private companies
supplementtothepugetsoundbusinessjournaloctober16-22,2009
26A | fastest-growing
supplementtothepugetsoundbusinessjournaloctober16-22,20
26A | fastest-growing private companies
How fast-growing
companies
avoidavoid
employment
lawsuits
How fast-growing
companies
employment
lawsuits
B
BB
employee hand- inflation subsequently experiences
derstandings and lawsuits, consider
eing a fastest-growing comemployee
hand- and
inflation
subsequently
derstandings
eing a fastest-growing
comnewly experiences
changed
obligations
under and
statelawsuits,
and consider
eing a fastest-growing
company
origin,
disability
marempLoYment
book? Make sure an adverse employment action due to
having a policy prohibiting supervisors
pany sounds good, right?
empLoYment
book?
Make
sure
an
adverse
employment
action
due to
having a policy prohibiting superviso
pany
sounds
good,
right?
Law
good,you
right?
ital
status.
federal
leave
laws.
each
employee
repoor
performance,
the
prior
inflated
from
dating
direct
subordinates.
Besounds
careful what
wish
Law
each employee re- poor performance, the prior inflated
from dating direct subordinates.
Be careful what you wish
ceives your hand-7. performance
will come back
to you16.
Do you
prepareuse
for employee
for.
Be careful
Arehandyourreviews
nonex14. will
Do
stop
officefor employ
ceives your
performance
reviews
come back
toimproper
16. Do youof
prepare
for. what you wish for.
book and that he
haunt you.
terminations? Before you terminate
Rapid growth creates real risks
book and
that he
haunt
you.
terminations?
Before
you terminat
Rapid growth
growth creates
real
risks
Rapid
creates
real
risks
email
and
computers?
Email
and
comempt
employees
getting
or she know the
10. Do you discipline employees
an employee, review the employee’s
if you are not smart about how you
or she know the
10. Do you discipline employees
an employee, review the employee’s
if you are not smart about how you
company has an
when
necessary?
Since so many
em-create
personnel
file and
other information
to
grow.
a checklist
to
help how you grow.
if youHere
areisnot
smart
about
puters
ongoing
records
that
will
be
breaks,
lunch
and
overcompany has an
when necessary? Since so many empersonnel file and other information
grow. Here is a checklist to help
“open door” to time ployers
own definitions
of
confirmStop
the rationale
for termination
is
avoid
lawsuits:
Hereemployee
is a checklist
to help
avoid employee
examined
later.
employees
from forpay?tohave
Thetheir
Depart“open door”
ployers
have their
own definitions
of
confirm the rationale
for termination
avoid employee
lawsuits:
voice concerns. If “discipline,” juries want to know your
well-documented.
voice
concerns.
If
“discipline,”
juries
want
to
know
your
well-documented.
lawsuits:
warding
inappropriate jokes and offensive
ment discipline
of Labor
plans to tailored
d.michael
you have not upwas reasonably
to
d.michael
you have not updiscipline was reasonably tailored to
dated
your
handstop
inappropriate
conduct.
recruiting &recruiting
hiring & hiring reilly
post-termination
humor,
and
savers, too.
audit
lots
more
compareilly
dated your handstop inappropriate conduct. that means screen post-termination
book in a year, it
11. Do you investigate employee
book in
a year,
it employees
11. Do you investigate
employee
15.
Do
you
manage
workplace
ronies
to
assure
is out-of-date.
complaints and take remedial ac1. Did you perform a background
17. Do you give narrow employee
is out-of-date.
complaints and
take remedial
ac- future
1. Did
you perform
a background
17. misunderstandDo you give narrow employe
1. on
Did
you
perform
a background
mance?
prevent
breaks
and overtime
pay.
6. Have youget
trained
employees
tion
when necessary? Document
a Toreferences?
check
potential
employees?
ConThink about
providing ref6. Have you trained employees
tion when necessary? Document a
check on potential employees? Conreferences? Think about providing r
on
workplace rules?
Employers
must detailed
summary
of your investigation
duct
criminal
checks and
erences limited
to position
held, dates of
check
on background
potential
Conduct
ingsofand
consider
having
Did
yourules?
misclassify
employon8.
workplace
Employershourly
must detailed
summary
yourlawsuits,
investigation
duct criminalemployees?
background checks
and
erences
limitedatopolicy
position held, dates
and rationale for your employment
contact listed references. You will be glad train employees (including manageemployment and last salary.
employees
(including
manage- Lookand
rationale
for
your employment
contact listed references.
You will
be glad train
employment
and last
salary.
criminal
background
checks
and
contact
ees
as
salaried
employees?
at
each
prohibiting
supervisors
from
dating
direct
ment) so that they understand the
decision. You will need it later if you are
you did.
18. Do you comply with COBRA?
ment) so that they understand the
decision. You will need it later if you are
you did.
18. Do you comply with COBR
Americans
withposition
Disabilities
Actjob
and description
sued.
2. Arereferences.
you using consistent
hiring
Check to see whether the terminated
listed
You
will
be
glad
you
did.
and
to
determine
subordinates.
Americans with Disabilities Act and
sued.
2. Are you using consistent hiring
Check to see whether the terminated
thathiring
harassment
is not limited
sex,
12. is
Do you document
properly
practices?
a hiring
process
and
employee
qualifies
for COBRA, who
2. AreCreate
you
using
consistent
whether
thattoposition
truly
16. Do you
prepare
for
employee
termithat
harassment
is not limited
to sex, exempt.
12.AnDo you document
properly
practices?
Create
a hiring process
and
employee
qualifies
for COBRA, who
but can include political affiliation,
and accurately? Draft each document pays for COBRA and what, if any, subfollow it for every employee. Jurors may
but
can
include
political
affiliation,
and
accurately?
Draft
each
document
follow
it
for
every
employee.
Jurors
may
pays
for COBRA
and what, if any, sub
nualnational
auditsorigin,
should
to confirm
practices?
Create a hiring
process
and folyouThe
terminate
an employage, race,
dis-be conducted
as if it was going
to be viewednations?
by a jury. Before
think
you are discriminating
if you do
not religion,
sidies apply.
recent stimulus
bill
as if it was going to be viewed by a jury. sidies apply. The recent stimulus bill
think you are discriminating if you do not religion, age, race, national origin, disability
and marital
status.
Documents should
include the
consistently
your
hiring process.
changes
COBRA coverage
and you and
employees’
positions
classilow it forfollow
every
employee.
Jurors
may
think
ee,name
review
employee’s
personnel
ability
and marital
status. are properly
Documents
should
include the
the name
consistently
follow your
hiring
process.
changes
COBRAfile
coverage and you
7. Are your nonexempt employand signature of the author, witnesses
3. Do you ask proper interview
should be aware of those changes.
7. Are your nonexempt employand signature of
the author,
witnessesto confirm
3. Do you ask
proper
interview
should bethe
aware
of those changes.
fied.
you
are
discriminating
if
you
do
not
consisother
information
rationale
ees getting breaks, lunch and over- and the date it was created.
questions? Questions about religion,
19. Do you prepare for unemees9.getting
breaks,
lunch
and overand the date it for
was termination
created.
questions?
Questions
about religion,
19. Do you prepare for unemDo you
give
accurate
tentlyorientation,
follow
your
hiring
process.
is well-documented.
time pay? The Department
of Labor
13. Doannual
you knowemthe fast-changsexual
past worker’s
compenployment
compensation appeals
13. Do you know the fast-changsexual orientation, past worker’s compen- time pay? The Department of Labor
ployment compensation appeals
plans
to
audit
lots
more
companies
to
ing
employee
leave
laws?
Consult
sation
claims
or
a
candidate’s
physical
or
hearings?
The
appeals
hearings for
ployee
performance
reviews?
anemployee
em- leave laws? Consult
3. Do you
askclaims
proper
interview
quesplans
to audit
lots more companies
to Ifing
sation
or a candidate’s
physical
or
hearings? The appeals hearings for
with counsel to make sure you are com- unemployment benefits may require
mental health should be avoided. You can assure employees get breaks and overget breaks
and overwith
counsel to make sure you are com- unemployment benefits may require
mental health
should
be avoided.sexual
You can assure
ployeeemployees
benefiting
from
inflation
tions?
Questions
about
time pay.
plyinggrade
with newly
changed obligations
ask
about previous
convictions,
but religion,
not
your testimony.
time pay.
plying with newly changed obligations
ask about previous convictions, but not
your testimony.
8. Did you misclassify
hourly
underan
state
and federal
leave laws.
about
arrests. past worker’s compensation
20.
Are narrow
you doingemployee
the right thing?
orientation,
subsequently
experiences
adverse
17. Do
you
give
ref8. Did you misclassify hourly
underemstate and federal
leave
laws.
about arrests.
20. Are you doing
the right thin
employees
as
salaried
employees?
14.
Do
you
stop
improper
use
of
4.
Are
you
using
the
new
I-9
View
your
employment
decisions
from
claims
or
a
candidate’s
physical
ployment
action
due
to
poor
performance,
Think
about
references
as
salaried
employees?
14. Do youerences?
stop improper
use
of providing
4. Are you using
the newor
I-9men- employees
View your employment
decisions from
office email and computers? Email
form? Since April 2009, you must use the Look at each position and job descripthe perspective of whether you are “doat each
position performance
and job descrip- reviews
office email and
computers?
Email
form? Since
April 2009, you
must
useask
the Look
the perspective of whether you are “d
tal I-9
health
should
be avoided.
can
thewhether
prior
inflated
limited
position
to determine
that position
and computers createwill
ongoing
records to ing
new
form, which
requires
unexpired Yoution
the rightheld,
thing.”dates of employtion to determine whether that position and computers create ongoing records
new I-9 form, which requires unexpired
ing the right thing.”
truly is exempt.come
Annualback
auditstoshould
that will be examined later. Stop
em-and last salary.
verification
documents.
about previous
convictions,
hauntaudits
you.
ment
is exempt.
Annual
should
that will be examined
later. Stop emverification
documents.but not about truly
be conducted to confirm employees’
ployees from forwarding inappropriate
D. MICHAEL REILLY is shareholder and dibe 10.
conducted
to confirm
employees’
ployees from forwarding
D. MICHAEL
REILLY
is shareholder and
arrests.
Do you
discipline
employees
18. Doinappropriate
you
comply
COBRA?
Check
positions are properly
classified.
jokes
and offensivewhen
humor, and that
rector
of Seattlewith
law firm
Lane Powell’s
Labor
positions are properly classified.
jokes and offensive humor, and that
rector of Seattle law firm Lane Powell’s La
4. employment
Are you
using
the
new
I-9
form?
necessary?
Since
so
many
have
the
terminated
employee
9.
Do you give
accurate annual
meansemployers
screen savers,
too. to see whether
the
relationship
and Employment
and Employee Benefits
Practice
9. Do you give accurate annual
means screen savers, too.
the employment relationship performance
and Employment and Employee Benefits Pra
reviews?
15. Do you manage
workplace
Reach him
at reillym@lanepowell.com
or
Since April 2009, you must use theemployee
new I-9 employee
their ownperformance
definitions reviews?
of “discipline,”
juries
forGroup.
COBRA,
who
pays
15.
Do youqualifies
manage workplace
Group.
Reachfor
himCOBRA
at reillym@lanepowell.com
5. Did you issue an up-to-date
If an employee benefiting from grade
romance? To prevent future misun206.223.7051.
5.
Did
you
issue
an
up-to-date
If
an
employee
benefiting
from
grade
romance?
To
prevent
future
misun206.223.7051.
form, which requires unexpired verification want to know your discipline was reason- and what, if any, subsidies apply. The recent
Recruiting & hiring
Post-termination
documents.
The employment relationship
5. Did you issue an up-to-date employee handbook? Make sure each employee
receives your handbook and that he or she
know the company has an “open door” to
voice concerns. If you have not updated
your handbook in a year, it is out-of-date.
6. Have you trained employees on
workplace rules? Employers must train
employees (including management) so
that they understand the Americans with
Disabilities Act and that harassment is not
limited to sex, but can include political
affiliation, religion, age, race, national
ably tailored to stop inappropriate conduct.
11. Do you investigate employee complaints and take remedial action when
necessary? Document a detailed summary
of your investigation and rationale for your
employment decision. You will need it later
if you are sued.
12. Do you document properly and accurately? Draft each document as if it was
going to be viewed by a jury. Documents
should include the name and signature of
the author, witnesses and the date it was
created.
13. Do you know the fast-changing
employee leave laws? Consult with counsel to make sure you are complying with
stimulus bill changes COBRA coverage and
you should be aware of those changes.
19. Do you prepare for unemployment
compensation appeals hearings? The appeals hearings for unemployment benefits
may require your testimony.
20. Are you doing the right thing?
View your employment decisions from the
perspective of whether you are “doing the
right thing.”
D. MICHAEL REILLY is shareholder and
director of Seattle law firm Lane Powell’s
Labor and Employment and Employee
Benefits Practice Group. Reach him at
reillym@lanepowell.com or 206.223.7051.
Reprinted for web use with permission from the Puget Sound Business Journal. ©2009, all rights reserved. Reprinted by Scoop ReprintSource 1-800-767-3263.