When you form a new business, it is important to consider whether you ever plan to also hire employees, and it is particularly important before you make your first hire to consider employment laws. A recent article by Associated Press Business Writer Joyce M. Rosenberg, looks into the issues that new employers need to consider before they make their first hire. She points out that it may be difficult to transition from even a manager to a new employer because the role of employer is so different from employee.
Rosenberg reminds new employers not to expect their new hires to be as passionate about the new business as they are. As the business owner, you may work around the clock to keep growing your business, but employee burn-out, not to mention wage-and-hour laws should prevent you from expecting the same from your employees. As an employer, you will now be responsible for making sure that your business follows federal labor laws and California employment law.
Before you make your first hire, you should have already laid out your workplace's policies for sick time and vacation time as well as other benefits. It is also a good idea to put together an employee handbook with these policies. If you will have more than 15 employees, your workplace must adhere to the Americans With Disabilities Act. There is also workers' compensation insurance to purchase and tax forms to file with the U.S. government. As you get your business set up, Rosenberg advises that it would probably be a sound move to consult an HR consultant or an employment attorney or a local Small Business Development Center.
First-time employers may find they have a lot to learn -- before they make their first hire (Star Tribune)