In the last post we talked about employees and the affects they can have on your business. The topic in that post was more about attitudes and personalities and how they can affect the reputation or performance of your business. In this post we will be discussing the legal issue associated with having employees and suggestions on what you can do to effectively deal with them. I am not an attorney, nor am I giving legal advise. What I am going to tell you is my opinion and what I have experienced and learned. You should always seek the legal advise of a qualified attorney if you so desire.
As previously mentioned, employees are paramount to having a successful business and can be one of your biggest assets. The other side to that coin is they are also one of your biggest liabilities. In case you didn't know the law looks at you like a custodian when you have employees and therefore charges you with complete care, control and custody of those employees and holds you highly responsible to their safety and anything else associated to them. What this means for you is that you will be afforded no excuses when it comes to properly caring for your employees. This is very important to know right from the start.
If this is your first business or are just starting one or have been in business for awhile I would suggest that you find an attorney who specializes in employment law. Employment attorneys are generally more expensive but are usually cheaper in the end because you will not have to pay their hours for learning or research. Once you have chosen an employment attorney i would suggest creating a short, simple employee manual and make it subject to change. Have your new attorney check any type of literature that may deal with employees. If a document is in existence make sure it is lawful.
Document, document, document any troubles, reviews, promotions, etc that you deal with. Watch what you write as it may be used against you later. Remember that ultimately we want to be successful so we are not just doing this to protect the company. If we are going to retain employees long term we need to be thorough in all we do with them.
My next suggestion is a bit bold and you will need to make sure it is done right. i will give you a generic over view here but for the full report/e-book you will need to email me. What I am about to tell you is a great tool for you with your employees and can save you thousands each year. I have been challenged by it several times by many agencies and I have always come out clean on it. What I am talking about is putting your employees on a wage rate agreement where they are paid minimum wage and any additional money earned will be by work performance only. I can't tell you how many times this has saved me and the customer. Lower cost equals lower prices past on to the customer. It is 100% legal and keeps the employees who are a little dishonest in check. For a sample of the agreement and the accompanying e-book, email me at the link below my picture.
Make arbitration mandatory for your employees should they have any type of grievance. This process is much cleaner, healthier and less costly for all involved. Arbitration is about the issue at hand and not about all kinds of other money wasting tactics used in a regular lawsuit or miscellaneous grievance. If there is an issue between employer and employee, the goal should be to get it resolved and not prolong it.
Employees are a mouth piece or ambassadors for your company so make sure you are always listening to what they are saying to your customers. Monitor phone calls, emails, and any verbal & written communications they are involved in. Promising services or other such things to customers leaves you in the hot seat if they are false. It is your right to snoop around and keep your eyes and ears open.
Implement an intensive training program and stick to it. Employees who are left alone will cause the company real issues. Let your employees know you care and that you are aware of them at all times. Do not coddle them or baby them but do take the time to acknowledge them.
Lastly, employee safety is a much bigger deal than you may put on it. There are plenty of companies out there who will set up and run a safety program for you for minimal costs. They will even supply you with industry specific forms to have your employees fill out. Accidents can drive up the cost of doing business and also lowers employee moral. Keep your employees safe at all times.
What we have just discussed is not intended to scare you but make you very aware of what your responsibilities are as an employer. You can effectively run your company while properly caring for your employees.
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