The Equal Employment Opportunity Commission (EEOC) receives thousands of charges related to wrongful termination each year. According to the EEOC’s annual data, retaliation claims, which often involve allegations of wrongful termination, are consistently among the most frequently filed charges. However, not all claims result in formal legal action or court proceedings. Many are resolved through settlements or alternative dispute resolution methods. Here are some steps that an employer can take to minimize exposure to wrongful termination claims:
Employers should establish clear policies and procedures that set out expectations for employee performance and behavior, as well as the consequences of violating those policies. This will help ensure that all employees are aware of what is expected of them and what the consequences are for violating company policies. Employers should also document any performance issues or disciplinary actions taken against employees. This can help provide evidence that the employer had a legitimate reason for terminating an employee’s employment.
Conducting fair and impartial investigations is a crucial step before making any decisions to terminate an employee’s employment. This can help ensure that the decision is based on objective evidence rather than bias or discrimination. Employers need to also provide employees with regular feedback on their performance and conduct. This can help employees understand what is expected of them and how they can improve and can also help establish a record of communication that can be used to support a termination decision if necessary.
Managers and supervisors need to be trained on best practices for managing employee performance and conduct, as well as how to handle termination decisions. This can help ensure that all employees are treated fairly and that termination decisions are made in a consistent and objective manner. Always consult with legal counsel before making any decisions to terminate an employee’s employment. This can help ensure that the decision is made in compliance with applicable laws and regulations and that the employer is prepared to defend against any potential wrongful termination claims.