Importance of Complying with Employment Laws

CEOS/ Presidents/ Business Owners – Businesses are exposed to substantial risk if they don’t comply with the employment laws. 

Consider these metrics:

1. Increase in employee lawsuits – Don’t think the business will get sued? The thousands of clients I’ve represented in litigation suggests otherwise. The reason? It’s easy for employees to file an EEOC Charge and it’s free for them to hire an attorney to litigate on a contingency fee basis. More importantly, Employees who were terminated have “nothing to loose and everything to gain” because they have already been fired, don’t have an income and it won’t cost them anything. 

In comparison, there is a substantial cost to the employer who will be forced to spend (approx. $150k-200k) to defend the case. 

2. Snowball Effect – if the company is not classifying/paying one employee properly, it is probably making the same mistake as to all employees- which can get expensive. The company may be required to pay penalties, fines, backpay, liquidated damages and attorneys fees. An employee can make a claim for $5k in back wages, but it ends up costing the company $20-30k for one employee. Apply this to 20 employees, and you can see the snowball effect it can have.

3. Turnover Rate– Galllup estimates the cost of turnover can range from one-half to two times the employee’s annual salary. As an example, a $50k employee salary for a 100-person organization will pay approx. $660,000 to $2.6 million per year to replace its employees. As the CEO/President/Business owner- are you ok with this? This includes the cost to train a new employee, the time in which there is no employee in the position, decrease in productivity and decrease in overall morale. Companies who comply with the laws typically have less turnover, happier employees and increased profit margins.

For many businesses, employees are their biggest asset AND their biggest risk. If you don’t have an in house employment lawyer, hire a fractional employment lawyer and get him/her on speed dial. When legal issues come up, businesses typically need answers fast. Don’t wait until after there is already a problem- because the options are probably limited at that point.

Visit www.wannoslaw.com for more info and to schedule an introductory call. Let’s make sure your business is properly protected from legal issues. Here is how we can help:

  1.  Legal Audit

Schedule a legal audit for a comprehensive review of the  company’s employment policies and practices to make sure they are legal and discover best practices to protect the company from risk and liability. Online Scheduling and Quick Availability.

  1. Legal Advice & HR Consulting

The Wannos Law Firm, PA provides employment law and HR consulting and legal advice to clients in Florida. We help clients navigate those tricky employee issues to make sure they comply with the law. Schedule a consultation.

  1. Workplace Trainings

Are the managers making decisions regarding employees, but don’t know the “do’s and don’ts” of the law? We train CEO’s, HR Departments, Supervisors and Employees on the employment laws affecting the business. More Information Here.

    4.    Workplace Investigations

The Wannos Law Firm, PA provides prompt, independent and efficient workplace investigations in response to employee complaints of harassment, discrimination, retaliation and serious policy violations. Schedule a call to discuss how we can help.

    5.   Employment Mediation & Arbitration. Get your employment matter resolved without the expense of litigation. Karly is a Florida Supreme Court Certified Mediator and has participated in 75+ mediations. Reach out for online scheduling and pricing.

 

About Karly Wannos, Esq.

Karly Wannos is a highly accomplished and respected Florida employment attorney, arbitrator, mediator and workplace investigator for employment law and business matters.

Ms. Wannos has litigated employment and business disputes involving claims of discrimination, harassment, retaliation, unpaid wage and overtime, breach of contract and other workplace matters. She has representedboth employers and employees in state and federal court and before the US Equal Opportunity Commission (EEOC) and the Department of Labor (DOL). Ms. Wannos also has substantial experience dealing with matters where insurance defense counsel or an insurance claims professional is involved.

As a mediator, Ms. Wannos uses her substantial litigation experience to encourage parties to reach an amicable resolution without court intervention through mediation. Her strong litigation background and presence as a community leader serves to establish trust among the parties and their counsel.

 Ms. Wannos is a Florida Supreme Court Certified Civil Circuit mediator, AAA panel arbitrator, and a neutral external workplace investigator (AWI-CH).