Employment Law Guide

Employment law and employee benefits meet in more places than most employers expect.

Wage and hour, leave, discrimination, classification, hiring and separation rules each reach a benefits program. This guide maps the topics and links to a plain-English page for each one.

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What It Requires

How to use this guide.

A plain-English summary. This is general information, not legal advice, and the rules change, so check the current text.

Wages and Hours

What may come out of a paycheck, the wage floor, overtime exemptions and how benefit payments count toward overtime.

Leave and Protection

Family and medical leave, earned sick time, military leave, disability and civil rights rules and what each one requires of the group plan.

Hiring and Separation

Offers, verification, notices, covenants, layoffs and final pay, and the benefits steps that belong on the same checklist.

In Practice

How it plays out.

Employment law is written by many agencies and applied by payroll, human resources and the benefits team, each with a different part of the picture. The cost of that split is gaps: a leave rule that the plan document does not reflect, or an overtime rule that payroll applies differently from the handbook.

Each page in this guide explains one rule in plain English, shows where it touches the benefits program, and lists the primary sources. They are general information, not legal advice, and employers should confirm current text and talk with an attorney on specific questions.

This guide covers Michigan and federal law, which is where most of our clients’ questions start.

Benefits Angle

Where this shows up in your plan.

The most common benefits problems we see start in employment law decisions made without the benefits team: a reclassification, a leave policy change, a new location or a separation agreement. A short review before the change is cheaper than a correction after it.

CFH clients have access to attorneys and CPAs through the firm, and our service team works with payroll and human resources on the details. If a rule on this page affects a decision you are making, send us the question.

Look for the topic closest to your situation below, or start with the Michigan employer benefit laws overview for the full list of state and federal rules.

First Steps

Setting it up.

Pick the Topic

Choose the page closest to the decision you are making.

Check the Sources

Read the cited statute or agency guidance for the current text.

Bring in the Team

Loop in payroll, human resources and your CFH team before a change.

Call Counsel for Specifics

Use an attorney for questions about a particular employee or agreement.

Watch Outs

Mistakes to avoid.

Treating Payroll and Benefits Separately

The same event usually triggers both.

Relying on Old Summaries

Several of these rules changed in 2025 and 2026.

Skipping the Documents

The handbook and plan documents are held against the employer.

All Topics

Every topic in this guide.

Michigan Payment of Wages and Fringe Benefits Act

Final pay, deductions and fringe benefits.

Michigan Minimum Wage and Employee Benefits

$13.73 now and $15.00 on January 1, 2027.

FLSA Salary Threshold and Benefits Eligibility

Overtime exemptions and benefit class.

DOL Wage and Hour Audits and Benefit Plans

What an investigation asks for.

Overtime, Regular Rate and Benefit Contributions

Benefit payments in the regular rate.

Exempt vs Nonexempt Employees

Classification and eligibility.

Worker Classification and Benefits Eligibility

Employees, contractors and leased workers.

FMLA and Group Health Coverage

Coverage during family and medical leave.

Michigan Earned Sick Time Act

State paid sick time rules.

Paid Leave for Multistate Employers

State paid family and medical leave programs.

USERRA and Military Leave Health Coverage

Coverage for employees on military leave.

Americans with Disabilities Act for Employers

Disability rules and benefits.

Title VII of the Civil Rights Act

Discrimination and benefit design.

Elliott-Larsen Civil Rights Act

Michigan’s civil rights law.

Pay Equity, Pay Discussions and Benefits

Equal pay, labor law and benefits as pay.

Remote and Hybrid Employees

Time, leave, accommodation and eligibility.

Required Workplace and Benefit Notices

Posters and plan notices on a calendar.

Form I-9, E-Verify and Benefits Eligibility

Hiring-day verification and onboarding.

Non-Compete Agreements and Employee Benefits

Covenants, severance and coverage.

WARN Act and Mass Layoffs

Notice rules for closings and layoffs.

Unemployment, Severance and Layoffs

Benefits at separation.

Employee Handbooks and Benefit Policies

Written policies employers are held to.

FLSA Salary Levels: Standard and Highly Compensated Employees

The standard and highly compensated dollar tests.

The Vacated 2024 Overtime Rule and What Employers Do Now

Why the 2024 increases never took effect.

FLSA Duties Tests for Exempt Employees

Executive, administrative and professional duties.

Wage and Hour Recordkeeping Rules for Employers

What wage and hour records to keep and for how long.

FLSA Back Wages and the Statute of Limitations

Two years, or three when willful.

Cash in Lieu of Benefits and the Overtime Regular Rate

Opt-out pay and the overtime rate.

Required Workplace Posters for Michigan Employers

Federal and Michigan postings.

Plan Notices at Enrollment: An Employer Guide

The notices that start at enrollment.

Form I-9 Sections 1 and 2 Deadlines

The employee and employer deadlines.

Form I-9 Retention and Inspection Rules

How long to keep forms and what an inspection involves.

E-Verify for Employers

The online check and when it is required.

Form I-9 Acceptable Documents and Anti-Discrimination Rules

What employers may and may not ask for.

Michigan Non-Compete Law: MCL 445.774a

The Michigan standard for covenants.

FTC Non-Compete Rule Status

Where the federal ban stands.

NLRA Section 7 and Pay Discussions: An Employer Guide

Employee rights to discuss pay and benefits.

FMLA Worksite Rule for Remote Employees

Remote employees and the 50-and-75 test.

Home Office Stipends and Payroll Treatment

Reimbursement or taxable pay.

Sources

Laws and Rules Referenced

Michigan Legislature, Michigan Compiled Laws — The state statutes cited across the guide.

Department of Labor, Wage and Hour Division — Federal wage and hour guidance.

Michigan Department of Labor and Economic Opportunity, Wage and Hour — State wage, leave and posting guidance.

More Topics

More employment law topics that touch your plan.

Reductions in Force, WARN Act and Benefits Continuation

WARN, releases, COBRA and unemployment.

ADA and Religious Accommodations for Michigan Employers

Disability and religious accommodation.

Workplace Investigations Employer Guide

Planning and documenting an investigation.

Independent Contractor and Joint Employer Classification Guide

Employee, contractor and joint employer tests.

Drug Testing and Michigan Cannabis Rules for Employers

Testing policies and Michigan marijuana law.

Background Checks and the FCRA for Michigan Employers

Disclosure, authorization and adverse action.

Common Questions

Quick answers.

Short answers to what employers ask most. This is general information, not legal or tax advice.

Is this legal advice?

No. It is general information. Confirm current text and talk with an attorney on specific questions.

Does CFH provide legal services?

No. CFH clients have access to attorneys through the firm for legal questions.

Which topic should we start with?

Start with the one tied to your next decision, such as a reclassification, a new hire location or a separation.

Do the rules differ for small employers?

Often. Many laws have employee-count thresholds, and each page notes them where they matter.

How often is this updated?

The pages carry the effective dates of the rules they describe. Confirm against the cited source before relying on them.

CFH Insurance Consultants

An independent employee benefits consulting firm. We look at the entire benefits program — cost, plan performance, risk and administration.

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