CalChamber Identifies Top 10 Things Employers Do To Get Sued

By Staff Reports

(Victorville)– California has numerous labor and employment regulations that far exceed those mandated at the federal level. As a result, employers struggle with meeting the overwhelming employment requirements imposed while trying to develop and grow their businesses. The California Chamber of Commerce’s new infographic illustrates some of the mistakes that could lead to employment lawsuits.

CalChamber knows that one of the toughest tasks for an HR manager or business owner is managing risk to prevent lawsuits. Employers may unintentionally violate employment laws and never realize the risk they create for the company. Trying to provide some flexibility for an employee, saving money for the company, or just being nice are all ways that an act of kindness can become a business liability.

Below is a list of the top 10 missteps that may lead to employment lawsuits.

1. Classify all employees as exempt, whether they are or not.
2. Be nice to employees — let them work through lunch so they can take off early.
3. Make everyone an “independent contractor” because having employees is too much trouble.
4. Don’t bother providing training about harassment and discrimination to managers and supervisors. They won’t need the information.
5. Let employees decide which hours and how many they want to work each day.
6. Terminate any employee who takes a leave of absence, whatever the reason. It is too much trouble to administer leaves of absence, and who knows if the employee will return.
7. Don’t give employees their final check if they fail to return company property.
8. Provide loans to employees and deduct the money from their paycheck each pay period.
9. Use non-compete agreements to protect confidential information such as business secrets, customer lists and pricing information, and prevent employees from working for the competition.
10. Implement a “use it or lose it” vacation policy and avoid paying out all the money at termination.

For more info on avoiding mis-steps contact Lisa De La Cruz for the CalChamber free white paper.

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