This guide provides employers with information on insurance coverage, child labor laws, and recommended steps for reducing potential liabilities that may occur by having students at the employer's site. The guide first covers employer liability issues and school Certificates of Insurance. The next part is organized to address employer concerns associated with the School-to-Careers initiative under the following three broad categories of structured work-based learning activities taking place at a work site: (1) school-sponsored career awareness/exploration activities in which students are not paid by the employer; (2) school-sponsored nonpaid career development types of structured-learning experiences; and (3) school-sponsored career development types of structured learning experiences in which students are paid by the employer while learning skills on the job. Under each of these categories are recommended steps for reducing employer liabilities. The final section includes information on the following other employment-related topics: (1) employment discrimination; (2) employment eligibility verification; (3) income tax; (4) health and accident insurance; (5) minimum wage; (6) occupational safety and health; (7) records requirements; (8) sexual harassment; (9) transportation; (10) unemployment insurance (11) violations of child labor laws; and (12) workers' compensation. Appendixes include a synopsis of child labor laws, statement of principle, student health and safety guide, Workers' Compensation Law, and a sample certificate of insurance. (YLB)