Lawsuits Growing

November 29, 2011 David Russell

Leaders are employers. Therefore you need to fully comprehend the risk of not fully, systematically hiring, managing, developing, and retaining employees. Here are just two examples:

1. 99,947 Charges of employment bias were filed during fiscal year 2011 with the U.S. Equal Employment Opportunity Commission (EEOC). This is a new record. Part of the problem is the economy has people trying to get money from former employers. Another possible reason may be an increase in age-related claims and this is going to get worse because:

2. The EEOC has approved a final regulation stating an employment practice that adversely impacts older workers is discriminatory unless the practice is justified by a "reasonable factor other than age" (RFOA). This should increase age-related claims in the days ahead.

Are we having fun yet? Need more? Okay, just one:

3. A timber company has to pay the family of a truck driver killed in a 2008 accident in Arkansas $7 million in damages because the company did NOT do a basic background check before hiring the truck driver who caused the accident. If they had done a search, it would have revealed a history of unsafe driving that included having his license being revoked twice.

That jury award, if not just the trial costs alone, would put many of us out of business.

I know you do not have any extra time, but moving into 2012 PLEASE invest some time to improve your systems for hiring, managing, developing, and retaining your people.

MINIMUM EFFORT: Buy a copy of my latest book with Rob Betzel, The Company Culture Challenge and make one improvement a quarter. Now on sale at Amazon for only $11.10!

MEDIUM EFFORT: Engage me or someone else as a coach to hold you accountable to improving your leadership skills and processes so you avoid lawsuits, lost productivity, and having a toxic workplace.

MAXIMUM EFFORT: Sign-up now for our STORY program of one year of coaching to implement The Company Culture Challenge and video development to promote your company. There are only 4 openings left in this program. Email me for details.

Don't miss our upcoming webinars.

Be an Intentional, Systematic, Servant Leader.

David Russell, CEO

Success With People, Inc.
MANAGEtoWIN, Inc.

MEETING IDEAS

Ask yourself or your people the following questions to see if these situations are occuring or could happen in your organization. All of them are actual costly employee issues that have occurred with my clients before they began working with me.

1. Hiring. During the past year, have you hired someone:

    - Who is no longer working for you?
    - Without a background check and it has cost you?
    - And they did not show-up the first day of work?
    - Who was a different person than they were in the interviews?
    - Is not working out as expected.

If any of these are true for you, or other problems have occurred, then attend our free Hire The Best Avoid The Rest webinar on December 20.

2. Managing. Have you experienced any of the following situations?

   - Billable resources do not enter time daily in your system?
   - You have to write-off a substantial amount of time billed to clients?
   - Employees show-up late or leave early?
   - Employees could be more productive (with some people this is more significant than with others)
   - You have long-term employees that you would not hire today?

3. Developing. Your people need to understand their future to be fully engaged. Do any of these statements describe your company?

   - We do not have career paths.
   - We do not have mentors (other than our boss).
   - We do not have clear measurable goals for each employee (financial, client experience, and professional development) nor a consistent accountability and follow-up system for goals.

4. Retaining. Retention is a game of keeping great employees and moving others along in life to work for someone else. Do any of these statements describe your company?

   - We do not do retention interviews (what's that?).
   - We do not have written expectations for behavior.
   - We do not do annual performance reviews.
   - I do not know the personal preferences for recognition of each employee.

If you need help, contact me.