Human-resource laws cover employees from hire to fire

Abiding by human resource laws is critical to avoid litigation that results in major costs and decreased profits.

Many supervisors and owners do not realize they might have personal liability. However, a manager's reaction should not be to retreat in fear, but to obtain education and seek professional advice when in doubt.

The federal laws listed below apply to decisions made about personnel throughout their work history. This includes hiring, training, evaluating performance, providing raises, counseling and firing.

Under Missouri law, if you have at least six employees, compliance is mandatory. An exception is the Equal Pay Act which requires only two staff members. Six statutes are the most relevant:

?Title VII of the Civil Rights Act. This legislation states that it is illegal to use an individual's race, color, gender, national origin or religion to make a decision regarding his employment status. Sexual harassment also falls under Title VII of the Civil Rights Act.

The first type of sexual harassment is quid-pro-quo harassment, which occurs when a supervisor seeks sexual favors in return for job benefits or opportunities.

The second type of harassment is a hostile work environment, which arises when a supervisor, coworker or nonemployee makes sexual comments or behaves in a manner that creates an offensive work environment.

In either case, the conduct must be unwelcome. Distasteful verbal or physical actions, as well as pictures, are considered harassment.

The claimant does not have to be the person at whom the unsuitable performance is directed, but might be anyone affected by it.

The employer is liable if it knew, or should have known, about the conduct and failed to correct it.

Be sure to train your managers, educate employees concerning their rights, and formulate and distribute a written policy expressing zero tolerance.

?Equal Pay Act. Equal pay for equal work is the common phrase associated with this law.

A woman must be paid the same wages as a man for the same job.

?Age Discrimination in Employment Act. It is illegal to discriminate against workers because of their age when they are more than 40 years old. All employment decisions, from hire to fire, must be based only upon business necessity.

?Pregnancy in Discrimination Act. Females who are pregnant must be treated the same as any other employee with a short-term disability.

?Fair Credit Reporting Act. Employers need to prove a business necessity to use credit checks for employment purposes. Some instances in which credit checks might be permissible are for positions requiring bonding, financial discretion or major financial responsibility.

?Americans with Disabilities Act. This act prohibits discrimination against a person with a disability, defined as a physical or mental impairment that substantially limits one or more of his or her major life activities.

If the individual is able to perform the essential functions of the job with or without reasonable accommodation, and this person is the most qualified person for the job, it would be illegal not to hire the individual because he or she is disabled.

These laws are pretty straightforward in their intent but get complicated when applied to different situations. Seek professional advice accordingly if you ever have a question to ensure minimal liability to your company.

(Lynne Haggerman is president/owner of Haggerman & Associates, an employment, management training, human resources consulting, and outplacement firm.)