INSTRUCTOR MANUAL FOR m m
Employment Law for Business, 10th Edition, Dawn Bennett-
m m m m m m m
Alexander Chapter 1-16
m m
Chapter 1 m
The Regulation of Employment
m m m
Chapter Objective
m
Themstudent mismintroduced mtomthemregulatorymenvironment mof mthememployment mrelationship.mThemc
haptermexaminesmwhethermregulationmismactuallymnecessarymormbeneficial morm if,mperhaps,mthemrelati
onshipmwould mfarembettermwithmlessmgovernmentalmintervention.mThe mconceptsmof m―freedom‖ mtomco
ntract minmthemregulatorymemployment menvironment mand mnon-
competemagreementsmaremdiscussed.mSincemthemregulationsmand mcasemlaw mdiscussed minmthismtext mrel
ymonmanmindividual‘smclassificationmasmanmemployermormanmemployee, mthosemdefinitionsmaremdeline
ated mand mexplored.
Learning Objectives
m
(Clickmonmthemiconmfollowingmthemlearningmobjectivemtombemlinkedmtomthemlocationminmthemoutlinemw
heremthemchaptermaddressesmthatmparticularmobjective.)
At mthemconclusionmof mthismchapter,mthemstudentsmshould mbemablemto:
1. Describemthembalancembetweenmthemfreedommtomcontract mand mthemcurrent mregulato
rymenvironment mformemployment.m
2. Identifymwhomismsubject mtomwhichmemployment mlawsmand munderstand mthemimplicationmof mea
chmof mthesemlawsmformbothmthememployermand memployee.m
3. Delineatemthemrisksmtomthememployermcaused mbymemployeemmisclassification. m
4. Explainmthemdifferencembetweenmand memployeemand manmindependent mcontractormand mthemte
stsmthat mhelpmusminmthat mdetermination.m
5. Articulatemthemvariousmwaysminmwhichmthemconcept m―employer‖ mis mdefined mbymthemvario
usmemployment-related mregulations.m
6. Describemthempermissiblemparametersmof mnon-competemagreements.m
Detailed Chapter Outline
m m
Scenarios—PointsmformDiscussion
1-1
Copyrightm2022m©mMcGrawmHillmLLC.mAllmrightsmreserved.mNomreproductionmormdistributio
nmwithoutmthempriormwrittenmconsentmofmMcGrawmHillmLLC.
,Scenariom One:mThismscenariomoffersmanmopportunitymtomreview mthemdistinctionsmbetweenmanmempl
oyeemand manmindependent mcontractormdiscussed minmthemchapterm(seem―ThemDefinitionmof mEmploye
e,‖ mparticularlymExhibitsm1.3–1.5).mDiscussmthemIRSm20-
factormanalysis,masmit mappliesmtomDalia‘smposition.mInmlight mof mthemlowmlevelmof mcontrolmthat mDaliam
had movermhermfeesmand mhermworkmprocess,mand mthemlimitsmuponmhermchoicemof mclients,mstudentsmsho
uld mcomemtomthemconclusionmthat mDaliamismanmemployeem(therefore,meligible mtomfilemanmunemploym
ent mclaim),mrathermthanmanmindependent mcontractor.
Scenariom Two:m Sorayamwould mnot mhavemamcausemof mactionmthat mwould mbemrecognized mbymthemEEOC.m
Review mthemsectionm―ThemDefinitionmof m‗Employer‘‖ mwithmstudents,mand mdiscussmthemrationalemthat md
eterminesmthemstatusmof mamsupervisormvis-à-vismanti-
discriminationmlegislation.mBecausemSorayamis mSoraya‘smsupervisor, mnot mhermemployer, mhemcannot mbem
themtarget mof manmEEOCmclaimmof msexualmharassment.
CCC,mSoraya‘smemployer,mwould mbemvulnerablemtomanmEEOCmclaimmif mthemcompanymlacked mormfail
ed mtomfollow mamsystemmformemployeemredressmof mdiscriminationmgrievances.mHowever,minmthismcas
e,mCCCmappearsmtomhavemamviablemanti-
discriminationmpolicymthat mit madhered mtomdiligently;mconsequently,mSorayamwould mbemunlikelymtom
winmamdecisionminmhermfavor.mThemcourt minmWilliamsmv.mBanningm(1995) moffered mthemfollowingmrati
onalemformitsmdecisionminmamsimilarmcase:
―Shemhasmanmemployermwhomwasmsensitivemand mresponsivemtomhermcomplaint.mShemcanmtakemc
omfort minmthemknowledgemthat mshemcontinuesmtomworkmformthismcompany,mwhilemhermharassermd
oesmnot mand mthat mthemcompany'smprompt mactionmismlikelymtomdiscouragemothermwould mbemharass
ers.mThismismpreciselymthemresult m TitlemVII mwasmmeant mtomachieve.‖
Scenariom Three:mStudentsmshould mdiscussmwhethermormnot mMyamnon-
competemagreement mismlikelymtombemfound mreasonablembymamcourt,mand melaboratemthemaspectsmof mthe
magreement mthat mMyammight mcontest masmunreasonablem(seemsectionmbelow,m―CovenantsmNot mtomC
ompete‖).mDoesmMyamhavemampersuasivemargument mthat mthemtermsmof mhermnon-
competemagreement maremunreasonableminmscopemormduration?mMight mshemhavemgroundsmtomclaimmth
at mthemagreement mprohibitsmhermfrommmakingmamliving?
Givenmthemdiversitymof mstatemlawsmregulatingmnon-
competemagreements,mdiscussmthemrangemof mlegalmrestrictionsmthat mmight mapplymtomMya‘smparticula
rmagreement mwithmhermemployer.mAsmanmemployeemwhomworksmacrossmseveralmstates,mMya‘s mdefen
semmaymdepend muponmthempresence—and mspecificmlanguage—
of mamforummselectionmclauseminmhermnon-
competemagreement.mConsidermwhat mlanguagemwould mbemmoremlikelymtomprovidemNanmwithmamstron
gmdefensemagainst mthembreachmof mcontract mclaim.
Myammight malsomarguemthat mthemcompany‘smclient mlist mismavailablemthroughmpublicmmeans,mand mther
efore,mhermaccessmtomthismlist mshould mnot mbemprohibited.
GeneralmLecturemNotemformEmploymentmLaw mCourse
1-2
Copyrightm2022m©mMcGrawmHillmLLC.mAllmrightsmreserved.mNomreproductionmormdistributio
nmwithoutmthempriormwrittenmconsentmofmMcGrawmHillmLLC.
,Inmordermtomteachmthismcourse,minstructorsmhavemfound mthat mstudentsmmust mbemmademtomfeelmrelative
lymcomfortablemwithmtheirmpeers.mInstructorsmwillmbemaskingmthemstudentsmtombemhonest mand mtomstay
minmtheirmtruth,mevenmat mtimesmwhenmtheymfeelmthat mtheirmopinionmonmonemof mthesemmattersmwillmnot m
be
1-3
Copyrightm2022m©mMcGrawmHillmLLC.mAllmrightsmreserved.mNomreproductionmormdistributio
nmwithoutmthempriormwrittenmconsentmofmMcGrawmHillmLLC.
, popularmormaccepted mbymthemgroup.mInmordermtomencouragemanmopenmatmosphere,mit mismthereforemne
cessarymformthemclassmtomfeelmcomfortablemwithmand mtombemawaremof mitself masmamgroup.mHeremaremtw
omexercises,mwhichmhavemprovenmtombemusefulminmreaching mthat mgoalminmsomemclasses:
Culturalm Introductions
Havemstudentsmsit minmgroupsmof mfourmormfive.mOncemtheymareminmtheirmgroupsm(someminstructorsm
callmthemmfamilies,msomasmtomprevent mamfeelingmof mcompetition),mhavemstudentsmintroducemthem
selves,masmwellmasmprovidemambit mof mculturalmintroductionm(wheremtheymormtheirmparentsmaremfro
m,mwheremtheymmaymhavemlived,mormotherm―cultural‖ minformation,mlikemtheymare mfrommthemsubu
rbs,mormtheymworkmformamcertainmindustry,mormtheymwent mtomamcatholicmschool,metc.).mTheymshoul
d malsomdiscussmtimesmwhenmtheymmaymhavembeenmmoremawaremof mthismculturalmdifferencemthanm
others.mThismwillmonlymbemshared mwithmthemfamilies.mInmthismway,meachm student mismmademawarem
of mthemfact mthat mshemormhembelongsmtomamnumbermof mdifferent mcultures,mtheirmgender,mrace,mand m
ethnicity,masmwellmasmgeography,mage,mtypemof meducation,metc.mGenerallym―whitemmales‖ mismus
ed masmthemconcept mof mmajority,mthoughmmanymof mthem―whitemmales‖ minmthemclassmmaymbelongmt
omamvarietymof mculturalmgroups.mAllow meachmof mthemmtomunderstand mtheirmownmuniqueness.
Thenmaskmgroupmmembersmtomintroducemothermmembersmtomthemclass.
Fourm Facts
Askmthemstudentsmtomget mintomgroupsmand mlist mfourmstatementsmabout mthemselves,mthreemof mwhic
hmshould mbemtrue,mand monemof mwhichmshould mbemfalse.mAlsomaskmthemmtomlist mbelow mthosemstate
mentsmthemnamesmof mthemmembersmof mtheirmfamily.m(Theminstructormshould mdomthismtoo,mupmonmt
hemboard,mthenmdisclosemlatermtomthemwholemclass.)
Now,meachmindividualmshould mtakemturnsmreadingmhermormhismstatementsmtomtheirmfamily.mAsmeac
hmpersonmreadsmtheirmstatement,mthemothermpeoplemshould mjot mdownmwhichmnumbered mstatement
mismfalsemnext mtomtheirmname.
Then,mtakemonempersonmat mamtime,mand mallmof mthemothersmshould midentifymwhichmstatement mtheym
believemismfalsemand mwhy.mAftermeveryonemhasmmademtheirmguess,mthempersonmwhomshared mthemst
atementsmcanmrevealmwhichmismactuallymfalse.
• Weremthemstudentsmsurprised mat msomemof mthemfactsmthat mpeoplemshared?mWhich?mWhy?
• How mgood mweremthemstudents,mindividuallymand masmamgroup,mat mpickingmthemfalsemstatement?
• What mdoesmthismtellmonemabout mmakingmassumptionsmand mjudgmentsmabout mpeople?
• Weremsomemof mthemstatementsmgivenmbymdifferent mpeoplemsimilar?mWhy?
Givemthemfollowingminstructionsmtomstudentsmtomfind mout mhow mmanymtheymgot mright—
―Everyonemstand mup.mIf myoumgot mat mleast monemright,mstaymstanding.mTwomright,mstaymstanding.m
Threemright?mFourmfight?mFivemright?metc.‖ mSoonmonlymonemormtwommaymremain mstanding.
OpeningmDiscussionmTip
What mismemployment mlaw?
1-4
Copyrightm2022m©mMcGrawmHillmLLC.mAllmrightsmreserved.mNomreproductionmormdistributio
nmwithoutmthempriormwrittenmconsentmofmMcGrawmHillmLLC.
Employment Law for Business, 10th Edition, Dawn Bennett-
m m m m m m m
Alexander Chapter 1-16
m m
Chapter 1 m
The Regulation of Employment
m m m
Chapter Objective
m
Themstudent mismintroduced mtomthemregulatorymenvironment mof mthememployment mrelationship.mThemc
haptermexaminesmwhethermregulationmismactuallymnecessarymormbeneficial morm if,mperhaps,mthemrelati
onshipmwould mfarembettermwithmlessmgovernmentalmintervention.mThe mconceptsmof m―freedom‖ mtomco
ntract minmthemregulatorymemployment menvironment mand mnon-
competemagreementsmaremdiscussed.mSincemthemregulationsmand mcasemlaw mdiscussed minmthismtext mrel
ymonmanmindividual‘smclassificationmasmanmemployermormanmemployee, mthosemdefinitionsmaremdeline
ated mand mexplored.
Learning Objectives
m
(Clickmonmthemiconmfollowingmthemlearningmobjectivemtombemlinkedmtomthemlocationminmthemoutlinemw
heremthemchaptermaddressesmthatmparticularmobjective.)
At mthemconclusionmof mthismchapter,mthemstudentsmshould mbemablemto:
1. Describemthembalancembetweenmthemfreedommtomcontract mand mthemcurrent mregulato
rymenvironment mformemployment.m
2. Identifymwhomismsubject mtomwhichmemployment mlawsmand munderstand mthemimplicationmof mea
chmof mthesemlawsmformbothmthememployermand memployee.m
3. Delineatemthemrisksmtomthememployermcaused mbymemployeemmisclassification. m
4. Explainmthemdifferencembetweenmand memployeemand manmindependent mcontractormand mthemte
stsmthat mhelpmusminmthat mdetermination.m
5. Articulatemthemvariousmwaysminmwhichmthemconcept m―employer‖ mis mdefined mbymthemvario
usmemployment-related mregulations.m
6. Describemthempermissiblemparametersmof mnon-competemagreements.m
Detailed Chapter Outline
m m
Scenarios—PointsmformDiscussion
1-1
Copyrightm2022m©mMcGrawmHillmLLC.mAllmrightsmreserved.mNomreproductionmormdistributio
nmwithoutmthempriormwrittenmconsentmofmMcGrawmHillmLLC.
,Scenariom One:mThismscenariomoffersmanmopportunitymtomreview mthemdistinctionsmbetweenmanmempl
oyeemand manmindependent mcontractormdiscussed minmthemchapterm(seem―ThemDefinitionmof mEmploye
e,‖ mparticularlymExhibitsm1.3–1.5).mDiscussmthemIRSm20-
factormanalysis,masmit mappliesmtomDalia‘smposition.mInmlight mof mthemlowmlevelmof mcontrolmthat mDaliam
had movermhermfeesmand mhermworkmprocess,mand mthemlimitsmuponmhermchoicemof mclients,mstudentsmsho
uld mcomemtomthemconclusionmthat mDaliamismanmemployeem(therefore,meligible mtomfilemanmunemploym
ent mclaim),mrathermthanmanmindependent mcontractor.
Scenariom Two:m Sorayamwould mnot mhavemamcausemof mactionmthat mwould mbemrecognized mbymthemEEOC.m
Review mthemsectionm―ThemDefinitionmof m‗Employer‘‖ mwithmstudents,mand mdiscussmthemrationalemthat md
eterminesmthemstatusmof mamsupervisormvis-à-vismanti-
discriminationmlegislation.mBecausemSorayamis mSoraya‘smsupervisor, mnot mhermemployer, mhemcannot mbem
themtarget mof manmEEOCmclaimmof msexualmharassment.
CCC,mSoraya‘smemployer,mwould mbemvulnerablemtomanmEEOCmclaimmif mthemcompanymlacked mormfail
ed mtomfollow mamsystemmformemployeemredressmof mdiscriminationmgrievances.mHowever,minmthismcas
e,mCCCmappearsmtomhavemamviablemanti-
discriminationmpolicymthat mit madhered mtomdiligently;mconsequently,mSorayamwould mbemunlikelymtom
winmamdecisionminmhermfavor.mThemcourt minmWilliamsmv.mBanningm(1995) moffered mthemfollowingmrati
onalemformitsmdecisionminmamsimilarmcase:
―Shemhasmanmemployermwhomwasmsensitivemand mresponsivemtomhermcomplaint.mShemcanmtakemc
omfort minmthemknowledgemthat mshemcontinuesmtomworkmformthismcompany,mwhilemhermharassermd
oesmnot mand mthat mthemcompany'smprompt mactionmismlikelymtomdiscouragemothermwould mbemharass
ers.mThismismpreciselymthemresult m TitlemVII mwasmmeant mtomachieve.‖
Scenariom Three:mStudentsmshould mdiscussmwhethermormnot mMyamnon-
competemagreement mismlikelymtombemfound mreasonablembymamcourt,mand melaboratemthemaspectsmof mthe
magreement mthat mMyammight mcontest masmunreasonablem(seemsectionmbelow,m―CovenantsmNot mtomC
ompete‖).mDoesmMyamhavemampersuasivemargument mthat mthemtermsmof mhermnon-
competemagreement maremunreasonableminmscopemormduration?mMight mshemhavemgroundsmtomclaimmth
at mthemagreement mprohibitsmhermfrommmakingmamliving?
Givenmthemdiversitymof mstatemlawsmregulatingmnon-
competemagreements,mdiscussmthemrangemof mlegalmrestrictionsmthat mmight mapplymtomMya‘smparticula
rmagreement mwithmhermemployer.mAsmanmemployeemwhomworksmacrossmseveralmstates,mMya‘s mdefen
semmaymdepend muponmthempresence—and mspecificmlanguage—
of mamforummselectionmclauseminmhermnon-
competemagreement.mConsidermwhat mlanguagemwould mbemmoremlikelymtomprovidemNanmwithmamstron
gmdefensemagainst mthembreachmof mcontract mclaim.
Myammight malsomarguemthat mthemcompany‘smclient mlist mismavailablemthroughmpublicmmeans,mand mther
efore,mhermaccessmtomthismlist mshould mnot mbemprohibited.
GeneralmLecturemNotemformEmploymentmLaw mCourse
1-2
Copyrightm2022m©mMcGrawmHillmLLC.mAllmrightsmreserved.mNomreproductionmormdistributio
nmwithoutmthempriormwrittenmconsentmofmMcGrawmHillmLLC.
,Inmordermtomteachmthismcourse,minstructorsmhavemfound mthat mstudentsmmust mbemmademtomfeelmrelative
lymcomfortablemwithmtheirmpeers.mInstructorsmwillmbemaskingmthemstudentsmtombemhonest mand mtomstay
minmtheirmtruth,mevenmat mtimesmwhenmtheymfeelmthat mtheirmopinionmonmonemof mthesemmattersmwillmnot m
be
1-3
Copyrightm2022m©mMcGrawmHillmLLC.mAllmrightsmreserved.mNomreproductionmormdistributio
nmwithoutmthempriormwrittenmconsentmofmMcGrawmHillmLLC.
, popularmormaccepted mbymthemgroup.mInmordermtomencouragemanmopenmatmosphere,mit mismthereforemne
cessarymformthemclassmtomfeelmcomfortablemwithmand mtombemawaremof mitself masmamgroup.mHeremaremtw
omexercises,mwhichmhavemprovenmtombemusefulminmreaching mthat mgoalminmsomemclasses:
Culturalm Introductions
Havemstudentsmsit minmgroupsmof mfourmormfive.mOncemtheymareminmtheirmgroupsm(someminstructorsm
callmthemmfamilies,msomasmtomprevent mamfeelingmof mcompetition),mhavemstudentsmintroducemthem
selves,masmwellmasmprovidemambit mof mculturalmintroductionm(wheremtheymormtheirmparentsmaremfro
m,mwheremtheymmaymhavemlived,mormotherm―cultural‖ minformation,mlikemtheymare mfrommthemsubu
rbs,mormtheymworkmformamcertainmindustry,mormtheymwent mtomamcatholicmschool,metc.).mTheymshoul
d malsomdiscussmtimesmwhenmtheymmaymhavembeenmmoremawaremof mthismculturalmdifferencemthanm
others.mThismwillmonlymbemshared mwithmthemfamilies.mInmthismway,meachm student mismmademawarem
of mthemfact mthat mshemormhembelongsmtomamnumbermof mdifferent mcultures,mtheirmgender,mrace,mand m
ethnicity,masmwellmasmgeography,mage,mtypemof meducation,metc.mGenerallym―whitemmales‖ mismus
ed masmthemconcept mof mmajority,mthoughmmanymof mthem―whitemmales‖ minmthemclassmmaymbelongmt
omamvarietymof mculturalmgroups.mAllow meachmof mthemmtomunderstand mtheirmownmuniqueness.
Thenmaskmgroupmmembersmtomintroducemothermmembersmtomthemclass.
Fourm Facts
Askmthemstudentsmtomget mintomgroupsmand mlist mfourmstatementsmabout mthemselves,mthreemof mwhic
hmshould mbemtrue,mand monemof mwhichmshould mbemfalse.mAlsomaskmthemmtomlist mbelow mthosemstate
mentsmthemnamesmof mthemmembersmof mtheirmfamily.m(Theminstructormshould mdomthismtoo,mupmonmt
hemboard,mthenmdisclosemlatermtomthemwholemclass.)
Now,meachmindividualmshould mtakemturnsmreadingmhermormhismstatementsmtomtheirmfamily.mAsmeac
hmpersonmreadsmtheirmstatement,mthemothermpeoplemshould mjot mdownmwhichmnumbered mstatement
mismfalsemnext mtomtheirmname.
Then,mtakemonempersonmat mamtime,mand mallmof mthemothersmshould midentifymwhichmstatement mtheym
believemismfalsemand mwhy.mAftermeveryonemhasmmademtheirmguess,mthempersonmwhomshared mthemst
atementsmcanmrevealmwhichmismactuallymfalse.
• Weremthemstudentsmsurprised mat msomemof mthemfactsmthat mpeoplemshared?mWhich?mWhy?
• How mgood mweremthemstudents,mindividuallymand masmamgroup,mat mpickingmthemfalsemstatement?
• What mdoesmthismtellmonemabout mmakingmassumptionsmand mjudgmentsmabout mpeople?
• Weremsomemof mthemstatementsmgivenmbymdifferent mpeoplemsimilar?mWhy?
Givemthemfollowingminstructionsmtomstudentsmtomfind mout mhow mmanymtheymgot mright—
―Everyonemstand mup.mIf myoumgot mat mleast monemright,mstaymstanding.mTwomright,mstaymstanding.m
Threemright?mFourmfight?mFivemright?metc.‖ mSoonmonlymonemormtwommaymremain mstanding.
OpeningmDiscussionmTip
What mismemployment mlaw?
1-4
Copyrightm2022m©mMcGrawmHillmLLC.mAllmrightsmreserved.mNomreproductionmormdistributio
nmwithoutmthempriormwrittenmconsentmofmMcGrawmHillmLLC.