Owning a business certainly does not come easy, especially with the constantly changing federal and state employment laws that you will need to stay up to date with. Overlooking employment law regulations or failing to correctly follow them could end up seeing you have lawsuits or serious penalties brought against your business by employees. Employee lawsuits can be costly, time-consuming and could even damage your business reputation. Here are some of the main areas of employment law that it’s important to be aware of to avoid lawsuits. 

Areas of Employment Law Every Employer Should Pay Attention To

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Discrimination

Discriminating against a certain employee or group of employees, even if it is unintentional, can have serious consequences for your business. Discrimination is one of the main issues in the workplace that employees will end up taking their employer to court over. It refers to treating employees differently due to certain factors such as their race, religion, gender, sexual orientation, age, and disability among more. All employees have the right to work and be treated fairly at work regardless of these factors. If you are an employee and believe that you have suffered discrimination at work, employment lawyers (like Lotas Legal in Minneapolis) can help. 

Unfair Dismissal

Dismissing an employee from work is never a nice experience for either party, but it is unavoidable in some cases. However, before you dismiss an employee, it’s important to ensure that you have grounds to do so and have followed all the necessary steps before they are finally dismissed. An employee may be able to sue you for unfair dismissal if you did not provide them with the relevant warnings or failed to conduct disciplinary hearings in the time leading up to the dismissal, depending on the laws in your state. It’s important to be aware of what’s required and make sure that all the correct steps are followed. 

Employment Contracts

When taking on new employees, each employee should be provided with a contract that details their employment and clearly sets out what is expected from both the employee and the employer. It is always a wise idea to get legal assistance when you are drawing up contracts for your employees to make sure that everything is above board. This is especially true if you want to put certain clauses in the contract such as non-compete agreements which will prevent employees from leaving to work at certain competitors. 

Wages

Every employee expects to get paid in full and on time each time their paycheck is due. Failing to do this once might be brushed off as a mistake and easily forgotten about, but you could end up in legal trouble if your employees are always dealing with wage issues or you fail to rectify them quickly. It is important to make sure that all employees are classified correctly in terms of wages and that all hours worked are recorded accurately if paying an hourly salary. 

When running a business and hiring employees, there are several areas that could see you in legal trouble for genuine mistakes. Because of this, taking the time to get legal advice and learn more about what’s needed is important for avoiding future lawsuits.