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Employment Law | New Year’s Resolutions
January 2008
Employment Law Practice Group
Happy New Year!
Our employment law team wishes you great success in the new year! Based on
our experience and what we expect to see this year, we would like to share our
Top Ten Employers’ Resolutions for 2008. Please contact us for legal advice and
support throughout the coming year.
With warmest regards,
Kennedy Covington’s Employment Law Team
Amie
™
Bev
™
Andy
™
Bo
™
Felicia
™
Dan
™
Russ
™
Missy
Top Ten Employers’ Resolutions That You Can Keep in 2008!
…
To Be Exempt or Not To Be Exempt: Resolve to review and update job qualifications and job descriptions
to ensure your exempt employees qualify for exemptions under the FLSA. Avoid the risk of a Department of
Labor investigation or employee collective action lawsuit.
…
Money, Money, Money!: Resolve to put your employees’ commission and bonus plans in writing to ensure
compliance with wage and hour laws. Prevent your employees from recovery of double, or even triple,
damages under North and South Carolina’s wage and hour laws. In late 2006, an employee in South Carolina
recovered over $50,000 in commissions and triple damages, even though the commissions did not arise until
months after he resigned from the company. North Carolina courts have reached similar results, including
upholding one employee’s recovery of over a million dollars in commissions after departing his company.
…
Shhhh! I Have a Secret … : Resolve to take action to preserve your company’s trade secret and
confidential information by ensuring that employees are specifically instructed as to what is confidential.
Protect your information from departing rogue employees (and their new employers) or from inadvertent
disclosures. If you do not take measures to identify information that is “confidential” or “secret” and
communicate that to employees when it is disseminated, a North or South Carolina judge may agree with your
former employees that the information is not confidential and, therefore, subject to disclosure.
…
But I Don’t Want to Wear a Hard Hat: Resolve to ensure your company is complying with OSHA rules and
protecting your employees. Be ready when OSHA drops in for a surprise inspection.
…
Those Are My Customers and These Employees are Coming with Me!: Resolve to revamp your
employment agreements and non-competition and non-solicitation provisions to maximize the protections
allowed under the law and to maintain the continuity of your business. Avoid losing your customers and
employees along with your best employee.
…
I Think I Read Something About That … : Resolve to create a checklist for preparing and maintaining
employee I-9 forms and for ensuring you comply with the changing immigration landscape. Be ready if the
Department of Homeland Security’s Immigration and Customs Enforcement (“ICE”) Unit surprises your
workplace with a visit. ICE arrested over 30,000 illegal aliens last fiscal year--many during workplace raids-which is more than double the number made the previous year.
…
Since They Aren’t My Employees, It Doesn’t Matter What I Do, Right?: Resolve to learn the potential
pitfalls of hiring independent contractors, lending employees, and using staffing companies. Employers too
often pay the price to these “non-employees” (and to Uncle Sam) by making these issues a low priority.
…
Technology is My Friend, Right?: Resolve to review your policies addressing technology and internet
issues. For example, investigate telecommuting arrangements with employees to increase productivity and to
keep good talent, but also learn the many traps in such arrangements lurking within the workers’
compensation and wage and hour worlds. Also, create employer-friendly internet and e-mail privacy policies
so employees know they are using your property and are being monitored.
…
So Many Records, So Little Time: Resolve to maintain records about your employees, including
telecommuters and exempt employees, to ensure you can show a DOL or EEOC investigator what your
employees are doing, how many of them you have each week, and where they are working. Avoid fines and
prosecution by government officials for record-keeping violations or for failure to identify all employees during
an investigation.
…
Why Can’t I Just Check His Credit and His Criminal Background Without Telling Him?: Resolve to
create a checklist for your background checks to ensure they comply with the Fair Credit Reporting Act. This
statute demands employers conduct background checks in a particular fashion yet is often forgotten by, or
may even be unknown to, many employers.
Our employment law team provides advice and representation with respect to the unique and varied employee-related
issues our clients face in an ever-changing work force. We work in partnership with our clients to help them with dayto-day guidance and disputes that lead to litigation. Our attorneys utilize their experience in litigating a wide variety of
matters and resolving disputes in an expedient and cost-effective manner.
This bulletin is published as a service to clients and others interested in employment issues. The information provided
herein is general in nature and should not be relied upon as legal advice as to specific factual situations.
Employment Law Practice Group
Amie Flowers Carmack
Beverly A. Carroll
Andrew M. Habenicht
Glenn E. Ketner, III (“Bo”)
Felicia Washington Mauney
Daniel J. Palmieri
Russell F. Sizemore
Shannon S. Spainhour (“Missy”)
919.743.7318
704.331.7586
704.331.7594
704.331.7580
704.331.7466
919.743.7317
704.331.7514
704.331.7411
Kennedy Covington is one of the largest law firms in the Carolinas with offices in Charlotte, Raleigh, Research Triangle
Park, Columbia and Rock Hill. Our attorneys use their diverse experience and knowledge to counsel clients in varied
industries such as banking and finance, real estate, technology, health care, manufacturing, and the services sector.
At Kennedy Covington, we give more than a legal opinion; we provide a business perspective.
Charlotte Office:
Hearst Tower, 47th Floor
214 North Tryon Street
Charlotte, NC 28202
704-331-7400
www.kennedycovington.com
© Copyright 2008 Kennedy Covington
Raleigh Office:
4350 Lassiter at North Hills Avenue
Suite 300
Raleigh, NC 27609
919-743-7300
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