Posted on November 25, 2009 by Tiffany Schmidt

Employee Theft & How to Handle It

Most employers are prone to a knee-jerk reaction when presented with evidence an employee is stealing from their business. They move quickly to terminate the suspected thief and stop the financial blood loss from their business. While this may immediately address the problem, it is short sighted and ultimately may be more costly to the business.

A more reasoned approach is to immediately remove the employee from the workplace. Short-term administrative leave will buy valuable time to assess the next strategic move. First, determine if there are any provisions in your employee handbook or policy manual which may apply. And if the workplace is unionized, a review of the collective bargaining agreement is necessary.

While many businesses may opt not to prosecute internal theft, a criminal investigation into the theft should at least be considered. A few factors to be evaluated include the amount of the theft, possible media coverage, and the impact on employee morale in your workplace. If you have insurance coverage, your policy may require an attempt to prosecute in order to make a claim. Discussions with local law enforcement and the prosecuting authority can also help in making a decision whether to criminally prosecute a workplace thief.

When the decision to prosecute has been ruled out, it may be time to conduct an employment investigation. Even if you have the smoking gun and the thief on tape stealing from your business, an investigation is still necessary to establish the facts. If the employee is a member of a union, they may have grievance rights to a hearing to challenge termination from employment. A Veteran has a statutory right in Minnesota to challenge termination from employment at a Veteran’s hearing.

An employee may also file for unemployment benefits and has the right to a hearing if benefits are denied. Additionally, a terminated employee may take the offensive and file a claim alleging discrimination or slander. Without a timely fact-finding investigation, it would be extremely difficult to meet the burden of proof necessary to defend your business in any type of post-termination appeal hearing.

Taking your time and being thorough can save your business money in the long run.

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Posted on November 19, 2009 by Tiffany Schmidt

Importance of Employee Handbooks or Personnel Policy Manuals

Why is it important for a business to have an employee handbook or personnel policy manual? There are many reasons.

Handbooks or policy manuals can set the tone for a business. They put all the employees on the same page with respect to workplace rules. They outline benefits for uniform and consistent treatment of employees, and they set forth the legal obligations of the employer.

Having an employee handbook or policy manual can show a good faith effort by an employer to comply with applicable laws, like EEOC, FMLA, and FLSA.

Types of polices to consider including in handbooks or policy manuals are internet usage at work, personal cell phone usage at work, attendance/punctuality, confidentiality and use of social media. If a business has decided employees will serve “at-will,” they should not include policies outlining probationary, introductory or trial periods, grievance procedures, or a lock-step discipline process. These types of policies in Minnesota could be interpreted as a guarantee of work or a contract between the employer and the employee (pdf) effectively eliminating an employee’s at-will status.

Employee handbooks or policy manuals should be tailored for each specific business; one size does not fit all when it comes to these documents. Employee handbooks or policy manuals make for better workplaces, because employees know what to expect and what is expected of them.

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Posted on November 11, 2009 by Marylee Abrams

Pandemic Planning for Minnesota Businesses

Business owners should have a strategic plan to insure their business can continue operations through a pandemic. They should review their employee handbooks and check emergency action plans to make sure they address the following issues which are sure to arise in a pandemic. 

The first four suggestions are important to insure smooth operations of your business and the last two suggestions may help to curb spread of a pandemic in your workplace.

 

  1.  Attendance: Employees are sure to be absent during a pandemic either out of fear, their own illness, or their child’s illness. During a pandemic, schools and daycares may be closed, necessitating work absences by parent employees. Review of absenteeism and leave policies should be done to determine if modifications are necessary. Congress will be considering enhancing employee leaves in response to the current pandemic.
  2. Job Assignments: Businesses should assess whether with proper training, employees can be utilized in alternative capacities or whether core job functions can be combined to insure continuity of operations and accommodate absences. Cross-training employees can avoid the problems which result when a key employee is absent and no one else can perform their job duties.
  3. Work at Home Alternatives: In some circumstances employees can accomplish their job assignments from home. This alternative can insure critical business needs are met. Supervisors should be educated on the most effective means to insure remote workers maintain productivity and communication. Flexible work schedules for employees should also be considered as part of a pandemic plan.                                                                                                                                      
  4. Communication: In the spirit of the old-fashioned calling tree, emergency plans for communicating with employees should be developed. Updating employee phone numbers, e-mails etc. should be a priority and plans made for a process to pass important work information to employees.
  5. Hygiene and Germ Control: What plans do you have to insure a safe workplace for employees who are able to attend work? Additional supplies and training may be required to prevent the spread of germs at your work site.
  6. Travel: Review travel policies and consider options to restrict, postpone, or prohibit travel of employees until a pandemic is contained. Training, conferences, and large group meetings may also need to be restricted to hinder further spread of disease.

With some advanced planning, businesses can insure they will keep their doors open through a pandemic. Employees should be kept in the loop and understand the emergency plan should it be necessary to implement it. And having a guide insures the success of your business throughout the next few months.

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