5 Ways To Protect Your Business From A California Employee Lawsuit

5 WAYS TO PROTECT YOUR BUSINESS FROM EMPLOYEE LAWSUIT

CaliforniaEmployerAttorney.com

[email protected]

WHO AM I?• Lifelong Business Owner/entrepreneur

• Employee issue caused me problems with an early business

• Was in the Navy

• Lawyer for 15 years; managing partner

• Focus my practice now on helping California Employers with employee issues

• We have helped hundreds of California business owners protect their business

PREPARATION IS KEY

• Its important to have systems in place!

• Have written policies and procedures for everything

• Have a policy that all employees acknowledge your procedures

• Preparation will cost you a little time and money but will be worth it

• If you are ever involved in a lawsuit you want as much evidence as possible

• Even if you are never sued, you will have more peace of mind

TIME KEEPING

#5 – ACCURATE TIME-KEEPING

• Have official time-systems in place

• Make sure your systems are electronic so they are easily retrievable

• Also make sure you keep an electronic record of paychecks

• Make sure the timekeeping and payroll data is kept secure

TERMINATIONS

#4 – PROCEDURE FOR TERMINATIONS

• California is “At-will” employment state

• Employee or employer can part ways without reason

• BUT some terminations don’t fall under “at-will”

• Wrongful Termination case can come from

• Discrimination: firing someone in a “protected class” for that reason

• Firing for taking protected time off

• Retaliation Firings

• Have Documented Set Procedures for Terminations

COMPLAINERS

#3 – GRIEVANCE SYSTEM

• Have a grievance system in place

• When an employee complains take it seriously

• Your system should include official procedures for filing complaints

• Employees have a way to report incidents to their supervisor

• If the complaint is about their supervisor they have an alternative

INDEPENDENT CONTRACTORVS

EMPLOYEE

#2 – CLASSIFY EMPLOYEES CORRECTLY

• Independent contractors

• No payroll taxes, no wage laws, do not have to pay overtime

• Employee

• Fall under all strict labor laws, overtime and mealbreaks, wages and taxes.

HAVE PROFESSIONAL HANDBOOKS

#1 EMPLOYEE HANDBOOKS

• The best & least expensive way to reduce risk of an employee lawsuit

• Many employees wont continue just because there is a handbook!

• Before filing a complaint most employees will check the handbook first

• If you have a procedure in place it may be dropped there

• Often employees misunderstand policies, need somewhere to refer to

CONCLUSION

• California leans heavily towards the employee

• There are some easy steps you can take to reduce your risk of lawsuit

• Even with procedures you can still get sued BUT better chance of winning

• Take action TODAY. Get procedures in place! Invest in an employee handbook. Best to have one drafted specifically for your business but at least get a general handbook.

• http://www.californiaemployerattorney.com/services/employee-handbooks/

CONTACT

If you are a California business owner/employer and need help with any employee issue contact us

We offer a FREE 15 Minute Consultation!

http://www.californiaemployerattorney.com/employer-attorney-land-ga1/

5757 Wilshire Blvd Penthouse #3Los Angeles, CA 90036