DE Talk

Labor Law Poster Compliance: What Every Employer Must Know

• DirectEmployers • Season 7 • Episode 2

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Are your labor law posters in compliance with today’s evolving hybrid and remote workplace requirements? Tune in to the DE Talk podcast as experts Ed Buenaventura and Al Contrera from the Labor Law Center reveal federal and state requirements, common mistakes, how to avoid costly penalties, and recommendations for implementing compliance processes applicable to both small businesses and nationwide enterprises.

DirectEmployers Association (00:00): 

Get ready! The DE Talk podcast starts now, insightful conversations and dialogue, helping you put the human factor back in HR.

Shannon Offord (00:08):

Welcome back to the DE Talk podcast. I'm your host Shannon offered VP of Partnerships, and today we're tackling one of those deceptively simple compliance requirements, labor law posters. Now, I know what you're thinking, "Labor law posters, really," but stick with me here because if you've ever walked into a break room and wondered whether those faded notices on the wall are actually doing their job, or asked what notices are required on your digital sites to maintain compliance with federal and state posting requirements, today's episode is going to answer all of those questions.

(00:43):

We're joined by two experts who've made it their mission to cut through the confusion and help employers get this right. From the Labor Law Center we have Ed Buenaventura and Al Contrera, two professionals with experience helping thousands of businesses maintain compliance across all 50 states, and most importantly, are bringing profound insights on how HR can avoid costly mistakes and simplify their compliance needs. The Labor Law Center has been helping businesses navigate a complex web of federal, state, and local posting requirements for years. And trust me, it's more complicated than you might think. We're talking about requirements that can vary dramatically from state to state, change with new legislation, and carry real penalties when you get them wrong. Welcome, Ed and Al. Thank you!

Al Contrera (01:30):

Yeah, Shannon, just to drop a note, I mean, we're excited to be here talking about posters and labor law compliance. One of the things that we've always talked about internally that sometimes it seems so basic, it's just a labor law poster on a wall, but with all the evolving legislation, laws and everything constantly updating, it's hard to keep track of all of these things, things without a process in place. I think a lot of folks sometimes miss the ball on this, so thank you for bringing this topic to light.

Shannon Offord (02:02):

Well, I'm super excited, and I know we talked a little bit earlier before we hopped on the podcast. I'm excited to really learn more about this topic. I'm really not well versed on it, but I think all of us will get an education on this, so super excited about it. Before we get started, tell me a little bit about the Labor Law Center and your roles there, and maybe even how long you've been there.

Al Contrera (02:25):

Yeah, Shannon, Labor Law Center's been around since 1999, a provider for labor law posters for many, many businesses across the country, both here on the USA and in Canada. We are housed in Santa Ana, California. We've got a 40,000 square foot location, which it houses all of our warehouse, our customer service support, our accounting, our finance department, our marketing department, our design department, and it provides us having this one location for anybody in the organization to support a customer, whether it's finding out where the shipment is and literally going downstairs and finding out where the shipment is to working with internal stakeholders that have a drop of a dime because we're all in one location. But I know, Ed, from a marketing perspective and design, I know you have some unique things that your team does from a compliance perspective to help solve for all the updated posters. Why don't you describe a little bit about what that looks like?

Ed Buenaventura (03:24):

Yeah, sure. I've been here 14 years now at Labor Law Center. Started off as just a production artist. In the beginning I worked my way up. Now I'm the senior manager of design and production and my team along with the compliance team, we do a lot of research beforehand as these laws come out, as they're creating new laws, as laws are updated, our research team stays on top of all that checking every day, all 50 states, territories, cities and counties, all that stuff. We have that as part of our process of making sure our clients are in compliance. So we do a lot of research, apply that research to the product, and then we put out the most up to date posters for our customers.

Shannon Offord (04:06):

Well, I love hearing that people have been with their organizations a long time. I've been at DirectEmployers for 19 years and people say, Hey, you've been there for 19 years? So the fact that you guys have been there a while makes me feel good. So let's dive in a little bit and help our listeners understand the basics of label law posters. For those that are less familiar, what exactly are label law posters and what is their legal purpose?

Ed Buenaventura (04:32):

These are very common questions. Labor law posters are legally required notices that employers must display in the workplace. They're issued by the federal, state, and even local governments, and they outline the rights and protections like minimum wage, workplace safety, anti-discrimination, paid sick leave, family leave, and more. So these posters aren't just decorations, they're mandated by law. They're also visual resources to ensure employees are informed of their rights. From a compliance standpoint they serve as a baseline legal protection for the employer.

Shannon Offord (05:09):

So they're not like the posters that we had back in the eighties and nineties that we hung up and just kind of football and basketball and other athletes or rock stars or whatever actually have their legal consequences if they're overlooked.

Ed Buenaventura (05:22):

Exactly. Yeah, not quite like those posters that you mentioned there. So not having been posted or having outdated ones even is a compliance violation. So most laws that require posters also carry enforcement mechanisms like fines, penalties, or legal liabilities. So it's very important to state up to date with your labor law posters.

Shannon Offord (05:47):

Are there times where posters have to be outside, and if so, how do you make sure they don't get ruined by the elements?

Ed Buenaventura (05:54):

This is actually very common in the construction industry. So a lot of times when you go to a work site, there's a bungalow and you need to hang your poster out there. There's no other place for all of your employees to see it. So to help with that, our posters are laminated on both sides with about a quarter of an inch overlay over the sides that helps protect it from the weather, from sun. On top of that, our paper that we printed on is also UV coated, so that helps a lot with the elements.

Shannon Offord (06:27):

And is that a normal process in the industry or is that something that's specific to you guys?

Ed Buenaventura (06:33):

I want to say it's more specific to us nowadays. Lately our competitors have gone on to a different type of paper, a poly paper that is laminated and they're not rolled anymore. They fold them and mail them instead. So that at least to creases and possible non-compliance because crease could go through certain words in the law or being out in the elements without any protection, like laminate will fade out the ink that's in the paper. So those are all factors that could lead to non-compliance without going with our traditional laminated poster that is UV coated.

Shannon Offord (07:09):

As you guys are probably aware, DirectEmployers we're in the compliance space ourselves in a different area. Obviously making sure you have these is something you obviously want to do. You mentioned penalties for non-compliance or essentially not having, if they're not up to date or they're not the correct posters, what are the risks if posters are missing information or they're somehow not? Correct?

Al Contrera (07:31):

Yeah, Shannon, this often comes up, so the penalties vary depending on agency. We've got the Department of Labor that can issue fines for missing an FMLA posting, and it could be over $200 per location. So when you think about it, when I was talking earlier about one location versus 20,000 locations, it's apparent that you have the most up to date posters in order to be incompliant and not potentially get forced into a fines. And there are other fines, right? So there's fines for OSHA violations that can exceed up to 16,000. There's other fines that can exceed past $26,000, but really beyond the fines, there's the reputational risk of the organization. There's a litigation risk that we talk about a lot with our customers. A common scenario we find this very, very often is where an employee may sue over a wage issue or a termination during that whole entire investigation. Obviously we've got lawyers involved and their claim, the employee's claim may be they were never informed about their rights. They looked at their labor law poster, maybe in the cafeteria or in a break room, and it was outdated. So if they don't have the proper display, if they're not documented from the employer, it can really weaken an employer's legal position. So these are some of the penalties, but again, beyond the penalties, some of the risks involved of not having the most up to date poster posted.

Shannon Offord (08:54):

That is surprising. I would assume an area that's easily overlooked today is HR managers are managing both traditional in-person hybrid and virtual workforces. I imagine a lot of companies think we bought posters once, so we're covered.

Ed Buenaventura (09:07):

Don't fall into that trap. Labor laws change often, and failing to update means you're not just out of compliance, but potentially misleading employees. Fortunately, ignorance of the change is not a defense in cases like me.

Shannon Offord (09:22):

In terms of mistakes and misconceptions surrounding labor law posters, what are some of the most common mistakes you see HR teams making right now?

Ed Buenaventura (09:32):

Few common mistakes that stand out include one, assuming one department for posters. Laws vary by state, city, and even industry. So various departments enforce their regulations and compliance policies that contribute to a multitude of required posters, even within a state. It could be the workforce industry department or it could be paid leave department. It's split up that way so that not one entity is controlling all of the second thing is in ignoring multi-location or remote setups, each physical location typically needs its own set of posters, like California Restaurant for instance, needs different postings than a New York Tech company. Third thing is letting the posters become outdated. Laws change, and many HR departments don't realize a new paid sick leave law, for instance, may require an immediate poster update. This is when effective dates come into play, right? Sometimes there's an effective date and that must be posted immediately by that date. Sometimes there isn't, and it's more of an as soon as possible situation. The last thing I want to go over is storing posters in the wrong place. When we say they must be conspicuously displayed in common employee areas, that's actually in the statute itself. It says post in a conspicuous area where all employees can view so that it's not buried under a filing cabinet or in the break room corner. It's in a high traffic area in the office.

Shannon Offord (11:03):

So it sounds like even HR leaders who are super knowledgeable and well-informed can fall out of compliance basically unknowingly if they overlook some of these things.

Al Contrera (11:14):

Yeah, absolutely. And that's why it's critical to build a process. It can't just be a one and done, but this is an ongoing workflow for the HR team and your labor law vendor.

Shannon Offord (11:26):

Earlier you mentioned digital posters and remote workers post 2020. In that workplace where employers have hybrid or even fully remote workers, what are the rules for digital posters with remote teams?

Ed Buenaventura (11:43):

Okay, this is one of the most misunderstood areas at the moment. As employers grapple with changing workplace norms, digital posters do not replace physical posters, with exception to a couple of states. And then within those couple of states, just a few specific posters. So the physical poster is still required if you own a business, if you're an employer, and digital posters are more of a supplement right now.

Shannon Offord (12:08):

So if you have a physical location, the digital cannot replace the actual in-person poster or physical poster itself, correct?

Ed Buenaventura (12:18):

That's correct. Yeah, so it's a helpful supplement, but not a replacement unless you meet very strict criteria such as a fully remote workforce without a physical location, but you can have it posted on your intranet or send it directly to your employees. But then again, you still need a physical poster for when people need to report to a certain place. So for employers with physical and remote workplaces, we always recommend employers treat digital posters as just an enhancement, not a substitute.

Shannon Offord (12:49):

Let me ask you this. What are the solutions to some of the challenges that we've talked about? How can HR teams stay compliant without it becoming a burden, especially when managing multiple physical locations across varying states?

Al Contrera (13:04):

Shannon, we recommend a few steps, right? So one of the steps is partner with the trusted compliance provider. These services will allow the HR team not to have to monitor the federal and state changes. They will automatically be sent updated posters, and truly, it's a more cost effective way of having an updated poster service than buying on a one-time purchase. Because as we're describing a lot of changing parts within the regulations, a lot of states and the federal updates that may come over the next few months means that from an updated service perspective, the HR team doesn't have to worry about looking at the regulations. We automatically update each location with the poster when they arrive. Secondly, what we ask a lot of our partners is to document. So what I mean by that is, again, if you have one location or 20,000 plus locations, you've got the partnership between your Labor Law Center vendor or somebody within the organization that has full reign of the poster, that they are able to either document that it's been received, document that it's been posted on the wall, and then also document them, ensure that you've got the most updated posters.

(14:17):

Going back to some of the finds that we talked about before, we want to ensure that you've got the most updated posters and depending on how many locations, again, I think an updated service model would suit a lot of the organizations much better off than the one time as we discussed. But other than that, again, it's just the internal responsibility of the organization to have accountability and to at least have one or two people that own that process. And what I mean by own it, own that process with that vendor and build that relationship to ensure shipping, tracking updated posters and that the service that they're for is being provided for them and their employees.

Shannon Offord (14:54):

Definitely sounds like solid advice, that whole mixed automation and accountability, and that sounds really solid.

Al Contrera (15:02):

Yeah, exactly. And if you make it part of the standard compliance workflow, like I just mentioned, it's one of the easiest compliance risks to eliminate for the organization.

Shannon Offord (15:11):

I can see where something as simple as monitoring the regulatory landscape for changes can easily get overlooked when HR teams get busy or really don't have a process in place to handle this directly. So thank you for helping out with that.

Ed Buenaventura (15:25):

This is an area that we can easily help employers automate and be more efficiently.

Shannon Offord (15:30):

Well, here comes the fun part. Obviously we've talked a little about labor law posters and some of the processes and requirements around that. Something we like to do here is ask some questions that were not expected. Lightning round of fun questions. Nothing hard you guys can both answer or one can answer. I'm going to start off with this question. Favorite fast food restaurant?

Al Contrera (15:52):

Being in California, I'm just going to go with In-N-Out burgers. Solid answer

Ed Buenaventura (15:57):

With Wingstop, because wings are one of my top three favorite foods.

Shannon Offord (16:01):

They actually just built one across the street from my house, so I'm super excited to start going there. Favorite movie,

Ed Buenaventura (16:08):

Good Fellows for me, a Reservoir Dogs for me.

Shannon Offord (16:12):

I do like that movie. Name one thing on your bucket list that you have not done or a place you haven't gone.

Al Contrera (16:19):

For me, my bucket list is my family's from Argentina. I have not been to Argentina, and that is truly on my bucket list.

Shannon Offord (16:26):

Do you have plans to make that happen?

Al Contrera (16:28):

I actually do next year, 2026.

Shannon Offord (16:31):

All right. So being from the Midwest, huge football fan, and we're getting close to the fall, most everyone out there knows I'm a huge Buckeye fan. Are you more into college football or NFL?

Al Contrera (16:42):

I'm NFL.

Ed Buenaventura (16:44):

College. I think it's a little bit more exciting. College.

Shannon Offord (16:46):

Yeah, I'm on the fence on that one. So I have seen the tickets to the Colts and Ohio State, so I'm not sure if I'm more excited for Saturday or Sundays. Maybe Sundays just because it's closer. I don't have to drive through hours. One last question. Best career advice you've ever received?

Ed Buenaventura (17:04):

Well, first on this one, you're looking at the guy that gave me that advice. He told me one day, you built the car, now go get somebody else to improve on the car, watch it improve. That's it.

Shannon Offord (17:16):

That is good advice.

Ed Buenaventura (17:17):

Thank you, Al.

Al Contrera (17:18):

You're welcome, Ed. Yeah, the one advice that I would give or I try to work on is build a strong network. If I was talking to my 20-year-old self right now in business, I would tell that 20-year-old person build a strong network and cherish that network because what comes around goes around and being in business as we all have for many, many years, we know that the people that we've left behind will always come back at some point in our careers.

Shannon Offord (17:46):

And I would say you've got to cultivate that network too.

Al Contrera (17:49):

Agree. I agree.

Shannon Offord (17:50):

I think a lot of people build a network and think that's all they have to do. They have to build it, but no, you've got to cultivate it. You've got to keep it strong and know that sometimes you're making phone calls to people, checking in on people, making sure they're good, and seeing what you can do for them as well.

Al Contrera (18:05):

So true.

Shannon Offord (18:06):

Well, thank you both for taking time today to share a little bit about Labor Law Center and about employment law posters. Like I said before, I was completely clueless to all this. I've seen posters up in our building, didn't really know it was a requirement, so thank you for that. If our listeners would like to contact you and learn more, what's the easiest way to do that?

Al Contrera (18:30):

Yeah, you can go directly and visit our site. It's laborlawcenter.com, and you can learn more about our services. There is a quote request form for enterprise companies with more than five locations. We can provide you with an individual quote. There's an opportunity for customers to buy single posters. Again, if you have one location, you're just looking for one poster, you can make those purchases there. But beyond that, we have other products from a compliance and service oriented within that site as well. But definitely you can go in, you can chat, you can email through that website and you can get connected to a sales representative.

Shannon Offord (19:08):

Again, I want to thank you both for joining us today, and I hope you have a great rest of your week. Thank you, Shannon.

DirectEmployers Association (19:14):

Thank you for tuning in for another episode of the DE Talk podcast. Stay connected with DirectEmployers on Facebook, Twitter, and Linkedin, or subscribe to receive updates straight to your inbox by visiting DirectEmployers.org/Subscribe where you’ll receive notifications of new episodes, webinars, events, and more.