Important Steps for Avoiding Employee Lawsuits

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Important Steps for Avoiding Employee Lawsuits

As an employer, one of the worst issues to deal with is when one of your own employees is suing you. This can occur for plenty of different reasons, which is why it’s always a great idea to have a basic understanding of employment law. Hiring a great business lawyer that understands the intricacies of employment law is also a great idea for business owners. The truth is that every business will run into issues with an employee at some point or another. The difference between successful businesses and unsuccessful business lies in how they deal with these types of employment law scenarios. There are several important steps you can take for avoiding employee lawsuits. Take a look below at some of the best things you can do to avoid employee lawsuits.

1. Invest in Insurance

If you are a business owner, it’s always a good idea to insure yourself. You might want to consider a comprehensive commercial liability insurance policy to cover yourself depending on what type of business you own. Employee lawsuits can end up being extremely expensive if you aren’t covered with the right insurance. Consider your insurance plan a cost of doing business just like other necessary expenses. Don’t neglect to invest in the right insurance for your business, otherwise, you are putting your entire company at risk with employee lawsuits. This is definitely one of the most important steps to avoiding employee lawsuits.

2. Seek Legal Counsel on Laws, Rules, and Regulations

Another great way to protect your business from employee lawsuits is to hire a great business lawyer. You want someone that is professional and experienced with employment law. That way, you can learn all of the laws, rules, and regulations to follow as an employer. There are plenty of laws out there about hiring new employees, firing existing employees, keeping the workplace safe, avoiding discrimination, and much more. Most business owners don’t have the available time to spend reading up on all of the legal jargon on their own. That’s why you want to hire a great employment law professional like the attorneys at Derryberry & Associates LLP to help you out.

3. Write Detailed Job Descriptions

Employee lawsuits often stem from misunderstandings that an employee has with relation to their responsibilities. That’s why it’s a good idea to write down detailed job descriptions for every one of the positions in your company. You want your employees to be clear about best practices, management hierarchy, and any other information that helps them understand their role within the organization. You should also try to clearly state what job success looks like and provide employees with information about performance reviews.

Avoiding employee lawsuits is an important concept for every business owner to grasp. If your employees are happy, they will be at their most productive. Remember the steps mentioned above to give yourself the best chances of avoiding employee lawsuits. You can always reach out to Derryberry & Associates LLP if you are seeking legal advice with relation to employment or business law.