Six Vital Steps to Prevent Discrimination Allegations

When it comes to employment discrimination claims, the outcome is always the same. The company loses. Take this example.

A well-known restaurant chain is making the evening news in cities across the United States. The company was sued by a group of female employees for years of sexual harassment by senior managers. Despite attempts to handle the situation at the various companies, the employees who complained were fired. The national attention immediately led to a drop in sales, negative social media reactions, and a boycott campaign.

Is the restaurant chain to blame? Unfortunately, it doesn’t matter when it comes to reputation and brand. Whether the demands are justified or not, the damage is already done. Don’t think that as a small business you don’t have to worry about having your reputation tarnished by a national story. In many cases, the damage is far more severe for SMEs. The loss of company morale and the departure from normal business operations can cause irreparable damage.

Purchasing EPL insurance is the first step. It protects you from worker claims of discrimination, wrongful termination, harassment and other employment law issues. However, as mentioned earlier, the damage to your company’s reputation may have already occurred.

That’s why the best way to protect yourself from discrimination claims is to prevent discrimination before it happens. Here are some of my preferred preventative measures.

Six tips for avoiding discrimination claims

1. Create an employee handbook

If you don’t already have a manual, you should start creating one immediately. A handbook outlines all of your company’s policies and procedures. For questions about pay raises, paid time off, or benefits, workers can refer to a work manual.

All new employees must sign off after receiving the handbook that they have received this document and have no questions about its contents. Of course, make sure there is a human resources department or professional employer organization that workers can contact if they have questions or concerns.

2. Training

New York City recently became the first city to pass a law specifically designed to combat sexual harassment. Part of this law requires companies to conduct annual training on preventing sexual harassment in the workplace.

Whether mandatory or not, annual training can help prevent discrimination. Many discrimination claims are intentional; others are simply due to cultural misunderstanding. Make sure employees are open to diversity through training.

3. Understand the requirements

What needs to be considered for pregnant workers and mothers returning to work? How much leave can a worker take to care for a sick family member? Under what conditions is equal pay required? If you don’t know the answers to these questions, you increase your risk of a discrimination claim.

Spend some time investigating your needs as a business. You may need to post signs, conduct training, and distribute prevention materials to your employees. After all, as a business owner, you are responsible for knowing the laws, protocols, and requirements.

4. Set a good example

If you’re the boss, sitting in the office all day won’t improve employee morale. Spend some time getting to know your staff. If you have fewer than 100 employees, know them by name. If you have more, make sure you greet everyone with a smile.

Do everything you can to create a positive work environment. This can range from installing a new coffee machine in the break room to hosting a quarterly picnic for employees and their families. In general, you should lead by example. As a supervisor, don’t make inappropriate jokes or ignore any signs of discrimination or harassment.

5. Be consistent

In the business world, you never know who is listening and who is talking. Don’t simply warn an employee for the same offense for which another employee was disciplined. Don’t allow your employees to take extra time off without giving other employees the same opportunity.

If you do something to one employee, whether negative or positive, you should do the same with another employee. It is not advisable to hide things or make deals to avoid a confrontation in the field. If this is revealed, you will be sued.

6. Don’t be afraid to ask for guidance from professionals if you’re unsure

The above tips may seem insignificant at first glance, but they are just the tip of the EPL iceberg. After all, you have a lot more information to absorb and a lot more tasks to accomplish. If you’re not an EPL expert, it’s a good idea to get help.

About Author

Lily Poole is a Property, Home Insurance officer, and business insurance broker brooklyn by profession. She is pretty well experienced in the insurance and accounting field and has an impressive profile in the training and development industry.