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Labor laws hold the modern workforce together – they’re fundamental rules and regulations governing relationships between employers and employees, ensuring fairness, safety, and compliance in the workplace. Wisconsin is no exception. Understanding Wisconsin labor laws is a necessity for business owners and employees alike in the state.
This comprehensive guide on Wisconsin labor laws will help you navigate the intricacies of employment in the Badger State. It’s part of our extensive 50-state series, and we aim to empower both employers and employees with knowledge, so you can make informed decisions, maintain compliance, and foster productive workplaces.
Let’s get started.
Meals and Breaks in Wisconsin
Meal Break Requirements
Wisconsin’s break and meal period requirements vary depending on the employee’s age.
Under 18
Employees under 18 must not work more than six consecutive hours without receiving at least a 30-minute, duty-free meal period.
Over 18
For employees 18 or older, Wisconsin labor laws do not mandate employers provide brief rest breaks or meal breaks. However, Wisconsin’s Department of Workforce Development (DWD) recommends employers offer these breaks to adult employees.
Compensation
Wisconsin’s laws on compensation during breaks differ based on how long the break is and whether or not the employee remains on duty. Here’s what you need to know:
- If a break lasts for at least 30 minutes and the employee is completely relieved of duty and free to leave the workplace, their break doesn’t need to be compensated as paid time.
- If the break is less than 30 minutes, it is considered paid time for employees of any age.
- Employers are not allowed to deduct wages for breaks less than 30 consecutive minutes.
- Employers are required to pay employees for "on-duty" meal breaks. “On-duty” meal breaks occur when a worker is not provided at least 30 consecutive minutes free from work or is not allowed to leave the employer's premises.
- Employers in Wisconsin have discretion to schedule breaks as they see fit.
Leave and Paid Time Off (PTO) in Wisconsin
Family and Medical Leave
- In Wisconsin, the state offers additional provisions to the federal Family and Medical Act (FMLA). Under the Wisconsin FMLA, eligible employees can take up to 2 weeks of unpaid family and medical leave in any 12-month period.
- To be eligible for Wisconsin’s FMLA, an employee must have worked for their employer for at least 1,000 hours during the previous 52-week period.
- Employees can use this leave for various reasons, including the birth or adoption of a child, caring for a family member with a serious health condition, or recovering from their own serious health condition.
- Employees are required to provide advance notice of their need for leave when practicable. Employers may request medical certification to support the need for leave.
- The Wisconsin FMLA provides job protection. Eligible employees who take FMLA leave are entitled to return to the same or an equivalent position after their leave period.
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💡Did You Know?
Under the federal FMLA, eligible employees can take up to 12 weeks of unpaid leave in a 12-month period for qualifying reasons.
Sick Leave
- Wisconsin has no state law requiring employers to provide paid sick leave to employees. Sick leave compensation is primarily at employers’ discretion.
Vacation and PTO
- Employers typically determine vacation and paid time off (PTO) policies and are not regulated by state law. Employers are free to set their own policies regarding accrual, usage, and payout of PTO.
- While Wisconsin doesn't mandate PTO, employers who offer it must adhere to their policies and contracts. They should clearly communicate these policies to employees.
Overtime Regulations in Wisconsin
Wisconsin has set the following regulations for overtime pay, exemptions, and how it’s calculated
Overtime Pay Requirements
- In Wisconsin, most employees are entitled to overtime pay when they work more than 40 hours in a workweek. Overtime pay must be at least 1.5 times the employee's regular pay rate.
- Some employees – such as salaried executives, administrative, and professional employees – are exempt from overtime requirements. To qualify for exemption, employees must have a salary of at least $684 per week or $35,568 annually.
- Public sector employees in Wisconsin also qualify for overtime pay under state law.
- The workweek is typically defined as seven consecutive days, and overtime is calculated based on hours worked within that time frame.
Calculating Overtime
Overtime pay is calculated based on an employee’s regular pay rate and the number of hours worked beyond 40 each week. Here’s how it works:
- The regular pay rate includes all forms of compensation, such as hourly wages, salaries, and some bonuses. It does not include reimbursements, discretionary bonuses, or gifts.
- The overtime rate is 1.5 times the employee's regular rate of pay. For example, if an employee's regular pay rate is $15 per hour, their overtime rate would be $22.50 per hour ($15 x 1.5).
- To calculate overtime pay, multiply the number of hours worked beyond 40 in a workweek by the overtime rate. For example, if an employee works 45 hours in a week at an overtime rate of \$22.50 per hour, they would receive \$112.50 in overtime pay (\$22.50 x 5 hours).
Wages and Benefits in Wisconsin
Wisconsin has the following regulations governing wages, minimum wage, pay frequency, and benefits that employers must adhere to.
Wisconsin Minimum Wage Laws
- Since 2009, Wisconsin's minimum wage has been $7.25 per hour, which aligns with the federal minimum wage.
- Wisconsin law allows employers to pay a reduced minimum wage of $5.90 per hour to employees under age 20 during their first 90 consecutive days of employment.
- Tipped employees in Wisconsin can be paid a minimum cash wage of $2.33 per hour, with the expectation that their tips will bring their total compensation up to the minimum wage of $7.25 per hour. The employer must pay the difference if the employee’s tips do not bring them to this total.
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Pay Frequency, Pay Stubs, and Final Paychecks
- Wisconsin law does not stipulate a specific pay frequency, so employers have flexibility in determining how often they pay their employees. Common pay frequencies are biweekly, semimonthly, or monthly.
- Wisconsin employers must provide employees with a written statement of earnings for each pay period. This statement should include gross wages, deductions, and net wages.
- When an employee leaves their job, whether voluntarily or involuntarily, Wisconsin law mandates that they must be paid all wages owed by the next regular payday.
Benefits in Wisconsin
- While Wisconsin does not have a state law requiring employers to provide health insurance, many employers offer it as part of their benefits package to attract and retain talent.
- The provision of paid time off, such as vacation, sick leave, or personal days, is at the discretion of employers. Wisconsin law does not mandate specific PTO policies.
- Employers may offer retirement plans, such as 401(k)s, to help employees save for their future. Participation in these plans is typically voluntary.
- Employers in Wisconsin may also offer various benefits, such as dental and vision insurance, life insurance, and disability coverage.
Prevailing Wages in Wisconsin
Public works projects in Wisconsin are governed by a set of regulations known as prevailing wages.
Understanding Prevailing Wages
Prevailing wages are hourly wage rates, including fringe benefits, paid to laborers, workers, and mechanics working on public works projects. These projects include constructing, reconstructing, altering, or repairing public buildings, highways, and other infrastructure.
The intent behind prevailing wages is to ensure that workers on public projects receive fair compensation that is in line with the wages commonly paid for similar work in the area. This helps maintain fair labor standards, reduce disputes, and promote a stable workforce.
Prevailing Wages in Wisconsin
Wisconsin’s prevailing wage laws apply to state and local government projects funded by public money.
The DWD determines prevailing wage rates based on surveys conducted in the locality. These rates vary by occupation and geographical area within the state.
Contractors and subcontractors working on public works projects in Wisconsin must pay their workers at least the prevailing wage rate for their respective trades and localities. Compliance with prevailing wage laws is essential to avoid legal repercussions and penalties.
How to Find Current Prevailing Wage Rates
The DWD maintains a comprehensive database of prevailing wage rates for various trades and localities within Wisconsin. Employers and workers can access this information on the DWD’s website to ensure they pay or receive the correct prevailing wage rates.
In some cases, local government authorities may have their own prevailing wage rates that apply to projects within their jurisdiction. Contractors and workers should check with the relevant local authorities for information on these rates.
Hiring Practices in Wisconsin
Hiring employees involves several steps and considerations governed by various labor laws in Wisconsin. From job postings and interviews to background checks and anti-discrimination laws, understanding the state’s regulations is vital.
Job Postings and Interviews
- Employers in Wisconsin are encouraged to include the phrase "Equal Opportunity Employer" in their job postings. This statement signifies a commitment to providing equal employment opportunities to all qualified individuals, regardless of race, gender, age, disability, or other protected characteristics.
- When advertising job openings, employers must ensure that their postings do not contain discriminatory language or requirements that may unlawfully exclude specific groups of people.
- Employers must adhere to anti-discrimination laws during the interview process and ensure their questions and evaluations are based on job-related qualifications.
Background Checks and Drug Testing
- Wisconsin law allows employers to conduct background checks on prospective employees, including criminal history checks and reference checks. However, employers must obtain written consent from the applicant before performing a background check.
- Some municipalities in Wisconsin have adopted "ban the box" policies. These policies restrict employers from inquiring about an applicant's criminal history on initial job applications, delaying such inquiries until later in the hiring process.
- Employers in Wisconsin have the discretion to conduct drug testing on applicants and employees. However, they must follow state and federal drug testing regulations, including obtaining informed consent and ensuring certified laboratories conduct the tests.
Anti-Discrimination Laws and Equal Employment Opportunities
- The Wisconsin Fair Employment Act (WFEA) is the state's primary anti-discrimination law. It prohibits discrimination in employment based on various protected characteristics, including race, color, religion, sex, disability, national origin, and age.
- Wisconsin employers must provide equal employment opportunities to all individuals and make reasonable accommodations for employees with disabilities. This includes providing accessible facilities and addressing disability-related needs.
- The WFEA prohibits retaliation against employees who assert their rights under the law or assist others. Employers cannot take adverse actions, such as termination or demotion, in response to protected activities.
Health and Safety Standards in Wisconsin
Wisconsin has several workplace safety regulations and resources for reporting unsafe working conditions.
Wisconsin Workplace Safety Regulations
- Wisconsin operates under the federal Occupational Safety and Health Administration (OSHA). OSHA enforces safety and health standards in workplaces across the state. Employers are responsible for complying with these standards to ensure the well-being of their employees.
- Wisconsin employers must provide safety training and education programs to their employees. Training should cover hazard recognition, prevention, and emergency procedures.
- Employers must maintain records of work-related injuries and illnesses, as mandated by OSHA regulations. These records help track workplace safety and identify areas that may need improvement.
- OSHA conducts inspections of workplaces to ensure compliance with safety regulations. Employers should cooperate with inspectors and promptly address any violations or hazards identified during these inspections.
Resources for Reporting Unsafe Conditions
- Employees in Wisconsin who believe their workplace is unsafe can file a complaint with OSHA. Complaints can be filed online, by phone, or in person. OSHA takes complaints seriously and investigates potential safety violations.
- Employers must report workplace fatalities, injuries, or illnesses to OSHA within specified timeframes. Whenever an employee experiences a work-related fatality, employers must notify OSHA within 8 hours. For incidents involving in-patient hospitalization, amputation, or eye loss, the reporting window extends to 24 hours.
- Wisconsin law protects employees who report unsafe conditions or safety violations. Employers are prohibited from retaliating against employees who exercise their right to report safety concerns.
- OSHA conducts inspections of workplaces to ensure compliance with safety regulations. Employers should cooperate with inspectors and promptly address any violations or hazards identified during these inspections.
Additional Resources
Child Labor Laws in Wisconsin
This section provides an overview of the rules governing the employment of minors in the state, including work permits, age restrictions, and hour limitations.
Employing Minors in Wisconsin
- In Wisconsin, the minimum age for employment is 14 years old. However, there are specific restrictions for minors under 16 years old.
- Minors aged 16 and 17 do not require work permits. For minors under 16, a work permit is typically required. The minor's school issues work permits, subject to certain conditions.
- Wisconsin child labor laws place restrictions on the hours and times during which minors may work. These limitations vary depending on the age of the minor and the time of year (school vs. non-school weeks).
- OSHA conducts inspections of workplaces to ensure compliance with safety regulations. Employers should cooperate with inspectors and promptly address any violations or hazards identified during these inspections.
Age-Specific Regulations
Minors Under 16
- During the school year, minors under 16 may work up to 3 hours on school days, 8 hours on non-school days, and a total of 18 hours per week.
- They can work between 7:00 a.m. and 7:00 p.m. (until 9:00 p.m. from June 1st through Labor Day).
Minors Aged 16-17:
- Minors aged 16 and 17 may work up to 8 hours per day, 40 hours per week, and between 6:00 a.m. and 11:00 p.m.
- They can work between 7:00 a.m. and 7:00 p.m. (until 9:00 p.m. from June 1st through Labor Day).
Industry-Specific Regulations
Agriculture
Specific power-driven equipment and certain tasks are restricted for minors unless performed on the minor’s home farm outside school hours under the supervision of a parent or guardian. Alternatively, these activities may be undertaken on another farm with the consent of a parent or guardian.
Airports
Minors employed at airports are restricted from working on or around the landing strip or in a taxi.
Check out the full list of restricted activities for minors here.
Employee Termination and Resignation in Wisconsin
This section provides an overview of the legal requirements for terminating an employee or handling an employee’s resignation in Wisconsin, including notice requirements, severance pay obligations, and relevant right-to-work and at-will employment laws.
Employee Termination and Resignation
At-Will Employment
Wisconsin is an at-will state, meaning employment is presumed to be at-will unless an employment contract specifies otherwise.
In at-will employment, either employer or employee can terminate their employment relationship at any time, with or without cause, as long as it is not for an unlawful reason.
Notice Requirements
Wisconsin does not require employers to provide advance notice to employees when terminating their employment. Employers can terminate employees immediately, with or without cause, unless a contractual agreement specifies notice requirements.
Employees in Wisconsin are also not legally required to provide advance notice when resigning from their positions.
Severance Pay
Wisconsin does not have state laws mandating severance pay. Severance pay is typically provided at the employer’s discretion or as outlined in an employment contract.
Right-to-Work Laws
Wisconsin is a right-to-work state, which means that employees cannot be compelled to join or financially support a labor union as a condition of employment. This law gives employees the freedom to choose whether or not to be part of a union.
Unemployment Insurance in Wisconsin
Unemployment insurance provides critical financial support to individuals who have lost their jobs through no fault of their own. In this section, we’ll explore the key aspects of unemployment benefits in Wisconsin.
Eligibility for Unemployment Insurance
To qualify for this benefit program in Wisconsin, individuals must meet the following criteria:
- They must be unemployed.
- They should have worked in Wisconsin within the past 12 months (although this timeframe may extend in certain circumstances).
- Eligibility depends on earning a minimum wage amount per Wisconsin's guidelines.
- They should actively seek employment every week while they are collecting benefits.
Applying for Unemployment Benefits
Wisconsin’s online portal is the most common method for applying for unemployment benefits. Claimants can create an account, complete their applications, and submit the required documents electronically.
Individuals who cannot apply online can contact the Unemployment Insurance (UI) Division by phone to file a claim.
Unemployment Benefits Amount and Duration
Several factors determine unemployment benefit amounts.
Your Weekly Benefit Rate (WBR) is set at 4% of the wages you earned during your highest-paid quarter in your previous 5 quarters. If your WBR is less than $54, you won’t qualify for benefits, and the maximum WBR is $370.
Your Benefit Year lasts 52 weeks from the week you filed your initial claim. During this time, you can receive unemployment benefits for the weeks you’re partially or totally unemployed. Still, you can’t receive further benefits once you reach the Maximum Benefit Amount (MBA) or your benefit year ends.
Employer Responsibilities
Employers are required to report any job separations, including layoffs and resignations, to the DWD. Timely and accurate reporting helps ensure that benefits are paid appropriately.
Employers have the right to protest unemployment benefit claims if they believe the employee’s separation was due to misconduct or other disqualifying factors. Employers must be prepared to provide evidence and documentation.
Resources for Employers
Penalties for Noncompliance in Wisconsin
Failure to adhere to Wisconsin labor laws can result in penalties and fines. In this section, we’ll look at the potential consequences of noncompliance with Wisconsin labor laws.
Penalties for Noncompliance
Penalties for breaking Wisconsin’s labor laws and rules vary based on the specific law or regulation violated.
In general, however, violators can expect to face fines ranging from $10 to $100 per day for each day of each violation of most of Wisconsin’s labor standards laws. If attempts to resolve the dispute fail, the DWD may involve the Wisconsin Department of Justice to pursue these penalties through legal action. Additionally, employers will be obligated to compensate employees for any unpaid wages resulting from the violation.
Other penalties include the following:
- Employers can also face penalties for hiring a minor without a required work permit or for breaching other regulations related to the employment of minors.
- If a minor sustains injuries or passes away while working, and the employer hires them without the necessary work permit, the employer could be held accountable for double compensation under Wisconsin's Workers' Compensation Law.
- In cases where the minor was injured in a job prohibited by statute, regardless of whether a work permit was issued, the employer may be subject to treble compensation.
Reporting Violations
- Employees who believe their employer violates labor laws can file complaints with the relevant enforcing agency, such as the DWD or OSHA. These complaints trigger investigations to determine if violations have occurred.
- Some agencies allow for anonymous reporting of violations to protect employees from retaliation.
- Wisconsin law protects employees who report labor law violations or participate in investigations. Employers are prohibited from retaliating against employees who exercise their rights.
Resources for Compliance
Other Essential Information About Labor Laws in Wisconsin
Wisconsin has several state-specific labor laws and regulations that employers and employees should know. In addition to the topics we’ve covered in previous sections, there are other important aspects of labor law in the state, including collective bargaining laws and worker protections. Here, we’ll provide an overview of these critical areas.
Collective Bargaining and Labor Unions
- In Wisconsin, employees have the legal right to organize, form, and join labor unions. This right is protected under the National Labor Relations Act (NLRA).
- Labor unions in Wisconsin can negotiate with employers on behalf of their members to establish employment terms and conditions, such as wages, benefits, and working hours. This is referred to as collective bargaining.
- Wisconsin law prohibits mandatory union membership or the compulsory payment of union dues as a condition of employment. However, employees who join a union may be required to pay union dues or fees.
Public Sector Collective Bargaining
In 2011, Wisconsin passed Act 10, which significantly limited the collective bargaining rights of public sector employees, including teachers and government workers. Under this law, most public employees are restricted in negotiating terms beyond base wages.
One exception to this is that law enforcement and firefighter unions have retained more extensive bargaining rights under Act 10.
Worker Protections
Workers’ Compensation
Wisconsin has a comprehensive workers’ compensation system that provides benefits to employees who suffer work-related injuries or illnesses. Employers are required to carry workers’ compensation insurance.
Equal Pay
The state has laws addressing wage discrimination based on gender, ensuring equal pay for equal work.
Conclusion
In this comprehensive guide to Wisconsin labor laws, we’ve explored the critical aspects employers and employees need to understand and comply with to ensure a fair and legally compliant working environment. To wrap up. Let’s take a look at the key points covered in this article.
Key Takeaways
- Wisconsin has regulations for minimum wage, overtime pay, and meal and rest breaks. Employers must ensure they meet these requirements to avoid legal repercussions.
- While family and medical are covered under federal law, sick leave and vacation time are typically up to the employer's discretion.
- Wisconsin's requirement for overtime pay is 1.5x the employee’s normal pay rate. Exempt employees are omitted.
- Employing minors in Wisconsin has distinct rules and restrictions to protect their well-being and education.
- Employers must adhere to state laws when posting jobs, conducting interviews, and performing background checks. Anti-discrimination laws promote fair and equal opportunities for job seekers.
- Ensuring workplace safety is vital, with Wisconsin agencies like OSHA enforcing regulations and investigating unsafe conditions.
- Employers and employees should understand at-will employment, notice requirements, and severance pay obligations.
- Wisconsin has specific eligibility criteria and an application process for individuals facing job loss.
- Noncompliance with labor laws in Wisconsin can result in penalties, fines, and legal consequences for employers. Employees have the right to report violations without fear of retaliation.
- Wisconsin has laws governing collective bargaining rights, worker protections, and equal pay to safeguard the rights of both union and non-union employees.
The Importance of Compliance
Understanding and complying with Wisconsin labor laws are essential for creating fair, safe, and harmonious workplaces and staying on the right side of the law.
Employers who uphold these laws can avoid penalties and foster a positive work environment and employee trust. Knowing their rights helps employees seek fair treatment and take appropriate action if violations occur.
Seeking Legal Advice
While this guide provides a comprehensive overview of Wisconsin labor laws, some situations may require legal expertise. If you have questions or concerns about labor laws in Wisconsin, consider seeking legal advice. Legal professionals can provide tailored guidance and ensure that your rights and responsibilities are upheld within the bounds of the law.
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