The time and money it takes to resolve an employment practices liability claim continue to rise. It is not uncommon to see claims cost companies over a year’s worth of time and several hundred thousand dollars. Consider addressing these trending issues in employment policies and handbooks.
1. Pregnancy Discrimination. The Pregnancy Discrimination Act requires employers to allow pregnant workers to perform their jobs while they are able to do so and prohibits them from using pregnancy as a factor when making hiring, firing or promotional decisions.
2. Genetic Discrimination. The Genetic Information Nondiscrimination Information Act prohibits employers from requesting genetic information about employees or using it when making any employment-related decisions.
3. Illegal Background Checks. Employers using background checks as part of their hiring processes should ensure they are following Fair Credit Reporting Act standards and any applicable state-specific laws regarding the use of credit reports. Background checks are not considered relevant to all job categories.
4. Unpaid Interns. Employers are encouraged to review their internship practices to confirm that interns should not be classified as employees who qualify for minimum wage as defined by the Fair Labor Standards Act.
Employment practices liability claims are often costly and time consuming. Employers can minimize risk of litigation by working with seasoned professionals to ensure their employment practices are compliant.