Hiring New Employees in Georgia: Legal Guidelines for Employers
Hiring new employees in Georgia requires compliance with both federal and state-specific employment laws. Georgia employers must navigate proper classification, complete required documentation, adhere to wage and hour laws, and understand the state's at-will employment doctrine.
Failure to comply with Georgia's employment laws can result in significant penalties, including fines and potential lawsuits. Ensuring proper documentation and classification from the start creates a legally sound foundation for the employer-employee relationship.
Key Considerations
Scenarios
Decisions
Scenarios
Decisions
Scenarios
Decisions
Relevant Documents
Employee Handbook
A comprehensive document outlining company policies, procedures, work rules, benefits, and expectations. Provides important information to new employees and serves as a reference for all staff.
Employment Application Form
A standardized form for collecting information from job applicants including work history, education, skills, and references. This helps employers make informed hiring decisions and serves as documentation of the hiring process.
Employment Contract
A comprehensive legal agreement between employer and employee detailing all terms and conditions of employment including duties, compensation, benefits, termination procedures, and confidentiality requirements.
Employment Offer Letter
A formal document outlining the terms of employment including position, salary, benefits, start date, and other conditions. This establishes clear expectations and serves as evidence of the employment agreement.
Non-Compete Agreement
A contract that restricts an employee from working for competitors or starting a competing business for a specified period after employment ends. Enforceability varies significantly by state.
Non-Disclosure Agreement
Protects your confidential information, trade secrets, and intellectual property that you may need to share with the manufacturer during the course of your relationship. This should be signed before detailed discussions begin.
Relevant Laws
Georgia Fair Employment Practices Act
This law prohibits discrimination in employment based on race, color, religion, national origin, sex, disability, or age. When hiring in Georgia, employers must ensure their hiring practices do not discriminate against protected classes.
Georgia E-Verify Requirements
Georgia employers with more than 10 employees must use E-Verify to confirm the employment eligibility of all new hires. This verification must be completed within 3 business days after the employee's hire date.
Georgia New Hire Reporting
Georgia law requires all employers to report newly hired employees to the Georgia New Hire Reporting Center within 10 days of their hire date. This helps the state enforce child support obligations.
Georgia Workers' Compensation Act
Employers with three or more employees must provide workers' compensation insurance coverage. New employees should be informed about their rights under this law and procedures for reporting workplace injuries.
Georgia Minimum Wage Law
While Georgia's state minimum wage is $5.15 per hour, most employers must follow the federal minimum wage of $7.25 per hour. Employers must inform new hires of their wage rate and pay schedule.
Georgia Right to Work Law
Georgia is a 'right-to-work' state, meaning employees cannot be required to join a union or pay union dues as a condition of employment. This affects how employers can discuss union membership with new hires.
Regional Variances
Major Metropolitan Areas
Atlanta has additional local ordinances affecting employment, including a ban-the-box ordinance that prohibits criminal history questions on initial job applications for positions with the city. Private employers in Atlanta with 10+ employees must also comply with a $15 minimum wage ordinance for city contractors.
Savannah has specific local licensing requirements for certain businesses and professions that may affect hiring processes. Employers in the tourism and hospitality sectors face additional seasonal employment regulations.
County-Specific Regulations
Fulton County has implemented additional anti-discrimination protections beyond state law, including protections based on sexual orientation and gender identity for county employees and contractors.
DeKalb County has a local E-Verify requirement that applies to all businesses with more than 5 employees, which is stricter than the state requirement that applies to businesses with 10+ employees.
Special Economic Zones
Businesses operating in the Port of Savannah area may qualify for special tax incentives when hiring local residents. These incentives require specific documentation during the onboarding process and may affect how employment eligibility is verified.
Georgia has designated Opportunity Zones throughout the state where businesses may receive tax benefits for hiring local residents. Employers in these zones must maintain additional documentation for new hires to qualify for these incentives.
Suggested Compliance Checklist
Prepare job description and posting
1 days after startingCreate a clear job description that outlines the position's responsibilities, required qualifications, and compensation. Ensure the job posting complies with Georgia's anti-discrimination laws and does not include any language that could be interpreted as discriminatory based on protected characteristics.
Create Employment Application Form
3 days after startingDevelop an application form that collects necessary information from candidates while complying with Georgia employment laws. Avoid questions about age, race, religion, national origin, disability, or other protected characteristics. Include a statement about being an equal opportunity employer.
Conduct interviews and select candidate
14 days after startingInterview qualified candidates and select the best fit for the position. Ensure all interview questions comply with anti-discrimination laws. Document the selection process and reasons for hiring decisions to protect against potential discrimination claims.
Prepare Employment Offer Letter
16 days after startingDraft an offer letter that includes the position title, start date, compensation, benefits, and employment classification (full-time, part-time, exempt, non-exempt). In Georgia, employment is generally at-will unless specified otherwise, so consider including an at-will employment statement.
Draft Employment Contract (if applicable)
16 days after startingIf offering more than at-will employment, prepare a formal employment contract. Georgia follows the employment-at-will doctrine, but employers may choose to offer contracts with specific terms. Include details about job duties, compensation, benefits, term of employment, grounds for termination, and dispute resolution procedures.
Prepare Non-Disclosure Agreement
16 days after startingCreate an NDA to protect your company's confidential information and trade secrets. Georgia courts generally enforce reasonable NDAs. Ensure the agreement clearly defines what information is considered confidential and the employee's obligations regarding this information.
Prepare Non-Compete Agreement (if applicable)
16 days after startingIf necessary, draft a non-compete agreement. In Georgia, non-compete agreements must be reasonable in time, geographic area, and scope of prohibited activities. Since 2011, Georgia law (O.C.G.A. § 13-8-50) has been more employer-friendly regarding enforcement of non-competes, but they still must be carefully drafted to be enforceable.
Prepare Background Check Authorization Form
16 days after startingCreate a form that complies with the Fair Credit Reporting Act (FCRA) and Georgia law for conducting background checks. Obtain written consent from the candidate before conducting any background checks. The form should clearly disclose that a background check will be performed and how the information will be used.
Conduct background check
21 days after startingAfter receiving signed authorization, conduct background checks in compliance with federal and Georgia laws. If you decide not to hire based on information in the background check, follow FCRA adverse action procedures, including providing pre-adverse action and adverse action notices.
Register with Georgia Department of Labor
23 days after startingIf this is your first employee in Georgia, register with the Georgia Department of Labor for unemployment insurance. All employers must register within 30 days of becoming liable for unemployment insurance tax.
Register with Georgia Department of Revenue
23 days after startingRegister with the Georgia Department of Revenue for state income tax withholding if this is your first employee. You'll need to obtain a Georgia withholding tax number.
Obtain workers' compensation insurance
25 days after startingGeorgia law requires employers with three or more employees to carry workers' compensation insurance. Even if you're hiring your first employee, it's advisable to obtain coverage. Contact the Georgia State Board of Workers' Compensation for more information.
Complete Form I-9 Employment Eligibility Verification
33 days after startingFederal law requires all employers to verify employment eligibility using Form I-9. The employee must complete Section 1 on or before their first day of work. You must complete Section 2 within 3 business days of the employee's start date by examining acceptable documents that establish identity and employment authorization.
Have employee complete Form W-4
33 days after startingHave the new employee complete a federal W-4 form to determine federal income tax withholding. This form should be kept in the employee's file and used to calculate proper tax withholding.
Have employee complete Georgia state tax withholding form (G-4)
33 days after startingHave the employee complete Georgia Form G-4 for state income tax withholding. If the employee doesn't complete this form, you must withhold at the highest rate.
Complete New Hire Reporting
40 days after startingFederal and Georgia law requires employers to report new hires to the Georgia New Hire Reporting Center within 10 days of hire. This information is used primarily to enforce child support obligations. Report can be submitted online through the Georgia Department of Human Services website.
Provide Direct Deposit Authorization Form
33 days after startingIf offering direct deposit, provide a form for the employee to authorize electronic deposits and provide their banking information. In Georgia, employers cannot require direct deposit unless they offer an alternative payment method.
Collect Emergency Contact Information
33 days after startingHave the employee provide emergency contact information. This is not legally required but is a best practice for workplace safety and emergency preparedness.
Provide Benefits Enrollment Forms
33 days after startingIf offering benefits such as health insurance, retirement plans, or other voluntary benefits, provide the necessary enrollment forms. Explain enrollment deadlines, waiting periods, and coverage details.
Prepare Employee Handbook
30 days after startingCreate an employee handbook that outlines company policies, procedures, and expectations. Include policies on equal employment opportunity, anti-harassment, attendance, leave, benefits, discipline, and other important topics. Georgia-specific policies should address wage payment methods, final pay requirements, and at-will employment status.
Display required workplace posters
30 days after startingFederal and Georgia law require employers to display certain posters in the workplace. These include federal posters (minimum wage, FMLA, OSHA, etc.) and Georgia-specific posters (workers' compensation, unemployment insurance, etc.). Posters should be displayed in a conspicuous location accessible to all employees.
Conduct new employee orientation
33 days after startingProvide orientation for the new employee covering company policies, procedures, safety protocols, and job-specific training. Document the orientation to demonstrate compliance with training requirements.
Set up payroll system
30 days after startingEnsure your payroll system is set up to properly calculate and withhold federal and Georgia state taxes, Social Security, and Medicare. Georgia requires employers to pay employees at regular intervals and provide pay stubs with specific information.
Establish recordkeeping system
35 days after startingSet up a system to maintain required employment records. Federal and Georgia laws require employers to keep various records, including payroll records, tax forms, time records, and personnel files. Most records must be kept for at least 3 years.
Task | Description | Document | Days after starting |
---|---|---|---|
Prepare job description and posting | Create a clear job description that outlines the position's responsibilities, required qualifications, and compensation. Ensure the job posting complies with Georgia's anti-discrimination laws and does not include any language that could be interpreted as discriminatory based on protected characteristics. | - | 1 |
Create Employment Application Form | Develop an application form that collects necessary information from candidates while complying with Georgia employment laws. Avoid questions about age, race, religion, national origin, disability, or other protected characteristics. Include a statement about being an equal opportunity employer. | Employment Application Form | 3 |
Conduct interviews and select candidate | Interview qualified candidates and select the best fit for the position. Ensure all interview questions comply with anti-discrimination laws. Document the selection process and reasons for hiring decisions to protect against potential discrimination claims. | - | 14 |
Prepare Employment Offer Letter | Draft an offer letter that includes the position title, start date, compensation, benefits, and employment classification (full-time, part-time, exempt, non-exempt). In Georgia, employment is generally at-will unless specified otherwise, so consider including an at-will employment statement. | Employment Offer Letter | 16 |
Draft Employment Contract (if applicable) | If offering more than at-will employment, prepare a formal employment contract. Georgia follows the employment-at-will doctrine, but employers may choose to offer contracts with specific terms. Include details about job duties, compensation, benefits, term of employment, grounds for termination, and dispute resolution procedures. | Employment Contract | 16 |
Prepare Non-Disclosure Agreement | Create an NDA to protect your company's confidential information and trade secrets. Georgia courts generally enforce reasonable NDAs. Ensure the agreement clearly defines what information is considered confidential and the employee's obligations regarding this information. | Non-Disclosure Agreement | 16 |
Prepare Non-Compete Agreement (if applicable) | If necessary, draft a non-compete agreement. In Georgia, non-compete agreements must be reasonable in time, geographic area, and scope of prohibited activities. Since 2011, Georgia law (O.C.G.A. § 13-8-50) has been more employer-friendly regarding enforcement of non-competes, but they still must be carefully drafted to be enforceable. | Non-Compete Agreement | 16 |
Prepare Background Check Authorization Form | Create a form that complies with the Fair Credit Reporting Act (FCRA) and Georgia law for conducting background checks. Obtain written consent from the candidate before conducting any background checks. The form should clearly disclose that a background check will be performed and how the information will be used. | Background Check Authorization Form | 16 |
Conduct background check | After receiving signed authorization, conduct background checks in compliance with federal and Georgia laws. If you decide not to hire based on information in the background check, follow FCRA adverse action procedures, including providing pre-adverse action and adverse action notices. | - | 21 |
Register with Georgia Department of Labor | If this is your first employee in Georgia, register with the Georgia Department of Labor for unemployment insurance. All employers must register within 30 days of becoming liable for unemployment insurance tax. | - | 23 |
Register with Georgia Department of Revenue | Register with the Georgia Department of Revenue for state income tax withholding if this is your first employee. You'll need to obtain a Georgia withholding tax number. | - | 23 |
Obtain workers' compensation insurance | Georgia law requires employers with three or more employees to carry workers' compensation insurance. Even if you're hiring your first employee, it's advisable to obtain coverage. Contact the Georgia State Board of Workers' Compensation for more information. | - | 25 |
Complete Form I-9 Employment Eligibility Verification | Federal law requires all employers to verify employment eligibility using Form I-9. The employee must complete Section 1 on or before their first day of work. You must complete Section 2 within 3 business days of the employee's start date by examining acceptable documents that establish identity and employment authorization. | Form I-9 Employment Eligibility Verification | 33 |
Have employee complete Form W-4 | Have the new employee complete a federal W-4 form to determine federal income tax withholding. This form should be kept in the employee's file and used to calculate proper tax withholding. | Form W-4 Employee's Withholding Certificate | 33 |
Have employee complete Georgia state tax withholding form (G-4) | Have the employee complete Georgia Form G-4 for state income tax withholding. If the employee doesn't complete this form, you must withhold at the highest rate. | State Tax Withholding Form | 33 |
Complete New Hire Reporting | Federal and Georgia law requires employers to report new hires to the Georgia New Hire Reporting Center within 10 days of hire. This information is used primarily to enforce child support obligations. Report can be submitted online through the Georgia Department of Human Services website. | New Hire Reporting Form | 40 |
Provide Direct Deposit Authorization Form | If offering direct deposit, provide a form for the employee to authorize electronic deposits and provide their banking information. In Georgia, employers cannot require direct deposit unless they offer an alternative payment method. | Direct Deposit Authorization Form | 33 |
Collect Emergency Contact Information | Have the employee provide emergency contact information. This is not legally required but is a best practice for workplace safety and emergency preparedness. | Emergency Contact Information Form | 33 |
Provide Benefits Enrollment Forms | If offering benefits such as health insurance, retirement plans, or other voluntary benefits, provide the necessary enrollment forms. Explain enrollment deadlines, waiting periods, and coverage details. | Benefits Enrollment Forms | 33 |
Prepare Employee Handbook | Create an employee handbook that outlines company policies, procedures, and expectations. Include policies on equal employment opportunity, anti-harassment, attendance, leave, benefits, discipline, and other important topics. Georgia-specific policies should address wage payment methods, final pay requirements, and at-will employment status. | Employee Handbook | 30 |
Display required workplace posters | Federal and Georgia law require employers to display certain posters in the workplace. These include federal posters (minimum wage, FMLA, OSHA, etc.) and Georgia-specific posters (workers' compensation, unemployment insurance, etc.). Posters should be displayed in a conspicuous location accessible to all employees. | - | 30 |
Conduct new employee orientation | Provide orientation for the new employee covering company policies, procedures, safety protocols, and job-specific training. Document the orientation to demonstrate compliance with training requirements. | - | 33 |
Set up payroll system | Ensure your payroll system is set up to properly calculate and withhold federal and Georgia state taxes, Social Security, and Medicare. Georgia requires employers to pay employees at regular intervals and provide pay stubs with specific information. | - | 30 |
Establish recordkeeping system | Set up a system to maintain required employment records. Federal and Georgia laws require employers to keep various records, including payroll records, tax forms, time records, and personnel files. Most records must be kept for at least 3 years. | - | 35 |
Frequently Asked Questions
When hiring a new employee in Georgia, you must complete several forms: 1) Federal I-9 Employment Eligibility Verification form within 3 days of hire, 2) Federal W-4 for tax withholding, 3) Georgia G-4 state tax withholding form, 4) New Hire Reporting form to the Georgia Department of Human Services within 10 days, and 5) Register with the Georgia Department of Labor for unemployment insurance if you're a new employer.
Yes, Georgia is an at-will employment state. This means that, absent a written contract specifying otherwise, either the employer or employee can terminate the employment relationship at any time, with or without cause, and with or without notice. However, employers still cannot terminate employees for illegal reasons such as discrimination or retaliation.
Georgia's state minimum wage is $5.15 per hour, which is lower than the federal minimum wage of $7.25 per hour. However, most employers must follow the federal minimum wage of $7.25 per hour as they are covered by the Fair Labor Standards Act (FLSA). Only employers not covered by the FLSA may pay the state minimum wage.
No, Georgia does not require written employment contracts for most positions. Employment relationships are generally at-will unless specified otherwise. However, having written offer letters or employment agreements is still recommended to clarify terms of employment, responsibilities, compensation, and benefits.
Georgia follows federal laws regarding background checks, including the Fair Credit Reporting Act (FCRA). You must obtain written consent from the applicant before conducting a background check through a third party. Georgia has also adopted 'Ban the Box' for public employers, but private employers can still ask about criminal history on applications. Be aware that any background check policies should be applied consistently to avoid discrimination claims.
Yes, Georgia employers must display several workplace posters, including: Federal minimum wage notice, Equal Employment Opportunity notice, FMLA rights (if applicable), OSHA workplace safety information, and Georgia Workers' Compensation Bill of Rights. Georgia-specific posters include unemployment insurance information and the Georgia Equal Pay for Equal Work Act notice. These must be posted in a location visible to all employees.
Georgia does not have state laws requiring employers to provide breaks or meal periods for adult employees. However, federal law requires that if short breaks (usually 5-20 minutes) are provided, they must be paid. Meal periods (typically 30 minutes or more) can be unpaid if employees are completely relieved of duties. For minors under 16, break requirements may apply under child labor laws.
Georgia does not have state-specific overtime laws, so federal rules under the Fair Labor Standards Act (FLSA) apply. Non-exempt employees must receive overtime pay at a rate of at least 1.5 times their regular rate for hours worked beyond 40 in a workweek. It's important to properly classify employees as exempt or non-exempt according to FLSA guidelines to ensure compliance.
Georgia does not have a state law requiring private employers to provide paid sick leave. However, some localities like Atlanta may have their own ordinances. Additionally, if you have 50 or more employees, you may be subject to the federal Family and Medical Leave Act (FMLA), which requires unpaid leave for qualifying reasons. Any sick leave policy you choose to offer should be clearly communicated in your employee handbook.
In Georgia, employers with three or more regular employees (including part-time workers) must carry workers' compensation insurance. This coverage must be in place from the first day employees begin work. Employers must post a notice with information about workers' compensation coverage, report workplace injuries to their insurance carrier, and file Form WC-1 with the State Board of Workers' Compensation within 21 days of knowledge of a workplace injury.