Happy people don’t sue … but there aren’t a lot of happy people these days, says Hunter Lott. Nevertheless, today’s economic times mean a once-in-a-business-lifetime opportunity, he says.
Lott is a consultant who specializes in helping small businesses cope with HR regulations and compliance. His suggestions came during one of his "Please Sue Me" sessions at a recent Society for Human Resource Management convention.
Style Points Count Double in Tough Times
There may not be much money to go around, but you can still treat people with respect and keep them from thinking about lawsuits. For example, Lott tells the story of one firm that had to eliminate its 401(k). It could have notified employees with an e-mail, but the company president met individually with each employee to explain the situation.
Here are some of Lott’s other "Please Sue Me" recommendations:
No ‘No Dating’ Policies
Policies that forbid dating are unenforceable, Lott says. What’s a date? Drinks after work? Is an illicit affair a date? And what about the fact that BFFs can supervise each other, and ex-spouses can supervise each other, but married people can’t? Lott recommends this for your policy:
Any relationship, on or off the job, that affects our ability to run our business, or your ability to do your job, is a valid reason for firing.
Forget About ‘Attitude’
Eliminate the word "attitude," says Lott. It’s really a code word for age, sex, race, etc. Here’s the new word, says Lott: behavior.
Simple, Practical Compliance Tips
Lott likes to give quick, easily understandable tips to managers to help them comply with complex laws. For example:
For the Genetic Information Nondiscrimination Act (GINA): Avoid prolonged, in-depth conversations about employees’ family medical history.
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For the Americans with Disabilities Amendment Act (ADAA): Review any rejected accommodations over the last several years and take necessary action.
For the Lilly Ledbetter Fair Pay Act: "This is your number one liability," says Lott. Employees have figured this one out, due in no small measure to the DOL’s movie about it. His advice: "Compare the average women’s pay to the average men’s pay, by job description, and justify gaps based on anything other than gender."
For the Healthy Families Act (HFA): To prepare for the possible passage of such an act, consider PTO. Then there’s no more dealing with excused/unexcused absence issues. You don’t work, you don’t get paid—"What a concept," he says. "How sensible is it that we allow people who aren’t sick to take ‘sick days,’ but we won’t let a mother stay home when her child is sick?"
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For the Employee Free Choice Act (EFCA): To prepare for the possible passage of such a law: 1) get closer to your employees; 2) drop the policy/practice "We do not discuss salaries at this place of work"; 3) strengthen your non-solicitation policy; 4) don’t treat good and bad employees the same.
HR’s Role
Finally, Lott asks, "HR, whose side are you on? If you hear, ‘I’m a people person,’ run." HR’s job is to help every manager at every level to meet goals and objectives and stay out of court, he says.
In tomorrow’s Advisor, we’ll cover more of Lott’s "Please Sue Me" advice, and we’ll take a look at a unique program designed just for small HR departments.
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