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How Businesses Can Avoid Post-Pandemic HR-Related Liabilities

Forbes Human Resources Council

Niki is director, service operations with Insperity. She specializes in employee onboarding, human capital management and HR infrastructure.

While the pandemic caused unprecedented disruptions, challenges and opportunities for most companies, forcing business leaders to pivot and refocus their efforts, it also provided the perfect storm to overshadow key employment practice areas.

In a post-pandemic environment — one in which employers are overwhelmed with defining current and future work arrangements, filling open positions, updating technology, maintaining corporate culture and encouraging innovation — managing risk can be an easily overlooked task.

As the economy fully reopens and businesses continue to navigate an evolving workplace landscape, leaders should remain diligent about complying with the myriad employment-related laws and regulations. Failure to properly manage employer liabilities can result in hefty fines and/or penalties, which not only affect the bottom line but can also impact a company’s reputation.

Below are some steps business leaders can take to help avoid post-pandemic liabilities.

Stay Informed On Employment Legislation

Remaining abreast of employment laws, statutes, regulations and agency guidelines from the Centers for Disease Control and Prevention (CDC), Occupational Safety and Health Administration (OSHA), Department of Labor (DOL) and the Equal Employment Opportunity Commission (EEOC) is always important. However, as the government continues to manage the post-pandemic situation, along with any Covid-related variants that could become concerning, there is always the possibility for more legislative changes. Based on the flurry of legislative changes that occurred last year related to the coronavirus, business owners should be well-versed in proactively determining their responsibilities under relevant federal and state laws.

Update Employee Handbooks

With the numerous changes in the workplace, including any new federal and state laws, return-to-work policies, safety guidelines, employee leave requests and more, it is critical to review and update employee handbooks accordingly. For example, business leaders should create a checklist of all employee-related policies and/or procedures implemented since the pandemic’s onset to ensure they are included and clearly communicated in the employee handbook. With a rapidly changing environment, an accurate and up-to-date employee handbook is an important resource for both workers and employers.

Remain In Compliance 

Two common obstacles that have emerged for business owners are payroll compliance and the Fair Labor Standards Act (FLSA), which establishes minimum wage, overtime pay, recordkeeping and youth employment standards that affect employees in the private sector and in federal, state and local governments. Covered employers should be vigilant about complying with their obligations under the FLSA.

In addition, companies with multi-state operations face greater challenges related to payroll compliance because of the varying rules and regulations within each state. With more employees working in a hybrid model, companies should ensure that workers are properly classified as exempt or nonexempt, affecting how they are paid, including overtime hours. Miscalculating employees’ pay, improperly classifying workers, failing to complete I-9 and W-4 forms for new hires and forgetting to report taxes are some of the common payroll compliance pitfalls business owners should avoid.

Continue To Address Workplace Safety

As more employees return to the office, employers need to continue addressing safety in the workplace. Numerous safety measures — such as designating one-way aisles or hallways, limiting the number of people on elevators and installing plexiglass dividers — were implemented in 2020. However, when more workers are on site, the need to incorporate additional protocols to maintain a healthy work environment may become apparent. This will not only encourage more employees to feel comfortable about returning to the office, but it also demonstrates the company’s care and concern for its workforce. 

As business leaders transition to a hybrid work model and handle the ongoing responsibilities of operating a business, they should be vigilant about avoiding employment-related liabilities that can derail their efforts. With a focus on employment legislation, updated employee handbooks, payroll compliance and workplace safety, employers are better positioned to manage risk, avoid pitfalls and move their companies forward to achieve greater success. Seeking assistance from a human resources professional or an employment attorney can also provide additional guidance for business owners.


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