Attorney Jack Wisdom presented several risk-reduction techniques to over a dozen local businesses during the Bay City Chamber of Commerce & Agriculture’s “Lunch & Learn” event, Dec. 9.
“Managing human beings is very complicated due to them being so complex,” he said.
“The number one risk reduction strategy is to obey the law as an employer. It seems pretty basic, but, almost all problems can be traced back to not following this simple rule,” Wisdom said.
He explained that having supervisors and managers trained on up-to-date laws provides a safety net for the company.
“To further that, make sure you have clear policy statements and apply them across all of your employees,” he added.
“Periodic training and updating managers and supervisors on the law are key to protecting your company and employees.”
He told the audience to be mindful of protected classes when hiring.
“Don’t make any dumb hiring decisions based on a person’s protected class,” said Wisdom.
“Protected classes include race, religion, national origin, sex, age, disability, military service, genetic information, Family Medical Leave Act (FMLA), and that’s just the basic classes. There’s more and the laws get very specific about them.”
Wisdom added that hiring the right person for the job would save on “headaches down the road.”
“Go through those applications with a fine-tooth comb and make sure the candidate matches what you’re looking for to fill the position,” he explained.
“You have to tailor your interviews similar to your applications according to what your company or the position needs.”
Wisdom stressed that employers should prepare for interviews in advance.
“Ask performance-based questions and listen carefully to evaluate the information you’re getting,” he added.
“If you don’t understand a response, ask about it. Also, before posing a question, ask yourself is this information really needed to judge an applicant’s competence or qualifications for this job.”
He also cautioned interviewers to steer clear of discriminatory questions and confirm applicant references.
“Those kinds of questions usually stem from the protected class area, but could be as simple as asking if someone is married or if they have children,” Wisdom explained.
“Reference and background checks protect you against negligent hiring and weed out possible problem employees ahead of time. Make sure you get a consent and release form signed to perform those checks.”
Wisdom encouraged employers to document incidents to reduce liability and fire employees with care.
“Every termination is a very serious matter and has the potential to lead to an adversarial legal proceeding,” he said.
“Performance management documentation can be positive or negative, but must be done in a timely matter.
“You can’t document a negative incident weeks later or near the point where you’re terminating an employee.”
“It looks especially bad if the employee had only favorable reviews on file before termination. And I definitely recommend not firing an employee in haste or anger,” he added.
Wisdom is board certified in labor and employment law by the Texas Board of Legal Specialization.
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