Hiring New Employees in Utah: Legal Guidelines for Employers

Develop a clear job description that outlines the position's responsibilities, required qualifications, and essential functions. Ensure the description complies with Utah employment laws and doesn't contain discriminatory language. This will serve as the foundation for your hiring process.

Advertise the position through appropriate channels and collect Employment Application Forms from candidates. Utah is an at-will employment state, but your application should still avoid questions about protected characteristics (race, religion, age, etc.) to comply with anti-discrimination laws.

Create an application form that collects necessary information while complying with Utah employment laws. Avoid questions about protected characteristics. Include authorization to check references and verify employment history. Include a statement about Utah's at-will employment doctrine.

Interview qualified candidates and select the best fit for the position. Ensure interview questions comply with anti-discrimination laws and focus on job-related qualifications. Document your selection process to demonstrate non-discriminatory hiring practices.

Create a form that complies with the Fair Credit Reporting Act (FCRA) and Utah law for conducting background checks. Obtain written consent from the candidate before conducting any background checks. Be aware that Utah follows federal guidelines for background checks.

After receiving signed authorization, conduct appropriate background checks in compliance with FCRA and Utah law. Wait for results before making a final offer. In Utah, employers can consider criminal history but should evaluate its relevance to the specific job.

Draft an offer letter that includes position title, start date, compensation, benefits, and employment conditions. Clearly state that employment is at-will (unless offering a contract position). Include any contingencies such as background check clearance or drug testing.

If offering a contract position rather than at-will employment, draft a comprehensive employment contract. Include terms of employment, compensation, benefits, termination conditions, and any restrictive covenants. Have legal counsel review the contract to ensure compliance with Utah law.

Create an NDA to protect your company's confidential information. Ensure it's reasonable in scope and duration to be enforceable under Utah law. The agreement should clearly define what constitutes confidential information and the employee's obligations regarding this information.

If necessary for your business, draft a non-compete agreement. In Utah, non-competes are limited to one year post-employment under the Post-Employment Restrictions Act. Ensure the agreement is reasonable in geographic scope and necessary to protect legitimate business interests.

Federal law requires completion of Form I-9 to verify identity and employment authorization. The employee must complete Section 1 on or before their first day of work. As the employer, you must complete Section 2 within 3 business days of the employee's first day. Retain the form for the required period.

Have the employee complete a federal W-4 form to determine federal income tax withholding. This form must be completed before the first payroll processing. Keep the completed form in the employee's file.

Have the employee complete Utah's state tax withholding form (TC-40). This determines state income tax withholding amounts. Utah has a flat income tax rate, but employees can still adjust withholding based on exemptions and filing status.

Create a form for employees to authorize direct deposit of their paychecks. Include fields for bank account and routing numbers. While direct deposit is not mandatory in Utah, it's a common practice that benefits both employers and employees.

Utah law requires employers to report new hires to the Utah Department of Workforce Services within 20 days of hire. This can be done online through the Utah New Hire Registry. Failure to report can result in penalties.

Create or update your employee handbook to include company policies, procedures, and expectations. Include information on Utah-specific employment laws, such as final paycheck requirements (within 24 hours if fired, next regular payday if quit) and workers' compensation. Have employees acknowledge receipt.

Create a form to collect emergency contact information from the new employee. This is not legally required but is a best practice for workplace safety and emergency preparedness.

Prepare forms for enrolling the employee in company benefits programs (health insurance, retirement plans, etc.). Include information about eligibility requirements and enrollment deadlines. Utah doesn't mandate specific benefits beyond those required federally, but if offered, proper documentation is essential.

Utah law requires all employers to carry workers' compensation insurance. If you haven't already, register with the Utah Labor Commission and obtain coverage through a private insurance carrier, the Workers' Compensation Fund (WCF), or by qualifying as a self-insured employer.

If not already registered, sign up with the Utah Department of Workforce Services for unemployment insurance. All employers in Utah must participate in the unemployment insurance program and pay the applicable taxes.

Utah and federal law require certain notices to be displayed in the workplace. These include federal posters (minimum wage, FMLA, OSHA) and Utah-specific posters (workers' compensation, unemployment insurance, anti-discrimination). Ensure these are posted in a location visible to all employees.

Schedule and conduct an orientation session for the new employee. Review company policies, safety procedures, and job expectations. Have the employee sign acknowledgments for receipt of the employee handbook and completion of required forms.

Add the new employee to your payroll system. Ensure proper tax withholding based on their W-4 and Utah state withholding forms. Utah requires at least monthly pay periods, and pay stubs must include specific information about hours, rates, and deductions.

Stay informed about Utah's employment laws, including minimum wage ($7.25/hour, same as federal), overtime requirements, break requirements (no state-mandated breaks beyond federal requirements), and anti-discrimination provisions. The Utah Antidiscrimination Act prohibits discrimination based on race, color, sex, pregnancy, age, religion, national origin, disability, sexual orientation, or gender identity.