Employment lawsuits are continuing to increase. And it’s not just big businesses that are being sued. According to a recent study, a business in the U.S. with at least 10 employees has a 12.5% chance of having an employment claim filed against it. Now more than ever, businesses must take preventive steps to reduce their chances of being sued and, if they are sued, to put themselves in the best position to defend the claim.
Though employers are not likely to change the judicial system, they can focus on what they do control. In particular, employers should:
- Apply their policies consistently and treat similarly situated employees the same, as well as document performance and disciplinary problems.
- Consistently administer company policies and procedures, especially in disciplinary actions and terminations.
- Review their compensation and evaluation systems to make sure there is not a disparate impact on women or minorities.
- Promptly and effectively investigate complaints of harassment when they are received.
To speak with an ADP Representative about strategies to prevent lawsuits against your organization please call 1-800-447-3237.
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