Plano attorney Richard Armstrong has seen many employee lawsuits that could have been avoided by the use of some simple preventative measures.
Says Armstrong, “A popular topic at employment law seminars is how to defend a client who has been sued. What often isn’t covered is how to discourage employee lawsuits in the first place.” Few things make a business owner’s blood run cold faster than the thought of a former or existing employee filing a complaint with a government agency or bringing a lawsuit. Weathering such investigations or defending such actions are time-consuming, costly, and detrimental to morale. The employer’s objective should be to so construct and administer his business that an opposing lawyer or government agency will conclude that legal action is just not worth the effort. Following are a few things Mr. Armstrong suggests a business owner can put in place.
1. Institute and apply policies fairly. It may sound trite, but even-handedness in the treatment of employees goes a long way. Because “fairness” is a fluid term based as much on perception as on reality, have some simple, easily understood employment policies written down and then apply them uniformly with all employees.
2. Adopt a zero tolerance harrassment policy. The worst thing an employer can do is look the other way when an employee complains of harrassment by another employee (sexual or otherwise). The simmering pot will eventually boil over with a vengeance. Unless you have a secret desire to face a scathing cross-examination about why you allowed such things to continue, we suggest adopting a clearly stated no harrassment policy. Just as importantly, keep an open door atmosphere so that employees do not feel intimidated about reporting suspected incidents.
3. Have employees sign a contract. The principal advantage of signing a contract is that, if properly done, it provides the quid pro quo for certain measures you may want to enforce against employees when they leave. An added benefit is the clear description of things like employee duties, termination and notice policy, and severence benefits.
4. Adopt Effective Hiring Procedures. Lawsuits based on “negligent hiring” can be averted by utilizing appropriate applicant screening procedures. A properly structured application and interview process provides sufficient raw material to do a background check. These also will help assess an applicant’s trustworthiness. Be careful not to place too much emphasis on arrests that do not result in a conviction, and give the applicant an opportunity to explain such incidents.
5. Exercise Careful Oversight of Supervisors. New supervisors should be screened, even if promoted from within. Ask if they have ever been named as an alleged harraser in any complaints with prior employers. Discuss problems with co-workers or subordinates, and follow up with background references. Obtain an authorization to talk meaningfully with former employers.Consider administering personality testing. Train supervisors on company policy, prohibited conduct and disciplinary procedures. Educate them on what conduct is unacceptable or prohibited. Establish comprehensive training programs on employment law. Monitor supervisors with annual performance appraisals, inluding evaluating them for compliance with company policies.
Armstrong summarized his comments by saying, “There are many other policies and processes that will help deter employee lawsuits, but these are a few that will get an employer started on the right track.”
Plano attorney Richard Armstrong and lawyers affiliated with Armstrong The Law Firm practice extensively in the area of employment law, advising employers high level employees on federal, state and regulatory law. Their attorneys are accomplished at litigating, mediating and arbitrating employment disputes.