Small Business Regulation

MARY KEATING: There are State and Federal laws and sometimes, local municipality laws that apply to employers of different sizes.

ROCHELLE EISENBERG: Typically, large companies have more written rules than the smaller companies.

MARY KEATING: It behooves you as an employer to get to know what it is that governs you because sometimes the sizes are smallest too. For example, my understanding in Washington DC, a company that employs two people is subject to all the laws. Once you get past one, self-employment, you might be liable for any violations of the anti-discrimination laws. An employer with 50 employees within 75-mile radius is subject to the Federal Family and Medical Leave Act and then at the low end, the Federal law is generally 15 for age discrimination, sex, race, and religious discrimination.

IRWIN KRAMER: This does not mean that a smaller employer can get away with more. You still cannot discriminate.

MARY KEATING: It means that they are not subject to the administrative enforcement agencies like the Equal Employment Opportunity Commission in the Federal Government.

IRWIN KRAMER: You can still get sued but more probably in State court rather than Federal Court.