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Last week, I had the pleasure of presenting at the Coral Gables Chamber of Commerce’s IMPACT Series: A Seminar Series for Small Business. The audience was comprised of business and human resources professionals across several sectors. For those of you who were not able to attend the presentation, I have included my top takeaways.

“5 Tips to Help Avoid Employment Lawsuits”

  1. HIRING
    • Be mindful that discrimination laws apply to applicants as well as employees.
    • Train your managers to avoid problematic interview questions—focus on the job requirements.
    • Make sure your offer letters are clear as to type of employment (i.e., at-will) and any other job requirements.
  2. CLASSIFICATION OF EMPLOYEES
    • This is a gray area of law.
    • Improperly classifying your workers can cause headaches with lawsuits, the department of labor, the IRS, and more.
    • Assess your contract employees’ duties for the “economic realities” of their work.
  3. POLICIES
    • Handbooks/policies are important to document employee expectations.
    • Policies should be applied consistently to be effective.
    • Training your employees on policies can help provide legal defenses in court.
  4. PAYING EMPLOYEES PROPERLY
    • FLSA requires payment of minimum wage and overtime.
    • A finding of liability can require payment of other side’s attorney’s fees.
    • Beware of “off the clock” violations, improperly classified contractors, and improperly classified exempt employees.
  5. TERMINATION
    • Documenting employee performance can win or lose cases.
    • Reason for termination must be legitimate, non-discriminatory reason (i.e., violating rules, misconduct, job elimination, etc.).
  6. BONUS – RETALIATION
    • The law protects employee’s opposition to an unlawful employment practice.
    • Protected activity could include filing a lawsuit, making a discrimination complaint, or participating in an investigation.
    • Timing is key for retaliation claims.