Puerto Rico Personnel File Inspection Requirements for Companies
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FAQ
Section 403 of PROMESA modified Section 6(g) of the Fair Labor Standards Act (FLSA) to allow employers to pay employees in Puerto Rico who are under the age of 25 years a subminimum wage of not less than $4.25 per hour for the first 90 consecutive calendar days after initial employment by their employer.
To comply with the law, employers must: Verify the identity and employment authorization of each person they hire; Complete and retain a Form I-9, Employment Eligibility Verification, for each employee; and. Refrain from discriminating against individuals on the basis of national origin or citizenship.
Federal law requires that every employer who recruits, refers for a fee, or hires an individual for employment in the U.S. must complete Form I-9, Employment Eligibility Verification. Form I-9 will help you verify your employee's identity and employment authorization.
Companies looking to hire workers from Puerto Rico must comply with Public Law 87. It requires employers who are recruiting on the island to obtain authorization by the Secretary of Labor and Human Resources of Puerto Rico, according to Odemaris Chacon, a labor attorney with Estrella, based in Puerto Rico.
Employers must complete and sign Section 2 of Form I-9, Employment Eligibility Verification, within 3 business days of the date of hire of their employee (the hire date means the first day of work for pay).
From an employment law perspective, this means federal statutes such as Title VII, FLSA, ADA, ADEA, FMLA, USERRA, OSHA, ERISA, COBRA, among others, apply to Puerto Rico.
Failing to timely complete an I-9 for employee or doing a really bad job of it can result in fines of $110 to over $1000 per employee for the first infraction. These fines impact large and small business alike.
Employment law in Puerto Rico is covered both by U.S. labor law and Puerto Rico's Constitution, which affirms the right of employees to choose their occupation, to have a reasonable minimum salary, a regular workday not exceeding eight hours, and to receive overtime compensation for work beyond eight hours.
$6.55 / hour Puerto Rico's state minimum wage rate is $8.50 per hour. This is greater than the Federal Minimum Wage of $7.25. You are entitled to be paid the higher state minimum wage.
Pursuant to the Immigration Reform and Control Act of 1986 (IRCA), Employers are required to complete and retain an I-9, Employment Eligibility Verification for each employee who is hired for employment, with limited exceptions which will be discussed below.
