Government Government RegulationsRegulations

•Employees

•Trade Issues

•Taxes

Employee Issues Employee Issues Equal Employment Opportunity (EEOC) –Equal Employment Opportunity (EEOC) –

protects against discriminationprotects against discrimination Wrongful termination Wrongful termination Equal Pay Act of 1963 – “equal pay for Equal Pay Act of 1963 – “equal pay for

equal work”equal work” Fair Labor Standards Act of 1938 – Fair Labor Standards Act of 1938 –

established minimum wage and established minimum wage and maximum working hoursmaximum working hours

Occupational Safety and Health Act Occupational Safety and Health Act (OSHA) – ensures safe and healthy (OSHA) – ensures safe and healthy working conditionsworking conditions

Trade IssuesTrade Issues Price Price

discriminationdiscrimination Consumer Consumer

ProtectionProtection Uniform Uniform

Commercial CodeCommercial Code Truth in LendingTruth in Lending Truth in Truth in

AdvertisingAdvertising

Price DiscriminationPrice Discrimination

Clayton Act of Clayton Act of 19141914

Robinson-Patman Robinson-Patman Act of 1936Act of 1936

Enforced by Enforced by Federal Trade Federal Trade CommissionCommission

Business must show justification for giving lower price to some:

•Quantity purchased

•Quality purchased

•Cost savings (sale or coupon)

Consumer Consumer ProtectionProtection

Food and Drug Administration (FDA)Food and Drug Administration (FDA) Consumer Product Safety CommissionConsumer Product Safety Commission Fair Packaging and Labeling ActFair Packaging and Labeling Act

Uniform Commercial Uniform Commercial CodeCode

Group of laws governing Group of laws governing everything related to trade and everything related to trade and businessbusiness

Sales transactionsSales transactions Bank depositsBank deposits Investment securitiesInvestment securities Formation of contractsFormation of contracts Warranties and product liabilityWarranties and product liability

Lending and Lending and AdvertisingAdvertising

Truth-in-LendingTruth-in-Lending Consumer Credit Consumer Credit

Protection ActProtection Act Enforced by Enforced by

Federal Trade Federal Trade CommissionCommission

Truth in Truth in AdvertisingAdvertising

Misleading adsMisleading ads Sale pricesSale prices Price Price

comparisonscomparisons Bait-and-Switch Bait-and-Switch

tacticstactics Enforced by Enforced by

Federal Trade Federal Trade CommissionCommission

Taxes to knowTaxes to know Sales tax - % goes to state or Sales tax - % goes to state or

local governmentlocal government Payroll taxPayroll tax

– FICA (Social Security tax)FICA (Social Security tax)– State and Federal income taxState and Federal income tax

Federal Unemployment TaxFederal Unemployment Tax Business Income TaxBusiness Income Tax