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Employment Lawsuits: 4 Ways to Protect Your Business

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Businesses face a multitude of challenges and threats, including employment lawsuits. Upset employees may file a lawsuit against employers due to unpaid wages, discrimination, or harassment. If you are a business owner, it is important to know how to protect yourself from potential lawsuits that can severely impact your business. To help you, our Rockford business law attorneys give you tips on how to limit liability regarding employment suits.

#1: Create an Employee Handbook

A great way to avoid employment lawsuits is by creating an employee handbook. Your employee handbook should explain your business’ policies regarding termination of employment, employment-at-will statement, and a zero-tolerance policy toward discrimination and harassment. It’s best to have an experienced attorney review the handbook.

#2: Provide Training to Avoid Issues

Businesses should provide thorough training on employment-related issues to prevent employment lawsuits. For example, you should provide all of your employees with training on how to avoid harassment, discrimination, etc. Doing so can help your businesses reduce liabilities if issues arise.

#3: Document Everything

Your human resources department should also document every issue, regardless of how minor it is. If an employee discusses an issue with a superior or another employee, your human resources department should document every detail without biased opinion. You should also have the employees sign the document to acknowledge that they discussed issues with the company.

#4: Have an Open Door Policy

Allowing yourself and other superiors to have an open-door policy is a great way to avoid employment-related lawsuits. An open-door policy allows employees to feel comfortable bringing their issues to your attention. It is best to allow open communication and prevent issues from becoming potential liabilities. Not only will it help your business, but it will also help your employees feel supported.

If you are facing an employment lawsuit, contact our Rockford business law attorneys today at (815) 987-4050 to schedule a consultation!


The blog published by Reno & Zahm LLP is available for informational purposes only and is not considered legal advice on any subject matter. By viewing blog posts, the reader understands there is no attorney-client relationship between the reader and the blog publisher. The blog should not be used as a substitute for legal advice from a licensed professional attorney, and readers are urged to consult legal counsel on any specific legal questions concerning a specific situation.

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