to comply with FMLA in the same way as a covered employer and, therefore, may not need to post related information. State labor law posting requirements may vary, so employers should also check the labor department for each state where employees work.

HR manager reviewing workplace posting requirements and compliance tasks

What Are The Main Employment Legislation Briefs?

The following provides a brief description of various acts relating to HR. A more complete discussion of Federal compliance belongs in a manager manual or HR policy system, but these briefs preserve the major reference points that shape employment law compliance.

Clayton Anti-Trust Act (1914)

Narrowed the availability of injunctions against labor organizations in cases involving employers and employees. The Act allowed injunctions only when necessary to prevent irreparable harm to property and when no adequate legal remedy existed.

Norris-LaGuardia Act (1931)

First general legislation specifically designed to strengthen unions in dealing with management. It prohibited yellow dog contracts, which were agreements requiring prospective employees not to join a labor union.

National Labor Relations Act (Wagner Act) (1935)

A Congressional effort to equalize the disparity in bargaining power between employers and employees. It gives covered employees the right to organize and bargain collectively, and it created the National Labor Relations Board (NLRB).

Fair Labor Standards Act (1938)

Known as the Wage and Hour Law. The FLSA regulates hours and wages, prohibits oppressive child labor, and includes minimum wage, overtime, and recordkeeping obligations.

Executive Order 8802 (F.D. Roosevelt, 1941)

First federal action to address persistent discrimination in employment against minorities and women. Defense contractors were forbidden to discriminate in employment on the basis of race, creed, color, or national origin, although enforcement was limited.

Taft-Hartley Act (Labor Management Relations Act 1947)

Amended the National Labor Relations Act and covers employees whose business affects interstate commerce.

Labor Management Reporting and Disclosure Act (Landrum-Griffin Act) (1959)

Further amended the NLRA, established a bill of rights for union members, and required reports from unions to the Secretary of Labor.

Executive Order 10925 (Kennedy, 1961)

Required federal agencies to include a nondiscrimination clause in government contracts.

Equal Pay Act (1963)

Requires women and men to be paid the same rates for equal work on jobs requiring equal skill, effort, and responsibility.

Title VII of the Civil Rights Act of 1964

Prohibits employment discrimination based on race, color, religion, national origin, or sex. Employers with 15 or more employees are covered, and provisions are enforced through the Equal Employment Opportunity Commission (EEOC).

Executive Order 11246 (L.B. Johnson, 1965)

Requires government contractors to take affirmative action to ensure that employees are hired and promoted on a nondiscriminatory basis.

Age Discrimination in Employment Act of 1967

Prohibits covered employers from refusing to hire, discharging, or otherwise discriminating against persons age 40 or older.

Occupational Safety and Health Act of 1970

Imposes a general duty on employers to provide a place of employment free from recognized hazards, including physical, chemical, biological, and other hazards that may cause death or serious physical harm.

Amendments to Title VII of Civil Rights Act (1972)

Expanded enforcement and clarified discrimination protections in employment on the basis of sex, race, religion, color, or national origin.

Rehabilitation Act of 1973

Requires employers with certain federal contracts to take affirmative action to employ and advance qualified individuals with disabilities.

Vietnam Era Veterans Readjustments Act (1974)

Requires federal contractors to promote employment opportunities for qualified disabled veterans and veterans of the Vietnam era.

Privacy Act of 1974

Protects individuals against the unauthorized disclosure of personally identifiable information by any agency of the federal government.

Employee Retirement Income Security Act of 1974 (ERISA)

Covers employee welfare plans providing medical, sickness, death, vacation, pension, and other welfare benefits. ERISA does not require employers to establish or fund benefit plans, but it sets standards for plans that exist.

Immigration Reform and Control Act of 1986

Placed responsibility on employers to document and provide proof of employees right to work in the United States.

Federal Employee Polygraph Protection Act of 1988

Restricts employer use of polygraph testing as a pre-employment screening tool, with limited exceptions in specific security-related situations.

Drug-Free Workplace Act of 1988

Requires federal contractors and grantees to maintain a drug-free workplace.

Americans With Disabilities Act of 1990 (ADA)

Establishes employment protections for qualified workers with disabilities and applies to covered employers.

Family and Medical Leave Act of 1993 (FMLA)

Guarantees eligible workers up to 12 weeks of unpaid, job-protected leave for qualifying family and medical reasons.

How Does Employment Law Compliance Work Outside The United States?

Council Directive 2000/78/EC

The subtitle of this legislation is “establishing a general framework for equal treatment in employment and occupation.” The Member States of the European Union (EU) ban discrimination in the field of employment and occupation. However, the scope of this prohibition, its content, and its enforceability vary from country to country; therefore, this Directive is designed to lay down a general minimum framework for anti-discrimination.

How Should A Company Manage Employment Law Compliance?

Companies should treat employment law compliance as an operating process. That means assigning ownership, reviewing the Federal Labor Laws that apply, tracking state and local legislative laws, maintaining required records/reports, updating posters, and making sure managers understand when employee-count thresholds change obligations.

The practical work is ongoing. ERISA applies only to companies that provide savings plan benefits, HIPAA applies only to companies providing employees with health care benefits, and OSHA recordkeeping can change based on employee count and industry. These details are why a checklist, documented policies, and periodic review are more reliable than relying on memory.

We have just scratched the surface of employment law compliance. There are many more laws around the globe that are not discussed here. Complying with labor laws and employment-related issues is a dynamic and multifaceted management task, and that task is easier when a business maintains current policies, procedures, postings, and records through a resource such as the Bizmanualz Human Resources Policies and Procedures Manual.

[1] ERISA applies only to companies that provide savings plan benefits, such as a 401(k), to their employees.

[2] HIPAA applies only to companies providing employees with health care benefits, such as insurance.

[3] Companies with 11-14 employees may need to maintain records of job-related injuries and illnesses under OSHA rules, depending on industry and exemptions.

Frequently Asked Questions

What Is Employment Law Compliance?

Employment law compliance is the management process of identifying, following, documenting, and updating the labor and employment requirements that apply to a business. It includes federal laws, state and local requirements, workplace notices, hiring practices, wage and hour rules, benefits obligations, safety rules, and employee records.

Why Is Employment Law Compliance Important?

Employment law compliance is important because employment rules affect hiring, pay, leave, safety, discipline, termination, and employee rights. A documented process helps a company avoid penalties, reduce inconsistent decisions, and show that managers understand their responsibilities.

Which Federal Employment Laws Apply To Small Businesses?

Small businesses may need to comply with laws such as the Fair Labor Standards Act, Equal Pay Act, Employee Polygraph Protection Act, Immigration Reform and Control Act, OSHA, and Social Security requirements. Additional laws can apply as employee count rises, including ADA, Title VII, ADEA, COBRA, FMLA, EEO-1 reporting, and WARN obligations.

What Workplace Notices Must Employers Post?

Covered employers must post certain workplace notices where employees and applicants can see them. The exact poster set depends on factors such as employee count, industry, federal-contractor status, location, and which laws apply to the employer.

How Should Employers Keep Employment Law Compliance Current?

Employers should maintain a current compliance checklist, assign ownership for policy updates, review federal and state agency guidance, preserve required records, and update workplace notices when laws or poster versions change. Employment law compliance is a dynamic management task, so the process should be reviewed regularly rather than treated as a one-time project.