Small Business Guide to Hiring Minors
During the busiest seasons of the year, many businesses hire minors to bolster their workforce. Despite a lack of formal work experience, small businesses are willing to hire teenagers to help manage labor costs. This is often beneficial for both parties. Young employees develop a range of professional skills while earning extra income. Conversely, companies can address their staffing needs and meet the high consumer demands. In our guide, we’ll walk you through everything you need to know when hiring minors for your small business.
Child Labor Laws and Regulations
Although hiring minors can be a great option for staffing your business seasonally, you need to understand the potential risks associated with employing teenagers. Failure to comply with federal labor laws, such as the Fair Labor Standards Act, can result in fines of up to $100,000. To avoid unintentional violations, it’s critical to ensure strict adherence to federal and state regulations. This starts with you as a business owner, but it’s also essential to clearly communicate these standards to your managers and team members.
1. Age restrictions
The U.S. Department of Labor has numerous strict regulations in place to ensure the safety of minors and prevent poor working conditions. Children under 14 are generally prohibited from most traditional jobs, though they may contribute to family farms, perform paid chores, or even pursue acting gigs. 14 and 15-year-olds are eligible for employment in most states, with a limitation of 18 hours during school weeks. At the age of 16, minors are not subject to hourly restrictions on a federal level.
2. State regulations
In addition to following federal laws, you also need to carefully review individual state regulations if you plan on employing minors at your small business. This is particularly important when it comes to scheduling. For example, in Pennsylvania, 16- and 17-year-olds are prohibited from working more than eight hours a day or 28 hours a week during the school year. Whereas in Texas, minors within this age range can work up to 48 hours a week year-round.
3. Work permits
Depending on the state you’re in, you may be required to obtain a work permit if you’re hiring minors. Studies show that these permits play a key role in preventing child labor law violations and ensuring safe workplace conditions, as they contributed to a 15.5% reduction between 2008 and 2020. The U.S. Department of Labor provides a complete list of state regulations regarding work permits.
4. Mandatory breaks
Even during peak business hours, you need to be highly conscious of mandatory breaks for minors to avoid risking a major child labor law violation. The specific requirements will vary by state. In Pennsylvania, minors are required to take a 30-minute break after five consecutive hours of work. In Utah, minors must have a 10-minute break every 3 hours. Take a strategic approach to workforce planning and scheduling to ensure compliance with state regulations while maintaining smooth business operations.
5. First 90 days of employment
The Fair Labor Standards Act (FLSA) requires employers to pay minors under 20 years old at least $4.25 per hour. After the first 90 days, this increases to $7.25. However, at the state level, youth wages are likely to vary widely. For example, Illinois recently raised the minimum wage for workers under 18 to $15.00 per hour, a remarkably high rate compared to most states.
Interviewing Minors During the Hiring Process
Interviewing with a minor requires a slightly different approach than you’re used to as a manager. More likely than not, this will be the individual’s first job, so you won’t be able to ask meaningful questions about past employment to gain a better sense of who they are as a candidate. Instead, focus on pertinent questions that take into account where they are in life. For instance, you might ask the candidate about their extracurricular activities, volunteer experiences, or a school project they worked on to help determine if they’re responsible and well-suited for the position.
How to Maintain a Safe and Healthy Work Environment
1. Provide coaching and mentorship
Just because someone is a minor, it doesn’t mean they aren’t a dedicated, hardworking individual. That said, entering the workforce for the first time can be daunting, and they won’t have the same skills as a typical employee. Patience and understanding are key, but you also need to provide extra support and mentorship to help them grow professionally. Consider assigning an experienced employee to provide extra training as they become acclimated to the position. This will benefit both of you in the long run.
2. Create a strategic scheduling plan
In addition to complying with state work-hour restrictions, you need an effective scheduling process that accommodates the unique needs of youth employees without compromising your daily operations. Extracurricular activities and school functions are likely to affect availability at times, which is why it’s important to set clear expectations and maintain open lines of communication with your team members.
Frequently Asked Questions About Hiring Minors
With the right approach, hiring minors can benefit your business and help provide crucial professional development for young people. While many owners are likely hesitant to hire teenagers due to concerns regarding immaturity or lack of commitment, you should never harbor unfair biases during recruitment. Otherwise, you might deprive yourself of a hardworking employee who could be a genuine asset to your team, despite age or inexperience.
Failure to comply with federal and state child labor laws can result in dire consequences. The Department of Labor states that employers can be fined $11,000 for each employee involved in the violation. More serious cases can result in penalties exceeding $50,000 in addition to potential jail time.
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