ABM 402 Policy Book

Policy Book by
Kaley Silva and Leatha N. King
ABM 402 Spring 2015

Verno Terra: Beautiful Earth
Table of Contents
Welcome Letter
Background
Mission Statement/Location
Organizational Chart/Facilities Map
Job Descriptions
Standards of Conduct
Acknowledgment of Drug-Free Policy
Confidentiality & Nondisclosure Agreement
Discrimination Policies
Compensation and Incentives
Benefits
State and Federal Mandatory Benefits
Performance Improvement
Disciplinary Guidelines
Safety Policies
Appendix
3
4
5
6
7
10
12
13
17
32
36
40
43
46
49
50
2

Verno Terra
Welcome Letter
Dear new employee,
Welcome aboard our team at Verno Terra! We are pleased to have you as a new team member for
our cafe. We chose to hire you because of your amazing attributes and qualities that our store
looks for in our employees. We cannot wait to see you grow into a caring, hard-working person
who wants to help others. We hope that you will find great fulfillment in your daily duties at your
new job. We expect you to come to work everyday with a willingness to learn and an optimistic
attitude because your success at the job will extend to the company’s success. Being co-owners of
Verno Terra, we believe that the well-being of our employees is a top priority. If you ever have any
questions or concerns, our door is always open. Please look over and review the rest of this policy
book to educate yourself on the aspects of Verno Terra. We look forward to seeing you develop
into a well-rounded employee that will enrich the lives of our restaurant’s customers.
Sincerely,
Leatha King and Kaley Silva
3

Background
Kaley Silva and Leatha King are college friends and sorority sisters
who have a passion for food and the environment. Both are
Agribusiness Management majors from the California State
Polytechnic University, Pomona. The pair began their journey into
the organic food world in 2013 when they opened up a seasonal food
booth in a local farmers market in Diamond Bar, CA. They
discovered that their passion for fresh, healthy, and environmentally
conscious food was shared by many, and decided that their
passions, products, and services should be taken to the next level. In
2015 they moved to San Francisco, CA and have since then begun
the process of opening up Verno Terra Café; with the intentions to
share their love of organic foods while maintaining a eco-friendly
environment.
4

Our Mission Statement
Location
The owners of Verno Terra will be both Leatha King and Kaley Silva. They have chosen a 3,000
sq./ft. cafe near Nob Hill in San Francisco. The address of the building is 1552 Polk Street, San
Francisco, CA. To buy the store, it would cost them $149,000 and to lease, it would cost $5,150
per month. They will co-lease the building and co-manage their business. Leatha will be in
charge of managing the employees and recruiting new employees, while Kaley will be in charge
of the financials.
We are committed to providing our customers with top quality organic and locally grown food in
an environmentally conscious restaurant that strives to give back to the community. We pride
ourselves with excellent customer service and providing a warm and comfortable dining
experience.
5

Organizational Chart
Facilities Map
6

Job Descriptions
April 19, 2015
Shift Leader
Part-time, Hourly, $15.00/hour
Job summary:
Shift leader will be responsible for overseeing the day to day operations within the cafe. They
will be the ones making the weekly schedules, and handling the organization of inventory.
Shift leader will also be in charge of handling customer service problems, and making sure
that they report any and all internal and external problems to the co-owners. In addition to
managerial duties, the shift leaders will be expected to contribute to the daily duties such as
cashiering and taking food out to customers, and making sure that Verno Terra's standards of
cleanliness are met.
Detailed list of duties and responsibilities:
 inventory
 producing weekly schedules
 dealing with customer service problems
 over-looking employees
 helping cashiers with their duties, if needed
 disciplinary actions per employees
 recruitment activities
The shift leaders will report to both co-owners, Leatha and Kaley. The staff that will be
reporting to the shift leaders will be the following: cooks/prep, cashiers, bussers/dishwashers.
Shift leaders will be in contact with all employees and upper management. They will also be
expected to be the primary lesion between external delivery service and the co-owners. Shift
leader will be the people who are in charge of contacting and communicating with
emergency services if need be.
7

Job Descriptions
The shift-leaders will have weekly meetings with the co-owners. The shift leaders will also
have bi-weekly meetings with all of the employees. In addition, the co-owners will have
quarterly meetings with both the shift leaders and the employees. Some reports that need to
filed will include daily inventory reports, as well as weekly inventory reports. They will
additionally need to do a daily cash balance at the end of the day to make sure our financials
are where they need to be. Shift leaders will also need to do the required write-ups of
employees, if needed. They will also do a quarterly review of the employees that coincides
with the quarterly meetings with the co-owners to discuss the cafe’s needs. Shift leaders have
the possibility of becoming a general manager at new, proposed locations in the next 3-5
years.
Requirements:
Shift leaders must be able to handle money, be proficient in Word and Excel, work well with
people, be a good team-player, be on feet for multiple hours at a time, keep employees
motivated, be able to lift items of up to forty pounds at a time, positive attitude. High school
diploma required.. Must have a minimum of one to two years in a managerial position.
Busser/Dishwasher
Part-time, Hourly, $12.25/hour
Job Summary:
Our bussers will be expected to constantly make sure that Verno Terra's cleanliness
standards are upheld. They will be in charge of cleaning and bussing tables before and after
guest have eaten. They will also make sure that the general dining area and sidewalk eating
areas are clean and presentable.
8

Job Descriptions
Detailed list of duties and responsibilities:
 Cleaning/ bussing tables
 They will be in charge of making sure that the restroom is stocked and cleaned at various
times throughout the day
 Bussers will also be in charge of reporting all broken and lost dishes to the shift managers
at the end of the week.
 Opening shift workers will be in charge of cleaning the floors, counters, and making sure
that the bathroom is stocked before the store opens.
 Closing shift workers will be in charge of making sure all dishes are cleaned and washed
at the end of the day.
 Making sure that the tables are stocked with napkins and condiments.
 Both shifts will take turns making sure that the store windows are cleaned weekly.
Bussers/dishwashers will report to the shift leaders. No one reports to the bussers. The
bussers/dishwashers will be in contact with the cashiers and the cooks to determine what
needs to be cleaned. The bussers/dishwashers will also be in contact with the shift leaders if
they ever have any problems or need to discuss their required duties for the day. The bussers
will attend the bi-weekly meetings with the shift leaders and the quarterly meetings with the
co-owners to make sure they are fulfilling their needed job duties. This position is one that
offers lots of mobility. A busser will be able to have the option of moving to the cook or
cashier positions within 6-9 months, pending employer review and passing of a certification
test.
Requirements:
No education requirement. No prior experience. Must
be able to stand on feet for multiple hours, must be
able to lift up to fifty pounds at a time, be a good team
player, and be okay with working with cleaning products.
9

Technology Standards of Conduct
In terms of technology usage for our employees, we are not allowing any use of
cellphones during working hours. Verno Terra will have a couple of phones located
throughout the cafe for work usage and for customer inquiries. Employees will be able
to use those phones during their work shifts. No use of computers will be allowed for
the cooks, bussers, or cashiers. The shift managers and the co-owners will be able to
use the computers for only work usage, such as, recruiting new employees and making
weekly schedules.
Appearance Standards of Conduct
The employees of Verno Terra will follow the strict uniform policy.
Employees must wear black pants, a Verno Terra shirt, a black apron,
a Verno Terra hat or visor, and black non-slip shoes. All employees
must have hair tied up in a ponytail or bun if it goes past the ears.
All cooks will need to wear a hair net while working. Tattoos and piercings
okay.
Customer Service Standards of Conduct
Verno Terra prides itself on its excellent customer service. In order to make sure that
our standards are upheld, each employee must understand and follow the guidelines
that Verno Terra has set out. The three main parts that make up Verno Terra's
customer service standards policy are Consistency, Details, and Personalized Service.
Consistency: All Verno Terra employees are expected to uphold the company's
standards of maintaining food and beverage presentation, quality, and portion sizes.
Employees are also expected to have a knowledgeable base of all food and beverages in
general.
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Employees are always expected to provide professional, polite, and warm and
friendly service. Employees who are in contact with guests are also in encouraged to
build a positive rapport with customers consistently.
Details: Employees will be courteous, empathetic, and treat customers with respect
and integrity regardless of race, religion, gender, appearance, social status etc.. Verno
Terra employees are expected to always look after the needs of the guests that come
into the establishment. Employees will try to give assistance when needed, and be able
to give appropriate food and beverage suggestion to be ordered by guests. Employees
are also expected to have a knowledgeable base of all food and beverages served at
Verno Terra, and knowledge of all organic products origins and certifications. In
addition Verno Terra Employees are required to have enough knowledge of the
structure and content of the English language to be able to competently read, write,
speak, and understand it proficiently.
Personalized service: Employees are expected to consistently have a warm smile and
greeting for guests regardless of the condition. Maintain a positive attitude and behave
professionally. Learn guests names and preferences, and ask the names of new guests.
Employees are also expected to provide guests with a warm exit greeting, and attempt
to exceed the guests needs before they are even asked. Employees are also expected to
keep the balance between being warm and friendly, and overbearing with customers as
well, employees will need to be able to read guests appropriately and determine what
they needs on a consistent basis.
11

Acknowledgement of Drug-Free Policy
Verno Terra intends to help provide a safe and drug-free work environment for our
customers and our employees. With this goal in mind and because of the serious drug
abuse problem in today's workplace, we are establishing the following policy for
existing and future employees of Verno Terra.
Verno Terra explicitly prohibits:
-The use, possession, solicitation for, or sale of narcotics or other illegal drugs, alcohol,
or prescription medication without a prescription on Company premises.
-Being impaired or under the influence of legal or illegal drugs or alcohol away from
company premise, if such impairment or influence adversely affects the employee's
work performance, the safety of the employee or of others, or puts at risk Verno Terra's
reputation.
Possession, use, solicitation for, or sale of legal or illegal drugs or alcohol away from
the Company premises, if such activity or involvement adversely affects the employee's
work performance, the safety of the employee or of others, or puts at risk Verno Terra's
reputation.
-The presence of any detectable amount of prohibited substances in the employee's
system while at work, while on the premises of the company or its customers, or while
on company business. "Prohibited substances" include illegal drugs, alcohol, or
prescription drugs not taken in accordance with a prescription given to the employee.
12

Acknowledgement of Drug-Free Policy
-The Company will conduct drug and/or alcohol testing under any of the following
circumstances:
-RANDOM TESTING: Employees may be selected at random for drug and/or alcohol testing
at any interval determined by the Company.
-FOR-CAUSE TESTING: The Company may ask an employee to submit to a drug and/or
alcohol test at any time it feels that the employee may be under the influence of drugs or
alcohol, including, but not limited to, the following circumstances: evidence of drugs or
alcohol on or about the employee's person or in the employee's vicinity, unusual conduct on
the employee's part that suggests impairment or influence of drugs or alcohol, negative
performance patterns, or excessive and unexplained absenteeism or tardiness.
-POST-ACCIDENT TESTING: Any employee involved in an on-the-job accident or injury
under circumstances that suggest possible use or influence of drugs or alcohol in the accident
or injury event may be asked to submit to a drug and/or alcohol test. "Involved in an on-the-
job accident or injury" means not only the one who was or could have been injured, but also
any employee who potentially contributed to the accident or injury event in any way.
-If an employee is tested for drugs or alcohol outside of the employment context and the
results indicate a violation of this policy, or if an employee refuses a request to submit to
testing under this policy, the employee may be subject to appropriate disciplinary action, up
to and possibly including discharge from employment. In such a case, the employee will be
given an opportunity to explain the circumstances prior to any final employment action
becoming effective.
13

Confidentiality and Nondisclosure Agreement
This Nondisclosure Agreement is entered into by and between _______________ with its
principal offices at _______________, ("Disclosing Party") and _______________, located at
_______________ ("Receiving Party") for the purpose of preventing the unauthorized
disclosure of Confidential Information as defined below. The parties agree to enter into a
confidential relationship with respect to the disclosure of certain proprietary and confidential
information ("Confidential Information").
1. Definition of Confidential Information. For purposes of this Agreement, "Confidential
Information" shall include all information or material that has or could have commercial
value or other utility in the business in which Disclosing Party is engaged. If Confidential
Information is in written form, the Disclosing Party shall label or stamp the materials with
the word "Confidential" or some similar warning. If Confidential Information is transmitted
orally, the Disclosing Party shall promptly provide a writing indicating that such oral
communication constituted Confidential Information.
2. Exclusions from Confidential Information. Receiving Party's obligations under this
Agreement do not extend to information that is: (a) publicly known at the time of disclosure
or subsequently becomes publicly known through no fault of the Receiving Party; (b)
discovered or created by the Receiving Party before disclosure by Disclosing Party; (c)
learned by the Receiving Party through legitimate means other than from the Disclosing
Party or Disclosing Party's representatives; or (d) is disclosed by Receiving Party with
Disclosing Party's prior written approval.
14

3. Obligations of Receiving Party. Receiving Party shall hold and maintain the Confidential
Information in strictest confidence for the sole and exclusive benefit of the Disclosing Party.
Receiving Party shall carefully restrict access to Confidential Information to employees,
contractors and third parties as is reasonably required and shall require those persons to sign
nondisclosure restrictions at least as protective as those in this Agreement. Receiving Party
shall not, without prior written approval of Disclosing Party, use for Receiving Party's own
benefit, publish, copy, or otherwise disclose to others, or permit the use by others for their
benefit or to the detriment of Disclosing Party, any Confidential Information. Receiving Party
shall return to Disclosing Party any and all records, notes, and other written, printed, or
tangible materials in its possession pertaining to Confidential Information immediately if
Disclosing Party requests it in writing.
4. Time Periods. The nondisclosure provisions of this Agreement shall survive the
termination of this Agreement and Receiving Party's duty to hold Confidential Information in
confidence shall remain in effect until the Confidential Information no longer qualifies as a
trade secret or until Disclosing Party sends Receiving Party written notice releasing Receiving
Party from this Agreement, whichever occurs first.
5. Relationships. Nothing contained in this Agreement shall be deemed to constitute either
party a partner, joint venture or employee of the other party for any purpose.
15

6. Severability. If a court finds any provision of this Agreement invalid or unenforceable, the
remainder of this Agreement shall be interpreted so as best to effect the intent of the parties.
7. Integration. This Agreement expresses the complete understanding of the parties with
respect to the subject matter and supersedes all prior proposals, agreements, representations
and understandings. This Agreement may not be amended except in a writing signed by both
parties.
8. Waiver. The failure to exercise any right provided in this Agreement shall not be a waiver
of prior or subsequent rights.
This Agreement and each party's obligations shall be binding on the representatives, assigns
and successors of such party. Each party has signed this Agreement through its authorized
representative.
_____________________________________________________ (Signature)
___________________________ (Typed or Printed Name)
Date: _______________
_____________________________________________________ (Signature)
___________________________ (Typed or Printed Name)
Date: _______________
16

Sexual Harassment
At Verno Terra we believe that everyone should have the right to work in an environment
where they feel safe and respected, and also feel comfortable speaking out if they do not.
Harassment is a form of discrimination that is offensive, impairs morale, undermines the
integrity of employment relationships and causes serious harm to the productivity, efficiency
and stability of our organization. That is why Verno Terra employs a strict no tolerance
harassment (Sexual and Otherwise) policy in our workplace by employees, employers, and
non-employees alike.
The Fair Employment and Housing Act defines harassment because of sex as including
sexual harassment, gender harassment, and harassment based on pregnancy, childbirth, or
related medical conditions. The Fair Employment and Housing Commission regulations
define sexual harassment as unwanted sexual advances, or visual, verbal or physical conduct
of a sexual nature. This definition includes many forms of offensive behavior and includes
gender-based harassment of a person of the same sex as the harasser.
All Verno Terra members are prohibited from harassing other members in the workplace.
If harassment occurs, an employer may be liable even if management was not aware of the
harassment. That is why we at Verno Terra encourage our members to report any and all
harassment cases immediately, and to follow proper grievance procedures in doing so.
17

Sexual Harassment
Grievance Procedure
Any employee who believes he or she is being harassed, or any employee, who becomes
aware of harassment, should promptly notify his or her supervisor. If the employee believes
that the supervisor is the harasser, the supervisor's supervisor should be notified. If an
employee is uncomfortable discussing harassment with his or her supervisor, the employee
should contact the Civil Rights Center at 202-693-6500 within 45 days of the alleged
discriminatory event in order to preserve your right to file an EEO complaint. Any questions
on this guidance should also be addressed to the Department of Labor's Civil Rights Center.
Information on your right to file a state or federal harassment complaint is also available
from http://www.dol.gov/oasam/programs/crc/index.htm.
Upon notification of a harassment complaint, a confidential and impartial investigation
will be promptly commenced and will include separate direct interviews with all involved
parties and where necessary with employees who may be witnesses or have knowledge of
matters relating to the complaint. The parties of the complaint will be notified of the findings
and their options. The Offending party, if found in violation of our Harassment Policies, will
be dealt with swift disciplinary action, and be terminated immediately.
18

Sexual Harassment
Verno Terra respects the right of an employee to report their case to the proper
authorities, and will guarantee the protection against retaliation for opposing the practices
prohibited by law or for filing a complaint with, or otherwise participating in investigative
activities conducted by, the Department or the Commission to all.
All Verno Terra Employers are directly responsible for harassment by our managers.
Therefore Verno Terra Employers guarantee that any and all preventive measure will be taken
to prevent workplace harassment. Preventive measures will include (but are not limited to);
at least two hours of Sexual Harassment Training to be completed by each employee before
their orientation is complete. Mandatory Harassment attendance of a re-training seminar for
all staff members every two years. As well as the posting of detailed visual posters and contact
information concerning the Department of Fair Employment and Housing (DFEH)
employment poster (DFEH-162) in the workplace.
See more at:
http://www.shrm.org/templatestools/hrqa/pages/californiasexualharassmentprevention.aspx
#sthash.b5z9EcJI.dpuf A victim may be entitled to monetary damages even though no
employment opportunity has been denied and there is no actual loss of pay or benefits.
19

Title VII
Title VII prohibits people from employment discrimination based on race, sex, national
origin, and religion. An employer cannot deny someone a job based on their appearance or
choice of religious beliefs. It also states that any use of racial slurs or jokes are prohibited,
and that there should be equal compensation for any type of employee.
Title VII only applies to businesses with 15 or more employees. If any discrimination is
found in the workplace, an employee has a right to fight back. They can go through the EEOC
by filing a charge, assistance, testifying, or participating with an agency proceeding.
Follow this link for the detailed act: http://www.eeoc.gov/laws/statutes/titlevii.cfm
20

Equal Pay Act
The Equal Pay Act sets employees free from any discrimination. Both men and women are
to get the same salary for jobs on the same level or with the similar duties. It states that the
job content is based on their pay rather than their job titles. This job content involves the
skills, effort, responsibilities, working conditions, and their establishment.
If any employees are paid differently, it is not from discrimination, but it will be permitted
because of seniority, quality or quantity, merit, or another factor. These are applied through
the proof of the employer. If an employer is ever found to have pay differential, those who are
paid more, will have the same salary, and those who are paid less, will get a pay-increase to
equal those who are paid more.
Follow this link for a more detailed version of this act:
http://www.shrm.org/legalissues/federalresources/federalstatutesregulationsandguidanc/pag
es/equalpayactof1963.aspx
21

Age Discrimination Act
The Age Discrimination Act prohibits any discrimination against employees because of
their age. The act only involves employees that are over 40 years of age. It is only in a few
states where this act counts for people under the age of 40. This discrimination in the
workplace, is not allowed during hiring, firing, promotions, job assignments, fringe benefits,
training, and any other condition of employment.
The Age Discrimination Act also doesn’t allow any kind of harassment because of the
employee’s age. Any offensive remarks that could cause a hostile environment in the
workplace because of a person’s age could also be found as a form of discrimination. This
could eventually cause a person’s termination of employment because of such an offensive
work environment.
Follow this link for a more detailed version of this act: http://topics.hrhero.com/age-
discrimination-in-employment-act-adea/
22

Pregnancy Discrimination Act
Prohibits people from being discriminated against due to pregnancy, childbirth, or any
related medical condition. This act enables pregnancy related conditions to be treated the
same as any other medical related employee or any temporary disabled persons. If an
employee is pregnant, the employer may allow an unpaid leave, a disability leave, or some
light duty assignments. Because of the impairments from pregnancy, the employer may need
to provide reasonable accommodations for the employee.
This act also does not allow for any harassment to the employee because of the pregnancy.
If the employer allows unpaid leave for any employees on disability, then they must do the
same for an employee who is pregnant. An employer may also not be allowed to single out an
employee based on their pregnancy condition, unless a doctor’s note is stated.
Follow this link for a more detailed version of this act:
http://www.eeoc.gov/laws/types/pregnancy.cfm
23

Immigration Reform and Control Act
The Immigration Reform and Control Act states that employers must verify the identity
and eligibility of employment for each person hired. These people must provide the I-9 Form
when being hired, and they must not harass people in the workplace based on citizenship or
national origin. This act also makes it illegal for employers to knowingly hire people who are
illegal immigrants. The only exception to this would be for certain seasonal agriculture
immigrants.
The reason this law was enacted was because of the great need to the federal government
to keep illegal immigrants from coming into the United States. If there is any failure from
employers to provide documentation on their employees based on this act, they could face
both civil and criminal liability with fines of $100 up to $1000 per employee and possibility of
imprisonment. It will also cause the employee to lose their job if they don’t have the
necessary documents as well.
Follow this link for a more detailed version of this act: http://thomas.loc.gov/cgi-
bin/bdquery/z?d099:SN01200:@@@L&summ2=m&%7CTOM:/bss/d099query.html
24

Family and Medical Leave Act
The Family and Medical Leave Act is administered by the Wage and Hour Division of the
US Department of Labor. This act only applies to organizations with 50 or more employees.
The act allows up to 12 weeks of job-protected, unpaid leave for employees eligible for the
adoption or birth of a child, or for a serious illness of a spouse, parent, or child.
These types of employees listed above are only covered if they have worked at that
company for 12 months or more. Employees must give some notice ahead of time and
medical certification for the need of leave, if possible. Once the employee returns to work,
they are entitled to their former job, or an equivalent job with the same pay rate and the same
job duties.
Follow this link for a more detailed version for this act:
http://employment.findlaw.com/family-medical-leave/family-and-medical-leave-
overview.html
25

Food Safety Modernization Act
The Food Safety Modernization Act was signed into law in 2011 by Obama with two new
rules on Produce Safety Standards and Preventive Controls for Human Food. The Produce
Safety Standards includes any fruits and vegetables consumed for personal consumption or
are to be used for commercial processing, and have concern from the public health for the
high amount of microorganisms included in the food. This rule focuses on risk analysis of
different categories such as, agricultural water, health and hygiene, domesticated and wild
animals, buildings and equipment, and biological soil amendments. This rule is the result
from the outreach of the FDA and will not be including organic farming in its analysis.
The second part of the Food Safety Modernization Act is the Preventive Controls for
Human Food. This rule includes places that manufacture, process, pack or hold human foods.
Only facilities that are registered with the FDA will follow the new preventive control
provisions. The proposal of this rule states that facilities need to have written plans that
identify potential hazards and that these steps are currently working, and if any problems
arise, the necessary steps will be used to deal with them. These written safety plans include
hazard analysis, risk based preventive controls, monitoring procedures, corrective actions,
verification, and recordkeeping.
A more detailed description can be found from this link:
http://www.fda.gov/Food/GuidanceRegulation/FSMA/
ucm334120.htm
26

OSHA
OSHA stands for Occupational Safety and Health Act. It was enacted in 1970 by Congress
to ensure employee and workplace safety. The goal of this act was to make sure employees
felt safe in the workplace and that the employers had a facility that was free from any hazards
to safety and health. Some of these hazards include excessive noise levels, heat or cold stress,
exposure to toxic chemicals, mechanical dangers, and unsanitary conditions. OSHA oversees
these guidelines by completing worksite inspections, and having safety and health
management systems.
The Occupational Safety and Health Act does not cover employers that are self-employed,
federal agencies that have their own safety regulations, and immediate farm or family
workers that don’t have outside workers, and workers from state and local governments.
Over the years, OSHA has successfully reduced the number of workplace deaths, illnesses,
and injuries. This allows employers to have lower training costs, less overtime costs, and
increased productivity.
A more detailed description can be found from this link: http://www.allaboutosha.com/what-
is-osha
27

California Food Handler Law
The California Food Handler Card Law was signed into law in 2010 and is a standard for
safe food handling in all of California’s restaurants. The employees of these restaurants must
take and pass a test that will explain basic food safety knowledge needed for employment.
These food handlers must take this test and obtain a food handler card within the first 30
days of employment. The card is valid for three years and must be renewed after the time
allotted.
This law requires the food facility operators to keep each worker’s current food handler’s
card on file in the workplace. This is mandated during the inspection process from the local
health departments. Although this law is followed throughout the state of California, the San
Bernardino, Riverside, and San Diego counties are not affected by the law. Also, some
foodservice employees are exempt, such as, workers in temporary facilities, volunteers,
farmers market employees, licensed health care facilities, grocery stores, retail stores,
commissaries, and school cafeterias.
A more detailed description can be found from this link: http://www.calrest.org/california-
food-handler-card.html
28

San Francisco Paid Sick Leave Ordinance 12W
All current non-benefited employees who work within the city /county of San Francisco
will accrue "Paid Sick Leave". All employees who perform work in San Francisco, including on
a part-time or temporary basis, accrue paid sick leave for those hours worked in the city,
regardless of where their employer is located. This law is in effect under the San Francisco
Paid Sick Leave Ordinance 12W, qualified employees (i.e. those who worked for the company
90 days and more) are entitled to one hour of paid sick leave for each 30 hours worked. San
Francisco Paid Sick Leave may be used for all San Francisco based employee's own illness,
injury, medical condition, need for medical diagnosis or treatment as well as paid time off
from work for the purpose of providing care or assistance to a family member or designated
person with an illness, injury, medical condition, or need for medical diagnosis or treatment.
Depending on the size of employer, certain hour caps may apply. If the company employs
less than 10 workers, the maximum number of paid sick leave hours an employee can earn is
40 hours. Employers with more than 10 employees are subject to a 72-hour cap. And all
employees- whether or not they are legally authorized to work in the United States- are
covered by the law.
http://sfgsa.org/modules/ShowDocument.aspx?documentid=7530
29

Industrial Commission Wage Order No. 5 Section 8
Cash shortage and breaker. No employer shall make any deduction from the wage or
require any reimbursement from an employee for any cash shortage, breakage, or loss of
equipment, unless it can be shown that the shortage, breakage, or loss is caused by a
dishonest or willful act, or by the gross negligence of the employee. Mere allegations that an
employee steals money from the register are not sufficient; employer needs to present clear
evidence of dishonest conducts or gross negligence.
If an employer believes that the employee owes them money, the best practice may be to
file a small claims or other court proceeding to recover the amount, instead of deducting the
amount from an employee's pay. If the employer is incorrect about the amount owed, or
incorrect that there was gross negligence, willful misconduct, or dishonesty, the employer
may owe the employee significant penalties for failing to pay all wages in a timely manner.
http://www.dir.ca.gov/iwc/wageorder5_010102.html
30

Section 351 of California Labor Code
Here at Verno Terra, we believe that you should get what you work for. Therefore we are big
advocators of upholding laws that are designed to make sure our employees do. Section 351 of the
California Labor Code prohibits employers and their agents from taking tips from employees serving
customers. The law further states that gratuities are the sole property of the employee or employees to
whom they are given. "Gratuity" is defined in the Labor Code as a tip, gratuity, or money that has been
paid or given to or left for an employee by a patron of a business over and above the actual amount due
for services rendered or for goods, food, drink, articles sold or served to patrons. It also includes any
amount paid directly by a patron to a dancer covered by IWC Wage Order 5 or 10.
Restaurant owners, managers, supervisors or their assistants are not allowed to collect or receive
tips. However, California labor law does not prohibit employers from having a tip polling policy that
requires employees to share tips with other workers who provide services to customers. Employers who
allow tips to be paid by credit card may not deduct from the tips any fees or cost associated with the
credit card transaction. All credit card tips must be paid not later than the next payday after the date
the customer authorized the credit card payment.
http://www.leginfo.ca.gov/cgi-bin/displaycode?section=lab&group=00001-01000&file=350-356
31

Pay Ranges
Employees will be paid every two weeks.
Pay Increase Form
I [Employee Name] hereby state that I understand and consent to my current pay rate
of $12.25 per hour. I understand and consent to a pay rate increase to $13.00 per hour
effective July 1st 2016. I understand that the pay period affected will be the week
immediately following the increase. I also understand that the pay rate increase is due
to a raise in minimum wage by the city of San Francisco.
Employee Signature: Employee ID number:
32

Intrinsic Rewards
1. Going out of our way to say please and thank you.
2. Giving a compliment to each employee.
3. Smiling and being kind to your employees.
4. Offering our help, even if it doesn’t include our main job duties.
5. Taking time out of our day to have a conversation with an employee.
Extrinsic Rewards
1. Write a thank-you note to an employee who went above and beyond.
2. Give out Employee of the Quarter and Employee of the Year plaques.
3. Have a rewards star chart and give employees stars when they get a good review.
4. Give an employee a free meal from the cafe.
5. Give out gift-cards for good performance.
Incentives
1. Employee of the quarter could get Giants baseball tickets
2. Employee of the quarter could get Six Flags season passes
3. Employee of the year will receive a free spa weekend for two
4. Employee of the year will receive an all expense-paid cruise to Mexico
33

Verno Terra will be using plans based on time saved for bonuses. Our plan is to have
the customers enter the store and get their food within 12 minutes. This will be done by
having the cooks prepare the food within 8 minutes, the cashiers getting the food out
to the customers within 2 minutes, and having the bussers clean the tables within 3
minutes after the customer leaves. Our shift managers will be overseeing this process
and choose an employee from each section that has the fastest times. Then, each
month we will give out $25 bonuses to the fastest worker.
Verno Terra will be using individual bonuses for our shift leaders. The shift leader
with the most sales and the fastest times, including with the least complaints and the
most compliments will get a $25 bonus at the end of the month. They will also receive a
one day double lunch on the day of their choosing.
Our store will have two anonymous suggestion boxes. There will be one located in
the public area for customers where they can either leave a complaint or a compliment
about our service and food. There will be another suggestion box located in the back
area of the store for the employees. This will be for the employees to anonymously
write their concerns or suggestions to make the store run better. At the end of two
weeks, the shift managers will check the boxes and talk about the feedback in the
biweekly meetings with employees.
34

An incentive for our managerial personnel are our annual bonuses and long-term
performance plans. The annual bonuses will be given to the two shift leaders at the end
of the year and will consist of a flat-rate of $300. In addition, after five years of
employment, the shift leaders will get a review form the co-owners of Verno Terra and
based on their performance, they will receive a substantial raise, around $1.00. Two
years after that, they will get another review and get a raise based on that review, and
so on.
Some group incentives Verno Terra has includes self-directed work teams. The
employees will be divided into two groups, under the supervision of one of the two
shift leaders. Every year, the two teams will be reviewed, and whichever team has the
best overall sales, the fastest times, and the best customer service, will have the
opportunity to spend a day either bowling, laser tagging, at the beach, or mini golfing.
The co-owners of Verno Terra have decided to use mainly skill based pay and some
competency based pay. The managers will get paid more because they have more
experience and knowledge in the business and the other employees will be paid
minimum wage because it requires someone who doesn’t need as much experience
background. Our competency based pay will be exceptional if an employee gets an
extra certification for another job, for example if a cashier gets certified to become a
cook.
35

Benefits
Vacation Time
Verno Terra plans on giving their employees who have worked for the company for 2
years, up to two weeks off of paid vacation each year. After 5 years of employment, the
paid days off will bump up to 20 days a year, and after 10 years of employment, the paid
vacation will go up to 25 days. In addition, each employee will get paid holidays off.
These holidays include Christmas, New Year's day, Thanksgiving, Independence Day,
Labor Day, and Memorial Day. In addition, depending on an employee’s religion, they
may be given up to two extra paid holiday days off.
Sick Leave
Any employee who has worked at Verno Terra for more than 30 days is allowed paid
sick days for prescribed reasons. If an employee gives management a medical excuse
before or within two days after the sick day, the employee will be given a paid day. If an
employee does not give a medical note for being out sick, the person will not be paid.
Each employee is given up to 10 paid sick days each year. If an employee does not use
those 10 days for each year, the number will reset at the beginning of the next calendar
year.
36

Benefits
Health Benefits
Verno Terra will provide the option to enroll in voluntary health plan through Covered
California. The part-time employees will be offered the minimum coverage, which
covers 0% until out-of-pocket is maximum is met. That maximum is $6,600 and only
includes one individual, not family. It offers a $0 coverage for an annual wellness exam,
and for things such as generic drugs, emergency visits, x-rays, and laboratory tests, the
pay is negotiated per service until the out-of-pocket maximum is met.
For our full-time management team, we will offer both minimum coverage or
bronze coverage. The bronze includes coverage of up to 60% annual cost and has a
$6,250 individual maximum or $12,000 maximum for a family. For a primary care visit,
the plan offers $60 for the first 3 non-preventive visits. For a specialist visit, it offers $70
after deductible is met; for lab tests, the plan offers 30% after deductible is met; for
preferred drugs, it offers $15 or less after deductible is met; and for preferred drugs, the
plan offers $50 after deductible is met.
Dental
Through Anthem Blue Cross, our employees will have the option to choose our Dental
Select HMO plan. It costs $17.40 per month with a $0 deductible and there is no annual
maximum. For basic check-ups, fillings, and surgeries, the employee will have to pay a
copayment. Orthodontics, such as braces, will not be covered in this dental plan.
37

Benefits
Vision
We will also offer an optional vision plan through Blue Shield California. The Ultimate
Vision 15/25/150 is a plan that covers routine eye care, such as eye exams, glasses or
contacts, and extra amenities for your eyewear. The plan offers a $15 copay for eye
exams, an $150 allowance for glasses, and up to an $120 allowance for contacts. In
addition, there is up to an $100 allowance for lens treatments and the plan offers a $0
deductible.
Retirement Benefits (401K)
Verno Terra is dedicated to having a plan designed to help its employees save and build
up for not only their short term but also long term financial needs and obligations.
One of those needs we are dedicated to helping with is that of a retirement plan. Verno
Terra employees has made a retirement plan with a Defined Contribution Profit
Sharing Plan and 401(k) Plan for the benefit of our full-time and part-time employees
who are eligible for participation in the plan. Those employees who are eligible receive
company contributions made into the plan based on a percentage of their annual
earnings. After one year of continuous service and meeting other eligibility criteria,
Verno Terra's 401K plan allows employees to defer pre-tax earnings into our qualified
plan. Vesting occurs after 3 years of service with the company.
38

Benefits
Meal Benefits
Verno Terra part-time employees will relieve the additional benefit of being able to
receive one free meal a week and a 50% discount on meals every work period. Full-time
employees will be eligible to receive a free meal every 8 hour work day, and a 50%
discount on all other days worked or not. All part-time employees will be able to
receive a 25% discount on meals any day, whether working or not.
Gym Membership Benefit
Here at Verno Terra we believe that everyone should strive to live as healthy and stress
free as possible. That is why we offer all of our qualifying Verno Terra employees will be
given the option of having a three month free membership to 24 Hour Fitness. We
think that a healthy employee will be a happy employee and we want all of our
employees to be happy.
39

Family and Medical Leave Act
Under federal law Verno Terra is required to comply with the Federal Family and
Medical Leave (FMLA). The FMLA entitles eligible employees of covered employers to
take unpaid, job-protected leave for specified family and medical reasons with
continuation of group health insurance coverage under the same terms and conditions
as if the employee had not taken leave. Eligible employees are entitled to twelve
workweeks of leave in a 12-month period for:
-the birth of a child and to care for the newborn child within one year of birth;
-the placement with the employee of a child for adoption or foster care and to care for
the newly placed child within one year of placement;
-to care for the employee’s spouse, child, or parent who has a serious health condition;
a serious health condition that makes the employee unable to perform the essential
functions of his or her job;
-any qualifying exigency arising out of the fact that the employee’s spouse, son,
daughter, or parent is a covered military member on “covered active duty;” or
-Twenty-six workweeks of leave during a single 12-month period to care for a covered
service member with a serious injury or illness if the eligible employee is the service
member's spouse, son, daughter, parent, or next of kin (military caregiver leave).
40

Social Security
Employees a at Verno Terra with wages equal to or larger than $118,500 would
contribute $7,347.00 to the Social Security's Old-Age, Survivors, and Disability
Insurance (OASDI) program. Verno Terra by law is obligated to contribute a matching
equal amount to the employee's Social Security program. Verno Terra will withhold a
6.2 percent Social Security tax from our employee’s wages and pay an additional 6.2
percent as our employer share of the tax. We will also withhold a 1.45 percent Medicare
tax from our employee’s wages and pay an additional 1.45 percent as our employer
share. The total of all four portions is 15.3 percent to be contributed by employer and
Verno Terra employee.
Unemployment Compensation
Verno Terra will allow their employees the option of unemployment compensation. If
an employee wants to receive this benefit they will have to submit an application
through state employment office and have been covered by social security for a
minimum of 26 weeks, have been laid off, and be will to accept any suitable
employment offered through the state’s commission. The unemployment
compensation will be calculated based on the employee’s position and the individual’s
wages. The lower the pay rate, the lower the amount of funds given out for the
unemployment compensation. We hope our unemployment compensation will
encourage our employees at Verno Terra to stay with our business for the long haul
41

Workers Compensation
Verno Terra will provide the utmost care for their employees and the possibility that
they might become injured while at work or because of their job. Because of this
possibility, we will have workers compensation insurance to cover this liability. Verno
Terra will use their workers compensation insurance through the California
Department of Insurance. The CDI provides a rate of $4.90 for each worker employed
at Verno Terra. Per every $100 of payroll, we will generate a $4.90 premium that
matches the insurance rate.
California Disability Insurance
Verno Terra will provide disability insurance for those who are eligible. Based on the
severity of the disability, our company will offer a weekly amount of $51 up to $1,104
with a maximum weekly allowance for up to 39 weeks. Individuals eligible are those
unable to do their regular work for at least eight consecutive days, who are actively
working when they become disabled, must have earned $300 from deductions through
the State Disability Insurance, must submit a claim form within 49 days of the date
they were disabled, and the individual’s practitioner must complete a medical
certification for their disability.
Required Covered Leave
Verno Terra acknowledges and respects those who need time off to vote, serve jury
duty, or go on military leave. Under Federal law we give adequate time off for those
who need to serve or complete these actions and requirements.
42

Performance Improvement Form
Employee’s Name:
Job Title:
Review Date:
Supervisor’s Name:
Major Accomplishments:
Areas for Improvement:
Training and Development Plan:
Employee Comments:
Employee Signature:
Supervisor Signature:
Owner Signature:
43

Self Performance Improvement Form
Name:
Job Title:
How long have you held this position?
Rate this past year:
1 2 3 4 5 6 7 8 9 10
What are some thing you have achieved in this past year?
What were some of the drawbacks?
State some goals you had set:
1.
2.
3.
Rate you job satisfaction
1 2 3 4 5 6 7 8 9 10
Do you feel your achievements were recognized and rewarded?
What are some things Verno Terra can do to make your working environment better?
44

Performance Improvement Schedule
With the performance appraisal schedule, the owners of Verno Terra believe that we
can make the working environment at our business a successful one. By having the
above schedule, Verno Terra ensures an easier communication system with its
employees and a more competitive goal setting business. The owners will use this tool
to identify the top performing employees to further help them develop into stronger,
more successful workers.
45

Intolerable Offenses
Some acts that constitute as intolerable for Verno Terra would include sleeping on the
job, fighting or and unruly violence, refusing to follow superior’s orders, stealing,
destroying company property, and sexual harassment. If an employee is found doing
any of the above things, they will immediately be terminated from Verno Terra with no
prior warnings or notices. Upon termination, the employee will have to fill out the
employee incident report for filing at Verno Terra.
Major Offenses
Some acts that constitute as major offenses at Verno Terra would include breaking
dress code, consistently being late to work, not notifying your superiors if you will be
late or are not going to make it to your shift, being rude to the customers, and failing to
cooperate with fellow co workers. If an employee is found doing any of the above
things, they will receive a first-offense, written warning and they must fill out an
employee incident report. If the act is committed a second time, the employee will be
terminated from their job without any other warnings and they must fill our the
employee incident report for explanation of dismissal.
46

Minor Offenses
Some acts that would constitute as minor offenses at Verno Terra would include lying,
using foul language, giving away free food or beverages to the customers, going on
their phone during their shift, asking customers for a tip, or unsatisfactory work
performance. If an employee is found doing any of the above things, they will receive a
first-offense, verbal warning and they will be required to fill out an employee incident
report. If they are caught doing the act a second time, they will receive a second-
offense, written notice and they must fill out the employee incident report. If they are
caught doing the act a third time, the employee will be terminated from their position
at Verno Terra indefinitely and they will fill out the employee incident report before
leaving.
47

Employee Incident Report
Date:
Employee Name: Supervisor Name:
Incident Date, Time, and Location:
Description of Incident:
Employee Explanation:
Witnesses:
Action to be taken:
 Verbal warning
 Written warning
 Termination
Explanation:
By signing this document, you acknowledge that you have read and understood the
information above
Employee Signature: Supervisor Signature:
Date: Date:
48

Safety Policies
1. Safely Operate Equipment: Wear proper gear and follow manufacturer's
instructions
2. Wash Hands Frequently: Wash hands with warm water after contact with any food,
dirty dishes, and equipment.
3. Take Care to Avoid Falls: Clean up spills immediately and wear non-slip, black
tennis shoes
4. Wear Proper Uniform: Includes a Verno Terra shirt, apron, and hat or visor.
Employees must wear hair nets while handling food.
5. Maintain Clean Personal Hygiene: All eating, drinking, smoking, sneezing, or
coughing will be kept away from food-prep areas. Gloves will be used while
handling food.
6. Use Caution with Hot Surfaces and Sharp Edges: Take proper precautions and wear
extra protection when around high temperatures areas or objects with sharp edges.
7. Minimize Strains and Sprains: Employees will be trained with proper lifting
techniques and how to eliminate workplace injuries.
8. Handle Hazardous Chemicals with Care: Read the Material Safety Data Sheets
specific for each product and read the labels.
9. Prepare for Emergencies: Know all the action plans for all accidents, natural
disasters, violent situations, etc. that may happen at the workplace
49

Appendix
Questions to Ask Before Hiring:
 What specific tasks will be involved with this job?
 What skills will the employee need in order to have these skills?
 What experience will be required in order to have these skills?
 Will a certain level of education be required?
 What personal characteristics will this person need? Will he or she deal with
people in a customer service capacity, or will the job require attention to detail, as
in bookkeeping or billing?
 What physical requirements will be needed? Will this person have to stand for
long periods? Will he or she need to lift heavy objects? Will this person need to
drive?
 What kinds of equipment of machines will this person need to operate?
 What amount of pay will you provide? Will the person be paid weekly? Monthly?
Hourly?
 What are the hours for this position? What days will the person be required to
work? Is evening or weekend work required?
 What benefits will you provide?
50

Appendix
New Hire Application:
51

Appendix
Employee Hiring Letter:
Date
Name
Address
Dear ________________________,
It is my pleasure to extend the following offer of employment to you on behalf of Verno
Terra. This offer is contingent upon your passing our mandatory drug screen, our
mandatory background check, and any other contingencies you may wish to state.
Title: ___________________________________
Reporting Relationship: The position will report to:
Employee Rejection Letter:
Date
Name
Address
Dear _______________________,
Thank you for taking the time to come into Verno Terra to interview with our
recruitment officers. We enjoyed meeting you and our conversations.
You have not been selected for the position, at this time. We encourage you to apply for
positions, for which you qualify, with Verno Terra in the future. While we anticipate
that an individual with your qualifications will soon find employment, we want to
emphasize that we would encourage your application in the future.
Sincerely,
Leatha King and Kaley Silva
52

Appendix
General Employment Contract:
This contract is made on ________, 20___, between _______________, Employer of Verno
Terra, City of San Francisco, CA, and Employee of ____________, City of _____________, State
of _______________.
In order for both parties to work together as a team, the Employer and the Employee agree as
follows:
1.The Employee agrees to perform the following duties and job description of: (Circle One)
Shift Manager
Cook/Prep
Busser/Dishwasher
Cashier
This is considered full-time/part-time position (Circle One)
2. The Employee will begin work on ______________, 20____. The position shall continue for
a period of _____________.
3. The Employee will be paid the following:
Hourly salary:
The Employee will also be given the following benefits:
Sick Pay:
Vacation:
Bonuses:
Retirement Benefits:
Insurance Benefits:
4. The Employee agrees to abide by all rules and regulations of the Employer at all times
while employed. In addition, they will read and agree to the company’s business plan, vision
statement, and value statement.
53

Appendix
General Employment Contract:
5. This Contract may be terminated by:
a. Breach of Contract by the Employee
b. The expiration of the Contract without renewal
c. Death of the Employee
d. Incapacitation of the Employee for more than _____ days in any one year.
6. Any dispute between the Employee and the Employer related to this Contract will be
settled by voluntary mediation. If mediation is unsuccessful, the dispute will be settled
by binding arbitration using an arbitrator of the American Arbitration Association.
7. Any additional terms of this Contract: ______________________________________
8. No modification of this Contract will be effective unless it is in writing and is signed
by both the Employer and the Employee. This Contract binds and benefits both parties
and any successors. Time is of the essence of this Contract. This document is the entire
agreement between the parties. This Contract is governed by the laws of the state of
California.
Dated: _______________
Signature of Employer: ___________________ Printed Name of
Employer:__________________
Signature of Employee___________________ Printed Name
of Employee:__________________
54

Appendix
Direct Deposit Authorization Form:
55

Appendix
Initial Employee Information Sheet:
Employee Name:
Social Security Number:
Beginning Date:
Job Title:
Pay Rate:
Trained By:
Date Training Completed:
Notes:
56

Appendix
Employee Contact Sheet:
57

Appendix
Sexual Harassment
The Fair Employment and Housing Act defines harassment because of sex as
including sexual harassment, gender harassment, and harassment based on
pregnancy, childbirth, or related medical conditions.
The Fair Employment and Housing Commission regulations define sexual
harassment as unwanted sexual advances, or visual, verbal or physical conduct of a
sexual nature. This definition includes many forms of offensive behavior and includes
gender-based harassment of a person of the same sex as the harasser. The following is
a partial list of violations:
- Unwanted sexual advances
- Offering employment benefits in exchange for sexual favors
- Making or threatening reprisals after a negative response to sexual advances
- Visual conduct: leering, making sexual gestures, displaying of suggestive objects or
pictures, cartoon or posters
- Verbal conduct: making or using derogatory comments, epithets, slurs, and jokes
- Verbal sexual advances or propositions
- Verbal abuse of a sexual nature, graphic verbal commentaries about an individual's
body, sexually degrading words used to describe an individual, suggestive or obscene
letters, notes or invitations
- Physical conduct: touching, assault, impeding or blocking movements
58

Appendix
Sexual Harassment
All employers are prohibited from harassing employees in the workplace. If
harassment occurs, an employer may be liable even if management was not aware of
the harassment. An employer might avoid liability if the harasser is a non-
management employee, the employer had no knowledge of the harassment, and there
was a program to prevent harassment. If the harasser is a non-management employee,
the employer may avoid liability if the employer takes immediate and appropriate
corrective action to stop the harassment once the employer learns about it.
Employers are strictly liable for harassment by their supervisors or agents. The
harasser can be held personally liable for damages. Additionally, Government Code
section 12940, subdivision (k), requires an entity to take "all reasonable steps to
prevent harassment from occurring." If an employer has failed to take such
preventative measures, that employer can be held liable for the harassment. A victim
may be entitled to monetary damages even though no employment opportunity has
been denied and there is no actual loss of pay or benefits.
59

Appendix
Sexual Harassment
- All employers have a legal obligation to prevent sexual harassment.
- Employers must take all reasonable steps to prevent discrimination and harassment
from occurring.
- Employers must help ensure a workplace free from sexual harassment by posting in
the workplace a poster made available by the Department of Fair Employment and
Housing.
- Employers must help ensure a workplace free from sexual harassment by distributing
to employees information on sexual harassment. An employer may either distribute a
brochure that may be obtained from the Department of Fair Employment and
Housing or develop an equivalent document, which must meet the following
requirements:
- The illegality of sexual harassment
- The definition of sexual harassment under state and federal laws
- A description of sexual harassment, utilizing examples
- The internal complaint process of the employer available to the employee
- Employers with 50 or more employees must provide at least two hours of classroom
or other effective interactive training and education regarding sexual harassment to all
supervisory employees who are employed as of July 1, 2005, and to all new supervisory
employees within six months of assuming a supervisory position. There after, covered
employers must provide sexual harassment training and education to each supervisory
employee once every two years.
60

Appendix
Title VII
Title VII of the Civil Rights Act of 1964 protects individuals against employment
discrimination on the bases of race and color, as well as national origin, sex, and
religion. Title VII applies to employers with 15 or more employees, including state and
local governments. It also applies to employment agencies and to labor organizations,
as well as to the federal government.
Equal employment opportunity cannot be denied any person because of his/her
racial group or perceived racial group, his/her race-linked characteristics (e.g., hair
texture, color, facial features), or because of his/her marriage to or association with
someone of a particular race or color. Title VII also prohibits employment decisions
based on stereotypes and assumptions about abilities, traits, or the performance of
individuals of certain racial groups. Title VII's prohibitions apply regardless of whether
the discrimination is directed at Whites, Blacks, Asians, Latinos, Arabs, Native
Americans, Native Hawaiians and Pacific Islanders, multi-racial individuals, or persons
of any other race, color, or ethnicity.
It is unlawful to discriminate against any individual in regard to recruiting, hiring
and promotion, transfer, work assignments, performance measurements, the work
environment, job training, discipline and discharge, wages and benefits, or any other
term, condition, or privilege of employment. Title VII prohibits not only intentional
discrimination, but also neutral job policies that disproportionately affect persons of a
certain race or color and that are not related to the job and the needs of the business.
61

Appendix
Equal Pay Act
The right of employees to be free from discrimination in their compensation is protected
under several federal laws, including the following enforced by the U.S. Equal Employment
Opportunity Commission (EEOC): the Equal Pay Act of 1963, Title VII of the Civil Rights Act
of 1964, the Age Discrimination in Employment Act of 1967 and Title I of the Americans with
Disabilities Act of 1990.
The Equal Pay Act requires that men and women be given equal pay for equal work in the
same establishment. The jobs need not be identical, but they must be substantially equal. It is
job content, not job titles, that determines whether jobs are substantially equal. Specifically,
the EPA provides:
Employers may not pay unequal wages to men and women who perform jobs that require
substantially equal skill, effort and responsibility, and that are performed under similar
working conditions within the same establishment.
Pay differentials are permitted when they are based on seniority, merit, quantity or quality
of production, or a factor other than sex. These are known as "affirmative defenses," and it is
the employer's burden to prove that they apply.
In correcting a pay differential, no employee's pay may be reduced. Instead, the pay of the
lower-paid employee(s) must be increased.
Title VII, the ADEA and the ADA prohibit compensation discrimination on the basis of
race, color, religion, sex, national origin, age or disability. Unlike the EPA, there is no
requirement under Title VII, the ADEA or the ADA that the claimant's job be substantially
equal to that of a higher-paid person outside the claimant's protected class, nor do these
statutes require the claimant to work in the same establishment as a comparator.
62

Appendix
Age Discrimination Act
The Age Discrimination Act of 1975 prohibits discrimination on the basis of age in
programs and activities receiving federal financial assistance. The Act, which applies to
all ages, permits the use of certain age distinctions and factors other than age that
meet the Act's requirements. The Age Discrimination Act is enforced by the Civil
Rights Center.
The Age Discrimination in Employment Act of 1967 (ADEA) protects certain
applicants and employees 40 years of age and older from discrimination on the basis of
age in hiring, promotion, discharge, compensation, or terms, conditions or privileges
of employment. The ADEA is enforced by the Equal Employment Opportunity
Commission (EEOC).
Section 188 of the Workforce Investment Act of 1998 (WIA) prohibits
discrimination against applicants, employees and participants in WIA Title I-
financially assisted programs and activities, and programs that are part of the One-
Stop system, on the ground of age. In addition, WIA prohibits discrimination on the
grounds of race, color, religion, sex, national origin, disability, political affiliation or
belief, and for beneficiaries only, citizenship or participation in a WIA Title I-
financially assisted program or activity. Section 188 of WIA is enforced by the Civil
Rights Center.
63

Appendix
Pregnancy Discrimination Act
The Pregnancy Discrimination Act amended Title VII of the Civil Rights Act of
1964. Discrimination on the basis of pregnancy, childbirth, or related medical
conditions constitutes unlawful sex discrimination under Title VII, which covers
employers with 15 or more employees, including state and local governments. Title VII
also applies to employment agencies and to labor organizations, as well as to the
federal government. Women who are pregnant or affected by pregnancy-related
conditions must be treated in the same manner as other applicants or employees with
similar abilities or limitations.
An employer cannot refuse to hire a pregnant woman because of her pregnancy,
because of a pregnancy-related condition, or because of the prejudices of co-workers,
clients, or customers. An employer may not single out pregnancy-related conditions
for special procedures to determine an employee's ability to work. However, if an
employer requires its employees to submit a doctor's statement concerning their
inability to work before granting leave or paying sick benefits, the employer may
require employees affected by pregnancy-related conditions to submit such
statements. Any health insurance provided by an employer must cover expenses for
pregnancy-related conditions on the same basis as costs for other medical conditions.
An employer need not provide health insurance for expenses arising from abortion,
except where the life of the mother is endangered.
64

Appendix
Immigration Reform and Control Act
In 1986, Congress reformed U.S. immigration laws and enacted the Immigration
Reform and Control Act of 1986 (IRCA). This Act provided that all employers verify
the identity and employment eligibility of each person hired, complete and retain a
Form I-9 for each employee, and refrain from discriminating against individuals on the
basis of national origin or citizenship.
General Provisions
It is unlawful:
1. To hire any individual without complying with the requirements described below
regarding verification of status and production and examination of documents, or
to hire an alien when the employer knows, or should know, that he is an
unauthorized alien.
2. An “unauthorized alien” is an alien who is neither lawfully admitted to the U.S.
for permanent residence nor authorized by this Act or the Attorney General to be
employed.”
3. To continue to employ an individual, even though he had been lawfully hired,
when the employer knows, or should know, that he is or has become an
unauthorized alien.
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Appendix
Family Medical Leave Act
Public and private sector employees who have been employed by the employer for
one year and work at least 1,250 hours (25 hours a week) can take up to 12 weeks of
unpaid leave* in any 12 month period for: the birth or adoption of a child; acquiring a
foster child; the serious illness of a child, spouse, or parent; and, the serious illness of
the employee.
Companies with fewer than 50 employees are not required to provide Family and
Medical Leave. The right to take leave applies equally to male and female workers who
are employed at or within 75 miles of the work place by an employer of 50 or more
workers. Leave can be taken intermittently, is subject to employer approval, and does
not result in a reduction in the total amount of leave to which the employee is entitled.
- When husband and wife work for the same employer, the total amount of leave that
they may take is limited to 12 weeks if they are taking leave for the birth or adoption of
a child or to care for a sick parent. An employee may elect or an employer may require
the employee to substitute categories of paid leave, such as accrued time off or
vacation time, for any part of the 12-week period.
The employer maintains any pre-existing health insurance for the duration of the
leave and at the level and under the same conditions coverage was provided prior to
commencement of the leave. Employers can ask the employee to cover his/her share of
the premiums. Employers are not required to continue benefits like life and disability
insurance but cannot require employees to requalify for benefits. The employee must
be restored to the original or an equivalent position with equivalent benefits, pay, and
all other terms and conditions of employment.
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ABM 402 Policy Book

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