Is Your Business Compliant with the Equal Employment Opportunity Commission (EEOC) ?
Equal Employment Opportunity Commission regulations are meant to protect employees against discrimination in the workplace. Employers who do not comply with those regulations can find themselves the target of EEOC enforcement actions, as well as civil suits filed by employees who feel they’ve been wronged. And, these regulations are complex, covering every aspect of employer-employee relationships from placing the initial help wanted ad to retirement. So, EEOC compliance isn’t easy, and the consequences of non-compliance can be costly, both in financial terms and in damage to the reputation of your small business. Online recruiting software that includes EEOC compliance tools can help protect your business, automating the compliance process.
EEOC record keeping regulations for employers require that all personnel or employment records are kept for one year after termination of employment, including wage rates, job evaluations, seniority and merit systems. Payroll records must be kept for at least three years, and employers are obligated to keep files on employee benefit plans and seniority or merit systems for the full period the plan or system is in effect and for at least a year after it’s use has been terminated. These requirements apply to all employers who are subject to federal anti-discrimination laws, regardless of whether any charge has been filed against the employer. Keeping all those details on every employee updated and in order is a never-ending task for the average small business owner. For this reason, many have turned to EEOC compliance software to compile those records, ensuring that relevant information is not overlooked.
If a complaint is filed against your business, record retention requirements become even more stringent. When a complaint is made, the employer will be given an EEOC notice of charge that requires that all personnel or employment records relating to the issues being investigated be kept until the final disposition of that charge, and any resulting lawsuits filed by the EEOC or the employee who made the discrimination complaint. Records falling under that retention requirement include all records pertaining to the affected employee, as well as records of others holding or seeking similar positions.
Documenting the details of employer-employee interactions is wise for other reasons as well. Aside from meeting those record keeping requirements, documenting everything related to the hiring and continued employment of workers is the best way to protect your business should an employee file an EEOC complaint. An accurate, written record of the circumstances surrounding a complaint can help you defend yourself against false accusations, lending credence to your version of events. Being prepared with the details that can prove your side of the story can be the difference between having a complaint resolved in your favor and having hefty penalties imposed on your business.
Online recruiting software is invaluable to the small business owner in a variety of ways, but EEOC compliance software may well be its very best feature. EEOC regulations and compliance standards are can be confusing, even contradictory in some areas. And, they are amended and updated frequently, making it even more difficult to keep up. However, EEOC compliance software is updated regularly, making it easy to ensure your business is on top of the latest changes. Accurate and efficient EEOC compliance alone makes an investment in online recruiting software well worth the price.