Mistakes that Cost
As
new laws and regulations in California multiply, employers' risk of
losing hundreds of thousands of dollars in employment lawsuits,
fines and penalties continues to increase. Take a look at the
mistakes that have cost other companies:
- $45,000 fine for asking improper questions in applicant interviews
- $875,000 awarded for an employee who had been passed over for a promotion while living as a pre-operative male-to-female transsexual
- $787,000 fine for failure to properly accommodate disabled individuals
- $250,000 maximum fine per business for failure to file W-2 or 1099 form
- $105 Million fine for arbitrary hiring and promotion practices
- $100 in fines per day (per person) for lack of COBRA Rights Notification
- $500,000 awarded employees, court held CEO as personal liable for altered time sheets
- $161,000 awarded employee for discriminatory failure to promote and defamation
Race Discrimination Lawsuits: major beverage company $192 million; oil firm $5.5 million; food services business over $80 million; major auto maker $8.55 million; and the list goes on...
New Laws and Regulations Multiply
Employers' risk of losing hundreds of thousands of dollars in employment lawsuits, fines and penalties continue to increase.
LSH Consulting assists employers with implementing systems and taking measures to avoid litigation and other costly mistakes:
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MANDATORY AB1825 SEXUAL & UNLAWFUL HARASSMENT TRAINING FOR ALL EMPLOYEES WITH SUPERVISORY AUTHORITY – AB1825 affects employers with a culmination of 50 employees nationwide. Effective 1/1/06 all supervisory staff is required 2 hours “annual” sexual & unlawful harassment training. Training must be updated every two years and provided to new managers within 6 months of their date of hire or promotion.
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MANDATORY Cal/OSHA SAFETY ORDERS – In California every employer has a legal obligation to provide and maintain a safe and healthful workplace for employees, according to the California Occupational Safety and Health Act of 1973. As of 1991, a written effective Injury and Illness (IIP) Program is required for every California employer.
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HIPAA COMPLIANCE – The penalty for general noncompliance with the HIPAA security, privacy and electronic Data Interchange (EDI) regulations is $100 per violation, up to $25,000 per person for all identical violations in a calendar year. Plus, one of the penalties for noncompliance with the privacy regulations is a $50,000 fine and imprisonment for one year if you knowingly obtain or disclose individually identifiable health information.
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LEGAL COMPLIANCE FOR YOUR COMPANY’S SIZE – Even a company with one employee has compliance requirements. Do you know which Federal & State laws apply to your company?
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CALIFORNIA’S MEAL & REST BREAK REQUIREMENTS – How far must an employer go to make sure employees are complying with meal and rest break laws? The law, as it currently stands, puts the onus on California employers to ensure employees take their meal breaks. Employers and their managers cannot impede, discourage or dissuade employees from taking meal and rest breaks, and must ensure they are taken.
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IWC WAGE ORDERS – All employers (regardless of size) must post their industry-specific Wage Order appropriate to their business.
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Violence in the workplace (homicide) tragically, is the “leading cause” of workplace fatalities for women and the “second leading” cause of workplace fatalities for men in the United States. There is no regulation that specifically requires a workplace violence prevention program for most employees, although California DOSH has issued an “Injury and Illness Prevention Model Program for Workplace Security”.
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WIRELESS TELEPHONE LAWS – Two new laws dealing with the use of wireless telephones while driving went into effect July 1, 2008. The first prohibits all drivers 18 and over from using a handheld wireless telephone while operating a motor vehicle. (Vehicle Code (VC) §23123). Drivers under the age of 18 may NOT use a wireless telephone or hands-free device while operating a motor vehicle. January 1, 2009, text-based communication while driving is prohibited as well -- Specifically, the law prohibits writing, sending or reading text-based communication including text messaging, instant messaging and e-mail, on a wireless device or cell phone while driving.
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FMLA BENEFITS FOR MILITARY FAMILIES – Effective 1/28/08 a new bill was signed into law (National Defense Authorization Act) providing FMLA leave entitlements to military families. NDAA amended the FMLA to provide eligible employees of covered employers with 26 weeks of FMLA leave in a single 12 month period to care for a member of the Armed Forces.
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AGE DISCRIMINATION CHARGES – In 2007 to 2008 age discrimination charges increased more than 22%. With 19,103 charges, 16,134 resolved by EEOC, equaling monetary benefits for charging parties and other aggrieved individuals of $66.8 million.