Seven Tips for Preventing EPL Claims
Any business that has employees is a potential target for an employment practices liability (EPL) lawsuit. These lawsuits can be financially and emotionally draining for your staffing company, even if you’re ultimately found not liable. Avoiding an EPL claim requires management to be proactive by establishing a consistent methodology for employee policies, recordkeeping and dealing with your legal counsel and insurers.
Over the years, we’ve seen claims alleging that temporary employees caused fires, property damage with a forklift, hit a deer while driving a company vehicle, along with wrongful termination, whistleblowing, age discrimination…etc. While not all of these claims were paid out, it can still lower company morale and result in large litigation costs.
Tips for Preventing Successful EPL Claims
1. Investigate candidates for employment during the hiring process, but guard their private information closely.
2. Require employees to sign an “employment-at-will” policy.
3. Ensure all new and current employees receive proper training, especially safety training, for their roles.
4. Create and enforce a strict zero-tolerance policy regarding discrimination and harassment in the workplace.
5. Immediately investigate all claims of harassment and administer discipline and training as necessary.
6. Make sure your workplace policy provides at least two different methods of reporting harassment.
7. Create an employee handbook and thoroughly document all evaluations, employee complaints and situations that led to termination of employment.
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