Classification & Retention Requirements

By Messaging News staff
in

In order to be prepared, organizations need an active and comprehensive retention policy ensuring its archiving systems properly retain relevant records. Individuals chartered with the responsibility need to know where all of that email is and how to get to it when the regulators (or lawyers) come calling. Just as important, they need to know how long the regulatory timelines require the information be stored. Below is a synopsis of various timelines established by regulations that affect numerous companies.

Age Discrimination in Employment Act of 1967

Similar to the Fair Labor Standrds Act, this Act implements a three-year retention requirement for payroll and related records containing information about the employee’s identity such as the name, address, date of birth, and rate of pay. In addition, employers must keep for one year information such as job applications, resumes, or other job inquiry information. This also includes other information such as job postings.

Americans with Disabilities Act (ADA)

Requirements under the ADA mirror the requirements of Title VII of the Civil Rights Act of 1964. Generally, retention is one year.

Davis-Bacon and Copeland Act

Employers with federally funded projects should keep information for two years, including records relating to the periods of contract, pay records and work records.

Employee Polygraph Protection Act

Records relating to reasons for conducting polygraph examination and other related materials must be kept for three years.

Employment Retirement Income Security Act (ERISA)

ERISA regulations actually specify the use of electronic media for retention of records, and demand they be kept in “reasonable order and in a safe and accessible place, and in such manner as they may be readily inspected or examined (for example, the recordkeeping system should be capable of indexing, retaining, preserving, retrieving and reproducing the electronic records).” Records necessary to determine benefits to employees must be kept permanently. Welfare and pension records should be kept five years, and supporting documents for ERISA filing should be kept six years.

Equal Pay Act of 1963

In addition to having the same compliance as the Fair Labor Standard Act, an employer must preserve for two years records that relate “to the payment of wages, wage rates, job evaluations, job descriptions,” and an assortment of related records.

Fair Labor Standards Act (FLSA)

The length of time to save records under the FLSA depends on the type of records. Here’s a general breakdown:

  • Under the regulations, companies must keep “basic employment and earning records,” as well as wage rate tables and assortment of other related material for two years.
  • The employer must keep payroll records, certificates, agreements, plans and notices for three years.

Family Medical Leave Act (FMLA)

Generally, records must be kept for three years. This includes basic payroll documents, names of employees, addresses and occupations, hours worked and total compensation, among other related information. Keep in mind the FMLA also requires records be kept pertaining to employee leave taken under the FMLA, as well as any records regarding leave disputes.

Federal Acquisition Regulations (FAR) Subpart 4.7 Contractors Records Retention

Information, such as books, documents, accounting procedures, and other data, including emails, must be kept for three years after final payment under the contract.

Federal Withholding

Under the Federal Insurance Contribution Act (FICA), the Federal Unemployment Tax (FUTA) and Federal Income Tax Withholding regulations, records pertaining to federal taxes must be kept for at least four years. This includes identity and wage information.

Health Insurance Portability and Accountability Act (HIPAA) of 1996

Employers should retain various records, such policies and procedures, patient privacy data, certificates of coverage and other coverage information, for six years. Records must be kept for two years after a patient’s death.

Immigration Reform and Control Act of 1986 (IRCA)

Employers should keep for three years after date of hire (or one year after termination) information about employee’s identification and work authorization.

Labor-Management Reporting & Disclosure Act of 1959

Records, including back up and supporting documents, required by the Secretary of Labor must be kept for at least five years.

National Labor Relations Act (NLRA)

Any collective bargaining agreements, including correspondence with the union, must be kept for seven years from conclusion of contract.

Occupational Safety and Health Act (OSHA)

Generally, information should be kept for five years after the end of the year in which the information pertains (such as an accident, illness, etc.) Records for serious adverse reactions must be kept up to 30 years.

Sarbanes-Oxley Act of 2002

Generally, public companies should save business records, including email and other ESI, for five years, although the Act specifies various retention periods for different types of records.

SEC Rule 17a-3, a-4

Broker-dealers must retain comprehensive records, including emails, of securities transactions for at least six years. For the first two years they must preserve the documents in a reasonably accessible place.

Title VII of the Civil Rights Act of 1964

Any information about race or ethnicity of employees should be kept permanently and separately. Other information relating to personnel decisions, including requests for reasonable accommodation and application forms must be kept for one year. TMP

Paul D’Arcy is Director of Marketing for Dell MessageOne

Published June 1, 2008