Running a small business in Pennsylvania can be both rewarding and challenging. One of the challenges many Pennsylvania small business owners face is dealing with employment disputes. These are disagreements between employers and employees that can lead to lawsuits. Let's break down the main types of employment disputes and how you can avoid them.

Wrongful Termination

Wrongful termination happens when an employee believes they were fired unfairly. This could be because they think they were let go due to their race, gender, age, or other protected characteristic. To avoid wrongful termination claims, always document the reasons for firing an employee and ensure they follow company policy and employment laws.

Discrimination

Discrimination in the workplace occurs when an employee is mistreated because of their race, gender, age, disability, or other protected traits. This can lead to lawsuits that can be costly and damaging to your business's reputation. To prevent discrimination, create a clear anti-discrimination policy and provide regular training to your employees.

Harassment

Harassment includes any unwelcome behavior that creates a hostile work environment, such as sexual harassment or other forms of bullying or intimidation. It's important to have a strong anti-harassment policy and take any complaints seriously. Make sure to investigate all complaints and act to stop the harassment.

Wage and Hour Disputes

Wage and hour disputes arise when employees believe they are not being paid fairly. This could be because of unpaid overtime, not receiving minimum wage, or being classified incorrectly as an exempt employee. To avoid these disputes, ensure you follow all wage and hour laws and keep accurate records of employee hours and pay.

How to Protect Your Business

1. Create Clear Policies: Write policies for termination, discrimination, harassment, and wage issues. Ensure that all employees understand these policies.

2. Keep Good Records: Document everything, from hiring and firing decisions to wage and hour records. This documentation can be crucial if a dispute arises.

3. Train Your Employees: Regular training on company policies and employment laws can help prevent disputes. Make sure your employees know their rights and responsibilities.

4. Seek Legal Advice: If you're unsure about employment laws or facing a dispute, it's a good idea to consult with a lawyer. They can provide guidance and help protect your business.

Employment disputes can be challenging, but with the right policies and practices in place, you can reduce the risk of facing them. Understanding these common issues and taking proactive steps can create a fair and positive work environment for your employees.

Running a small business is hard work, but dealing with employment disputes doesn’t have to be. Stay informed, stay prepared, and your business can thrive

*Disclaimer: the advice provided is for informational purposes and is not intended as legal advice.  It should not be relied on, nor construed as creating an attorney-client relationship.