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What St. Louis Business Owners Need to Know About Employment Law Compliance

Running a business in St. Louis means juggling countless responsibilities, and employment law compliance might not always be at the top of your mind. 

At Bruntrager & Billings, P.C., our St. Louis employment law attorneys know that failing to follow federal and Missouri employment laws can result in costly lawsuits, government penalties, and damage to your company’s reputation.

Properly Classifying Workers: Employee vs. Independent Contractor

Misclassifying workers is one of the most common compliance mistakes. The distinction affects tax obligations, benefits eligibility, and legal protections. Independent contractors handle their own taxes and generally aren’t entitled to benefits or overtime pay, while employees receive these protections.

Factors the IRS and Department of Labor consider include:

  • Level of control over the worker
  • Use of personal tools and equipment
  • Permanency of the work relationship

Misclassification can lead to back taxes, penalties, and liability for unpaid wages and benefits. Consulting a St. Louis employment law lawyer ensures proper classification.

Wage and Hour Compliance in 2025

Missouri and federal wage laws cover minimum wage, overtime, and recordkeeping. Key 2025 requirements:

  • Minimum Wage: $13.75/hour (increasing to $15.00/hour in 2026)
  • Overtime: 1.5x pay for hours beyond 40/week
  • Tipped Employees: At least 50% of minimum wage ($6.88/hour in 2025), with tips making up the difference to full minimum wage
  • Accurate Recordkeeping: Detailed time and payroll records

Common violations include misclassifying employees as exempt from overtime, unpaid hours, and improper deductions.

Complying with Anti-Discrimination Laws

Federal laws like Title VII, the ADA, and the ADEA prohibit discrimination based on race, color, religion, sex, national origin, age, and disability, with Missouri providing additional protections such as for ancestry, genetic information, and familial status, and covering employers with as few as 6 employees. 

Employers must prevent discrimination in hiring, firing, promotions, compensation, and workplace harassment. Implementing clear policies, employee training, and effective reporting procedures helps create a legally compliant and inclusive workplace.

Family and Medical Leave Compliance

The FMLA requires employers with 50+ employees to provide eligible workers up to 12 weeks of unpaid, job-protected leave for:

  • Birth of a child
  • Serious health conditions
  • Caring for family members with serious health conditions

Even businesses not covered by FMLA may have Missouri-specific leave obligations, such as time off for voting, jury duty, military service, crime victims, and emergency responders. 

Maintaining Posters and Documentation

Employers must display federal and Missouri workplace posters in common areas to inform employees about minimum wage, discrimination protections, FMLA rights, and workplace safety. In addition, employers are required to maintain proper documentation, including I-9 forms, payroll records, and personnel files. Failing to comply with these requirements can result in penalties during audits or litigation.

Employee Handbooks and Workplace Policies

A well-drafted employee handbook outlines policies on discrimination, harassment, leave, and discipline. Clear, up-to-date policies help set expectations, provide consistency, and protect your business in legal disputes. Handbooks should comply with 2025 laws and be reviewed regularly by legal counsel to ensure ongoing compliance and effectiveness.

Protect Your Business with a St. Louis Employment Law Attorney

Employment law is complicated and constantly evolving. What was compliant last year might not be today, and mistakes can be costly. Whether you’re starting a new business, expanding your workforce, or handling a dispute, experienced legal counsel helps you stay compliant, avoid penalties, and protect your business.

Call Bruntrager & Billings, P.C. at 314-646-0066 or contact us online to discuss your employment law compliance needs. Our St. Louis employment lawyers guide business owners through regulations and help create workplaces that work for everyone.