What requirements must employers comply with before hiring employees?
Besides federal and state laws that prohibit discrimination in the workplace and mandate standards for worker safety, employers must fulfill several basic requirements before employing workers. Employers must determine if the worker is an employee or an independent contractor. Issues such as tax withholding from employee paychecks and liability may be implicated by this decision. Employers should use federal and state guidelines to determine whether workers are employees or independent contractors. Employers should obtain federal and state employer identification numbers, which are used for tax purposes. Depending on the state, employers may also be required to participate in a worker’s compensation insurance pool and obtain an unemployment compensation identification number. Employers will need to verify compliance with immigration status by obtaining certain documents from the potential employee. At this time, employers will also want to ensure that the potential employee completes f