Whether you're recruiting for a single position or preparing for a hiring surge, bringing new talent into your Texas business involves more than reviewing résumés and scheduling interviews. While the Lone Star State is known for its pro-business climate, employers still face critical compliance requirements throughout the hiring process.
By steering clear of common HR compliance pitfalls, Texas employers can reduce their legal risk and ensure smoother onboarding for new hires. At Affiliated HR & Payroll Services, our integrated talent management tools and local expertise help employers navigate these requirements with confidence.
Before You Post the Job
The compliance journey begins even before a position is advertised. Employers must align job postings with Equal Employment Opportunity Commission (EEOC) guidelines by using inclusive, non-discriminatory language. A clear, comprehensive job description outlining the essential functions of the role not only attracts the right candidates but also helps avoid legal ambiguity later.
Because Texas is an at-will employment state, it’s best practice to state this explicitly in the job description. While Texas does not currently mandate pay transparency, employers should monitor emerging laws in other states that could influence future compliance expectations, especially for multi-state businesses.
Application and Interview Pitfalls to Avoid
During the application and interview process, there are several legal landmines to avoid. Employers in Texas cannot ask about:
- Criminal history (on the application)
- Medical conditions
- Marital status
- Gender
That said, criminal background checks are allowed if the employer obtains written consent from the applicant, in accordance with the Fair Credit Reporting Act (FCRA). Drug testing is also permitted, but a written drug-free workplace policy should be provided to applicants and acknowledged in writing to ensure compliance.
Making the Offer: Documentation You’ll Need
Once an offer is extended, employers must ensure they are compliant with Texas employment, payroll, and tax regulations. Offer letters should reiterate the at-will nature of employment, include the agreed pay rate or salary, and specify FLSA exemption status where applicable.
New hires must also complete:
- Form I-9 (to verify employment eligibility)
- Form W-4 (for tax withholding), which must be filed within 20 days of hire
Under the Texas Payday Law, employers must clearly communicate paydays and adhere to timely payment practices. Employers should also meet reporting requirements under the Texas Workers' Compensation Act, even if they opt out of providing coverage.
Setting the Stage for Retention
Hiring is only the beginning. A well-structured onboarding process can reduce early turnover and reinforce a positive company culture. Every new hire should receive an employee handbook that outlines company policies, expectations, and compliance obligations under Texas law.
To ensure a seamless transition, businesses should invest in reliable HR and payroll systems. This not only aids in compliance tracking but also improves the employee experience from day one.
Stay Compliant, Build a Stronger Team
Hiring in Texas comes with unique legal and procedural obligations. From job postings and interviews to offer letters and onboarding, compliance at each stage protects your business and sets the foundation for long-term employee success. Employers that prioritize proper documentation and consistent HR practices are better equipped to attract talent and avoid costly missteps.
Leverage Expert Support and Proven Resources
Affiliated HR & Payroll Services offers dedicated hiring and compliance support tailored to the Texas business environment. Our solutions help employers streamline recruitment, reduce risk, and stay aligned with local and federal labor requirements.
For a deeper dive into Texas-specific laws and best practices, consult our Texas Business Payroll & HR Guide—your go-to resource for everything from wage laws to new hire reporting and employee classification.
Let’s Connect
Explore how Affiliated HR & Payroll can support your hiring, onboarding, and compliance strategies. Contact us today to get started.