In recent years, sexual harassment and discrimination lawsuits have been on the rise. Campaigns, such as Black Lives Matter and Me-Too movements, have spurred greater awareness of these social issues and prompted employees to sue their employers. Big company brands have paid millions in settlements to resolve the cases brought against them.
Most business consultants say it’s not a matter of if but when. Eventually, these lawsuits will come. If you run a business, you can minimize your company’s liability by implementing the following best practices in human resources management.
Extensive documentation and mandatory training
Your company must establish policies prohibiting discrimination and harassment and document the training process thoroughly. Each employee must sign a document certifying that they have undergone this training. Managers, especially, must have training beyond what regular employees receive. HR personnel should have the most intensive training of all.
Be proactive, not reactive
Cultures form from the top down to the bottom. Festering issues will infect the entire organization if not addressed immediately. Worse, retaliating against employees who try to change or challenge the negative culture can lead to worse outcomes. A 2016 study showed that plaintiffs have a higher success rate in discrimination and sexual harassment lawsuits when they can demonstrate that their employers retaliated against them.
Maximize legal resources
“An ounce of prevention is worth a pound of cure.” It may be worthwhile to seek legal guidance on employment policies, practices and other complex business transactions. If you already have an in-house counsel, an outside general counsel may be able to provide fresh insight into your company policies and documentation.