RISK MITIGATION THROUGH AFFIRMATIVE DEFENSE

 

CONSIDER THESE FACTS:

During 2006,

• Over 75,000 EEOC violations were filed

• Over 35,000 sexual harassment and discrimination claims were filed

• Over 27,000 racial discrimination charges were filed

• Attorney fees and settlement charges averaged over $165,000 per case

• Many companies are one lawsuit away from being out of business

• Employee lawsuits have risen 14% in each of the previous 10 years

• EEOC regulations hold employers liable for employees being trained

 

How do you mitigate this risk?

• Being able to demonstrate “affirmative defense” as outlined by the US Supreme Court – this addresses your training and testing programs as well as a mechanism for employees to report problems

• Alternative Dispute Resolution programs

 “AFFIRMATIVE DEFENSE”

In 1999, the United States Supreme Court provided employers with a “road map” to minimize liability in cases where employees sue employers. Their rulings in two cases, Faragher v. City of Boca Raton and Burlington Industries v. Ellerth, provide for Affirmative Defense if employers follow 3 steps:

• The employer must establish appropriate, understandable training systems guaranteeing comprehension and tracking of employee training experience.  (Accomplished through Roof-HR)

• A mechanism for employees to convey claims of rights violations had been adequately provided.  (A Toll free number is included for employees’ and employers’ use.)

• Any such claims were remedied through appropriate actions initiated by the employer.  (Our HR specialists will immediately notify your administrator of the telephone call to ensure prompt follow up)

ALTERNATIVE DISPUTE RESOLUTION

Provides for a quick, fair, accessible and reasonable resolution of legal disputes between your company and current/former employees.

We will register your company with American Arbitration Association.  Then, all disputes that arise will be handled in the following four-step process:

• An open door policy – the employee must notify the employer of a dispute either through their supervisor or through our toll-free hotline

• An informal conference is held – if the dispute can’t be resolved over the phone, one of our HR professionals will arrange for an informal conference at your location in an effort to resolve the dispute.  The employee and the employer will attend.

• Mediation – if no resolution is reached in the previous stage, a third party mediator is brought in to listen to both parties’ sides and try to gain a resolution of the issue

• Arbitration – the last stage.  If the previous steps are unsuccessful in producing a resolution, the parties agree to be bound by a third party arbitration hearing held in accordance with the American Arbitration Association guidelines.

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