Things You'll Need:
- Good communication skills
- Common sense approach
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Step 1
Be aware that you cannot avoid every situation that can lead to a lawsuit. Rather you will need to maintain a proactive attitude. Be alert and create good communication with your employees.
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Step 2
Train your employees and managers on the laws and effective communication. You should also attend if you need further training in this area. Some states such as CA requires sexual harassment training be conducted periodically. Check you local government website for more information.
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Step 3
Be organized. Make sure your employee files are well organized. The accounting side should also be accurate. This will come in handy if an employee sues for a wage dispute.
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Step 4
Do not over react or readily dismiss employee complaints. Make sure you understand the issue behind the complaint before you file it away or make it bigger than it is. Make sure you fully listen to the complaint before you take action. Ask the employee to put their concerns in writing.
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Step 5
Document complaints or incidents accurately and factually. A final decision on any decision or any issue should be based on facts. Please remember to remain objective when dealing when an employee or making remarks in an employee's personnel file.












