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34 The Jewelry Business Magazine Continued to Pg 44 Wrongful refusal to employ a qualified applicant Following the same screening interviewing and hiring procedures for every applicant is important. A consistent and documented hiring practice can help remove any unintentional biases and will assist you in hiring the applicant that suits your business the best. If a wrongful refusal to employ claim were made you would then be able to show the process you went through and provide a rational explanation for the decision to not hire a qualified applicant. Wrongful deprivation of career opportunity demotion evaluation reassignment or discipline Much like your hiring process your review process with all employees must be consistent and well-documented. Holding regular performance reviews with your employees is not only critical for a healthy and productive workplace but it also helps employees understand their responsibilities and your expectations. Clarifying the criteria on which theyre being evaluated can make their jobs more satisfying and allows managers to systematically determine if the time is right to provide an opportunity demotion reassignment or disciplinary action. Once again a documented process can provide a strong argument against any claims like these that are made. Wrongful termination Your businesss ability to document performance reviews and clearly communicate with staff is essential if a situation arises that may lead to termination or other disciplinary action. Addressing issues early on and explaining the potential implications of not meeting certain standards will help eliminate the possibility of a lawsuit. The most difficult part of the termination process is when you have to inform an employee of their dismissal. When doing so always be respectful but make the reasons for their departure known. Your previous communications and documented performance reviews are intended to make this unsurprising to the employee if they have not achieved certain standards. Unlawful work-related harassment coercion discrimination or humiliation Stay up to date on any applicable federal state or local statutes that create a protected class. For example there have been manymilestonepiecesoflegislationatthefederallevelsuchas The Equal Pay Act of 1963 If men and women perform equal work in the same workplace it is illegal to pay them different wages. Title VII of the Civil Rights Act of 1964 Ultimately a persons race color religion national origin or sex cant be the basis of discrimination. Also unless it poses problems to business operations employers must reasonably accommodate the sincere religious beliefs of their employees and applicants. David Sexton David Sexton is vice president of loss prevention consulting at Jewelers Mutual Insurance Company. Headquartered in Neenah Wis. Jewelers Mutual is the only insurance company in the U.S. and Canada that specializes exclusively in protecting the jewelry industry and individuals jewelry. COMMON EMPLOYEE LAWSUITS AND TIPS TO PREVENT THEM By David Sexton Evenifyouhaveemploymentpracticesliabilitycoveragethetime-consuming litigation process and negative perception cast upon your business during an employment practices lawsuit can be dreadful. Unfortunately in todays litigious society such lawsuits are becoming more common and can significantly impact business owners especially small businesses that dont have the benefit of staffing dedicated human resources or legal professionals. However being proactive and adopting proper hiring firing and employee relation procedures can help develop a workplace where these lawsuits are less likely to occur. Implement these important tips into your employee practice procedures Unfortunately in todays litigious society such lawsuits are becoming more common and can significantly impact business owners