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HR director provides tips for discrimination claims

Director of Human Resources David Peasall at FrankCrum, a professional employer organization, spoke out about why companies should prepare for the possibility of discrimination suits

October 23, 2014

Director of Human Resources David Peasall at FrankCrum, a professional employer organization, spoke out about why companies should prepare for the possibility of discrimination suits in a company press release.

"As with most human resources issues, avoiding the problem is always better than dealing with the repercussions once something happens," said Peasall.  "However, we recommend that employers look into Employment Practices Liability Insurance (EPLI) to protect them from claims filed for wrongful acts in the employment process."

Peasall states that in a five-year analysis of statistics from fiscal years 2009 to 2013, 486,285 individual discrimination charges were filed, according to the U.S. Equal Opportunity Commission. The most frequent complaints are related to Civil Rights Act Title VII retaliation based on race, sex, age and disability discrimination. Most discrimination claims result from terminations, Peasall noted, but can also develop from the hiring process and adverse actions involving employees.

Peasall pointed to best practices for employers:

• Pay close attention to EEOC hiring rulings, especially those related to credit reports and history, criminal background and screening and selection tools. These tools can create discriminatory circumstances if they don't reflect job or business relevance.
• Distribute a written discrimination policy and obtain employees' signatures. It should outline procedures and how to address complaints. Companies should post the corporate EEO statement, according to Peasall.
• Establish anti-discrimination policies and procedures, particularly training, reporting, employee manuals and social media guidelines.
• Institute strategies that foster successful relationships and outline corrective action processes for resolving problems.
• Define and document issues, concerns and expectations for employees. Propose and describe corrective action as well as consequences if expectations are not met.
• Regardless of "at will" employment laws, document issues and the reason for termination.
• Never retaliate and always take issues seriously by conducting an investigation. Failing to do so often amps up the desire to file a claim, Peasall said.

"In the long run, being prepared is always better than being surprised," said Peasall.  "Understanding what might create a situation that leads to a complaint and then putting the proper procedures in place to avoid the situation is the best route for any employer."