Employment Practices Liability — Protection Against Unsavory Behavior
Hey “sexy thing, you want to meet at my swingin’ bachelor pad for some for some margaritas”. Heard that one or something like it? It can be a stressful work environment when unwanted advances become acceptable. One may say, it says it is against the rules in the employee handbook, and that might be true. Whether it is or isn’t (it should be), it is still against federal employment law. There can be a fine line between what is fun, good hearted banter and threating, sleazy behavior. In any event, an employer can institute many ways to mitigate this kind of risk from costing the company in legal expenses and a bad name in the community.
Employment practices liability (EPLI) is a specific insurance coverage addressing workplace conduct. For the expense of an annual insurance premium, a business may purchase legal assistance, in some more egregious instances legal representation to defend the company. The insurance coverage is not intended to replace corporate responsibility to such conduct. It is a method to keep the company from spending reserve profits from the irresponsible conduct of employee to employee interaction. EPLI can also cover employee to client coverage as well.
Whatever the position in the organization from the CEO to the newest trainee hire, all are responsible to act professionally in the office and during any off-site events. In my years as a risk management professional I have witnessed some pretty poor behavior. It is astounding some people think it is OK to act this way all the time. If your inclination is to push the buttons of others, consider during work hours to leave it be.
If your corporate culture is looser, casual attire, booze cart etc. It is more important to operate form stance to protect unwanted advances or demeaning conduct. When management spends time with staff, whether all staff meetings or senior level meetings, it is beneficial to include a portion of the agenda to discuss employee conduct. Going a step further, accentuate the good deeds your employees engage in. For example, a staffer is disappointed their tire is flat. A fellow co-worker volunteers to help change the tire or keep company until roadside assistance arrives. We create better work environments when we acknowledge the positive actions. It can show your group what good goes on. It’s OK to create a fun, communal work environment however; the looser the rules are, may lead to employees making some ill-advised choices.
What is more difficult to defend is what one person defines as offensive or is emotionally disturbed by. A method to determine what isn’t acceptable starts with how the federal law reads, then any state or local laws that complement the federal laws. Making specific additions to the company’s guidelines is a smart, good faith measure. It shows employees the importance of the issue and that the company’s stance is to be supportive. A requirement for employees to initial next to the section relating to employee conduct is an extra measure to drive home the importance of the issue.
Originally published at clarastellabc.com.
