No matter what size your staffing business, you need employment practices liability insurance to cover you against claims of wrongful termination, harassment and other employee petitions. If you own a smaller staffing agency or are just starting out, you may not have the resources to hire legal counsel, or even a human resources staffer, to guide you in employment practices that can help you avoid a lawsuit, and protect you in case you do face one.
Best Practices for All Businesses
There are several steps you can take to lessen employment practices liability. Here are a few:
- Employee manual: Compile an employee handbook that explains in detail company policies for attendance, complaints and other work situations.
- Job description: Whether you specialize in staffing for one field or several, you should write one for every position, outlining standards for skill levels and performance.
- Reviews: Give regular performance reviews and include them in employee files.
- Background checks: Run a background check on all job candidates.
- Employment statements: Include a statement on applications and in your handbook that employment is at-will, and that your company is an equal-opportunity employer.
Get the Right Level of Coverage
Along with these important steps, make a point to meet with your insurance agent and discuss the level of employment practices liability insurance your business needs. Your agent is also a good resource for additional procedures and routines to include in your business practices.
