702: Aaron Colby on The Top 20 Employee Legal Hotspots
702: Aaron Colby on The Top 20 Employee Legal Hotspots
Aaron Colby is a graduate of the University of Michigan and Southwestern University of Law. Today he’s practicing law at where he represents employers in single-plaintiff, multi-plaintiff, and class action disputes involving allegations of wrongful termination, discrimination, retaliation, harassment, and wage and hour issues such as overtime, meal and rest breaks, and off-the-clock work. Aaron defends organizations on public accommodations claims under the Americans with Disabilities Act and California Unruh Act, and claims of defamation, trademark, and other business-related matters. Today we’re going to cover the "Top 20 Employee Legal Hotspots" restaurant owners and operators struggle with when it comes to compliance. Show notes… Calls to ACTION!!! Subscribe to the Join the private Join the email list! (Scroll Down to get the Vendor List!) Favorite success quote or mantra: "Be direct and know your audience." In today's episode with Aaron Colby we will discuss: The 20 Employee Legal Hotspots Hiring Decisions and Process 1. Use of Staffing Agencies and Joint Employment Gig economy Hiring vs. contracting Unfair vs. against the law Document when an employee does something wrong so you can prove it later on 2. Independent Contractor (1099) v. Employee (W-2) Classification The difference between independent contractors and employees - defined by the law 3. Form I-9 Compliance You need to make sure someone is legally allowed to work in the United States Be vigilant Ask relevant questions - know what they are Get the I-9 BEFORE they start working 4. Hiring - Background Checks and Criminal History Inquiries Highly regulated 5. Employee Arbitration and Class Action Waiver Agreements Why do you need it? You can make it mandatory Is it a red flag if an employee doesn't want to sign it? Wage and Hour 6. Non-exempt (Hourly) v. Exempt (Salary) Employee Classifications Everyone is qualified for hourly but not salary Some salary workers still require over-time 7. Local Minimum Wage and Paid Sick Leave Regulations City, county, state laws all apply - NOT only state 8. Equal Pay Everyone deserves the same pay for the same job Some states don't allow employers to ask applicants past payment 9. Timekeeping for Non-Exempt Employees You MUST keep records for all work done No insurance for time-keeping in business Don't ignore it - address it 10. Travel time You MUST be paid for it Delivery functions 11. Meal and Rest Breaks You MUST provide the opportunity to all employees Police it vs. Provide it Not just IF you took a break but also when and for how long and was there an interruption? 12. Paystub and Payroll Practices Federal is baseline - states individually break it down more specifically Paystub requirements 13. Commission Agreements and Bonus Plans Overtime is much more complicated than "time and a half" Anything outside of hourly is complicated and must be understood 14. Expense Reimbursements No federal laws - all state-by-state Driving, getting, phones, insurance - if it's required for the job you must reimburse by state law 15. Uniforms and Tools If you require someone to wear something, you have to reimburse for it 16. and 17. Tips and Service Charges Voluntary You must categorize them Tips are state-by-state Tips belong to the employee not the business Service charge is demanded by the business Harassment and Conduct 18. Anti-Harassment Training and Policies Major differences from every other work environment Some states have harassment training requirements Leave of Absence 19. Leave of Absence Different in restaurant industry than all other industries You need to know what rights the employee has Get a doctor's note Termination Decisions 20. Termination Decisions All the categories where you're unable to fire someone EVERYONE can be protected by discrimination laws Separation agreements Have policies in place before firing someone for a made-up policy Today's sponsor: empowers restaurants to own their presence, profits and relationships. The hospitality platform disrupts third-party services that come between the restaurant and the guest. BentoBox puts the restaurant first and offers tools that drive high-margin revenue directly through the restaurant’s website. BentoBox is trusted and loved by over 5,000 restaurants worldwide including Union Square Hospitality Group, Eleven Madison Park, Gramercy Tavern, Lilia and more. is a cloud-based, all-in-one, restaurant-specific accounting and back-office platform that seamlessly integrates with POS systems, payroll providers, food and beverage vendors. 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If you enjoyed this episode, please share it using the social media buttons you see at the top of the post. Also, ! Ratings and reviews are extremely helpful and greatly appreciated! They do matter in the rankings of the show, and I read each and every one of them. And finally, don’t forget to subscribe to the show on to get automatic updates. Huge thanks to Aaron Colby for joining me for another awesome episode. Until next time! Restaurant Unstoppable is a free podcast. One of the ways I'm able to make it free is by earning a commission when sharing certain products with you. I've made it a core value to only share tools, resources, and services my guest mentors have recommend, first. If you're finding value in my podcast, please use my links!