The numbers are simply staggering. In 2013 individuals filed over 93,000 employment discrimination charges with the Equal Employment Opportunity Commission ("EEOC"). The EEOC collected $372 million in damages from employers during that time. Similarly, thousands of minimum wage and overtime claims were brought against companies under the Fair Labor Standards Act, and the Department of Labor collected $250 million in back pay damages in 2013. Moreover, approximately 20% of the lawsuits filed in Federal Court in 2013 stemmed from an employment dispute. It feels like litigation roulette—you never know when your company's time is up, but if you keep playing the game (i.e., running your business), eventually you will get sued.
Given this, companies should take steps to reduce the risk of becoming the next defendant and put themselves in a solid defensive position. One way to do so is to avoid making one of these five common human resources (HR) mistakes.
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