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  • Are you confident in your company’s policy on sexual harassment? What if I told you in 2016 nearly 13,000 sexual harassment charges were filed with the Equal Employment Opportunity Commission (EEOC), costing companies over $40 million in claims payout, not including monetary benefits obtained through litigation. That email circulating around the office with the most recent celebrity nudes could cost you millions once Bill prints a copy and tapes it to Martha’s computer!

    Image of sexual harassment in the workplace. Learn how a clear, enforced harassment policy can prevent sexual harassment.

    What is Sexual Harassment? 

    When most people think of harassment, they think of making inappropriate jokes or forwarding a “funny” email to a co-worker, but there are two distinct type of sexual harassment: Quid Pro Quo and Hostile Work Environment  . In short, quid pro quo sexual harassment involves a boss or other person in a position of power pressuring workers into sexual acts in exchange for workplace favors. A hostile work environment occurs when an employee or employees are subject to pervasive or severe acts or language that is deemed inappropriate. The company has a responsibility to all employees to ensure they are treated with respect and dignity. 

    Happy Hour Gone Wrong! 

    Employees can experience sexual harassment outside of the office in what may seem like harmless fun. For example, employees might feel pressured to drink because the boss ordered a third round. It is important to not make employees take part in activities that make them uncomfortable. Company events including happy hour, team building retreats, and holiday parties can increase the risk of employees being sexually harassed. 

    Play Offense, Not Defense! 

    The employer plays a key role in the prevention of harassment in the workplace. Proper training plays a huge role in the success of preventing sexual harassment. GMS can educate and train all your employees to successfully prevent sexual harassment in the workplace. We do this through custom training programs designed to meet the needs of your company and incorporate real-world scenarios your employees could encounter. During the training, your employees will learn laws and regulations they must follow, along with proper procedures in how to handle a situation in which they are being sexually harassed. 

    Can You Afford a Sexual Harassment Lawsuit? 

    If an employer has not taken all the reasonable steps to prevent and deal with harassment in the workplace, they may be liable for any harassment which does occur. The EEOC standard for employer liability of sexual harassment depends typically on whether the harasser is the victim’s supervisor. An employer is directly liable for a hostile work environment created by a supervisor. 

    Recently, Ford Motor Company allegedly allowed racial and sexual harassment at two of its plants, resulting in a $10 million settlement with the EEOC. The lack of training and lax enforcement of their sexual harassment policy was directly to blame for the recent cases.

    Conclusion

    The best way to combat harassment in the workforce is to have a clear policy in place for all employees, mandate training, and investigate all claims with proper repercussions. GMS can successfully educate your employees on sexual harassment and help prevent a lawsuit that could completely derail your whole operation. Contact us today to learn more about how we can help protect your business from sexual harassment penalties.

  • A good background check is a protective measure that allows employers to make a fully-informed decision on a job candidate. Whether your business is hiring for an entry-level position or for a position of trust, these checks will help you identify potential issues up front as opposed to leaving unpleasant surprises in the future.

    There are several components to a good background check. Each of these parts provide different bits of information to help employers gain a better understanding of who an applicant is and if there are any issues. However, you also need to make sure that you’re following legal guidelines while you investigate candidates’ backgrounds as well. Keep reading for a breakdown on background checks for small businesses.

    How To Maintain Background Check Compliance

    In general, background checks are regulated by the Fair Credit Reporting Act (FCRA) and the Equal Employment Opportunity Commission (EEOC). One FCRA requirement is that you notify job candidates that you will perform a background check and have them sign off on this before you can turn to a Consumer Reporting Agency (CRA) to begin any checks or searches.

    The FCRA also requires employers to take certain steps if they decide not to hire, promote, or retain a job candidate, also known as adverse actions, due to information uncovered in a background report. First, an employer must notify the subject of the background check. This can be done orally, in writing, or electronically. Second, an employer must provide this person with an adverse action notice. According to the Federal Trade Commission, this notice includes:

    • The name, address, and phone number of the consumer reporting company that supplied the report
    • A statement that the company that supplied the report did not make the decision to take the unfavorable action and can’t give specific reasons for it
    • A notice of the person’s right to dispute the accuracy or completeness of any information the consumer reporting company furnished, and to get an additional free report from the company if the person asks for it within 60 days

    Another important detail to note is that some history may be too old to be picked up during a background check. The FCRA notes that “in most cases, a consumer reporting agency may not report negative information that is more than seven years old.”

    A small business background check for a new job applicant.

    What You Should Include In Background Checks

    A comprehensive background check should account for a variety of red flags. Small businesses should consider including the following types of checks whenever they investigate a potential employee’s background.

    Social security validation

    Tracing a social security number is a good place to start a background check. This process allows employers to complete a couple of key tasks:

    • Verify that a candidate’s social security number is legitimate
    • Uncover any additional aliases or name variations used by the candidate in the past, along with dates of birth and addresses associated with the number

    These details can help uncover any criminal records or other unsavory information that wouldn’t normally fall under the name given by the candidate. Traces can be performed through the Social Security Number Verification Service.

    Criminal records check

    If an employee has a criminal history, you’ll want to know. There are three variations of criminal records checks that will provide insight on whether an applicant has been in trouble with the law.

    • National Criminal Record Database (NCRD) search – The NCRD houses millions of searchable criminal records and sex offender registries, which can quickly point out any red flags. While an NCRD background check is a good starting point, these screenings may not include every jurisdiction or not offer enough detail for your needs.
    • Statewide criminal records check – These checks narrow down your search to a specific state, which can offer more detailed information about any potential felonies or misdemeanors.
    • County criminal records check – While county criminal background checks cover the smallest geographic area, they can offer the greatest amount of detail, including the places that an applicant with a criminal record has lived or worked.

    Employment history

    According to CNBC, 78% of candidates either misrepresented themselves on their application or would consider lying on their resume. An employment history check can help you verify job titles, dates of employment, the reason someone left a job, and rehire eligibility. Employer verification can be done through a CRA and calling a candidate’s references.

    Motor vehicle report

    This report allows employers to verify a candidate’s driver’s license verification and review driving records. According to the DMV, this information can include:

    • Past and current driver’s license statuses including suspensions, revocations, and cancellations
    • Driver’s license class
    • Special driver’s license endorsements
    • Any restrictions on your license
    • Traffic violations, such as:
      • Traffic citations
      • Vehicular crimes
      • Accident reports
      • Driving record points
      • DUI convictions

    This information is crucial for employers hiring a driver, although it can be insightful for any other job candidates as well. Motor vehicle screening services can be completed by a consumer reporting agency or through your state’s driver’s license agency, which can be found via the DMV.

    U.S. terror watch list check

    In addition to criminal records, background screenings can also include a review of the U.S. terror watch list. Third-party checks can compare candidates to various government watch lists, which can be important for any jobs where security is involved.

    Drug testing

    While drug testing is not technically a part of a background check, it’s commonly done in conjunction with pre-employment screening. In addition, past drug-related offenses can also surface during criminal record checks.

    There isn’t a single, comprehensive law that covers drug testing, so you’ll need to review your state’s specific drug testing regulations for specifics on what is and isn’t restricted. The American Civil Liberties Union keeps a list of each state’s regulations online.

    How To Run A Background Check

    Running a background check is a multi-part process that requires some initial planning and consistent application. The following five steps will help your company lay the groundwork for pre-employment background checks.

    1. Have a background check policy in place

    A written background check policy makes it easier for companies to lay out guidelines for a fair, consistent process. This policy should include the following details:

    • Which background checks your company will conduct
    • How and when the company will conduct these screenings
    • How the results of these check will be used in employment decisions
    • The responsibilities of the hiring managers and HR team when it comes to the screening process

    2. Choose a background check partner

    There are several professional background check companies that provide screening services, but not all of them are right for your business. Narrow your search to FCRA-compliant partners who can scale with your business and offer a range of screenings that will help you make the most informed hiring decision.

    3. Notify candidates of the background check

    As mentioned above, it’s essential to notify candidates of any background checks. Employers must also give candidates the aforementioned adverse action notice and have them sign a release form for any screenings before they begin.

    4. Allow for explanation

    If a candidate’s background check uncovers some information that would impact your offer of employment, give them a chance to clear any mistakes or explain the situation. Employers are required to allow candidates to review their background check results and file a dispute with the screening service if they choose to go that route.

    In addition, there are candidates who simply want to be honest and open about their past. For example, an applicant with a past misdemeanor could have learned from their mistake and be a great fit. That decision comes down to the employer, but it’s important to give employees the ability to exercise their FCRA rights before you make a call either way.

    5. Make a decision

    Once you have all the necessary information, it’s time to make the best call for your company. If the candidate is the right fit, then you’re all set to make an employment offer and prepare for the onboarding process.

    How Long Does A Background Check Take?

    On average, a typical background check is completed in three to seven days. There are times when checks are delayed due to incomplete or inaccurate check request forms or release forms. However, the majority of checks should be complete within a week. One exception is that any FBI checks can take around 30 days, but most jobs won’t require that type of timeframe.

    Can A Background Check Be Done Before A Job Offer?

    While background checks are traditionally done after an employer selects a final candidate, there is no federal law that prevents employers from running checks before an employment offer is made. There are certain state laws that dictate when you can run background checks during the hiring process, along with which types of checks are allowed. Make sure to check your local laws before if you want to test early background checks.

    Protect Your Business with Proper Background Checks

    While we highlighted several areas that should be included in a background check, there are several other areas that may be important depending on the nature of a business. Financial institutions may want to run a credit report. Other companies may want to verify an applicant’s educational degrees and school history. The answers to these inquiries are crucial, as a bad hire can lower morale, hurt company productivity, and cost as much as three times the salary of the person being replaced.

    Regardless of how much an employer decides to include, a thorough background check is a complicated process that can pull business owners away from other important tasks. As a Professional Employer Organization, GMS has the human resources experts to manage the background check process and many other critical HR functions. Contact GMS today to talk to one of our experts about human resource outsourcing and how it can save you time and money.

  • As a small business owner, you’re in control of your business. However, things that you can’t control can impact your business as well. 

    Certain laws and executive orders can potentially require you to change certain processes and policies to protect your company. It’s important to keep an eye out for any news that can lead you to review current practices and make changes, such as when Michigan Gov. Gretchen Whitmer signed an executive order to increase protections that prohibit anti-LGBTQ discrimination in January of 2019. Whether your business is in Michigan or not, it’s a good time to consider how orders like these can impact your day-to-day operations.

    A job applicant being interviewed by a small business following non-discrimatory hiring practices. 

    What Does This Mean for Your Small Business?

    For most businesses, Whitmer’s order won’t change all that much. Outgoing Gov. Rick Snyder signed a directive in December of 2018 that, per the Detroit Free Press, “barred state contractors from discriminating against gay or transgender employees,” with exceptions for churches and religiously-affiliated organizations. The new order removes that exception, but that still puts most small business owners in the same spot as before.

    The bigger takeaway from this order is that it’s a part of a bigger trend across the U.S. to extend protections to people seeking employment, whether it’s because of sexual orientation and gender identity or another reason. In addition, LGBTQ and gender discrimination claims are expensive. The U.S. Equal Employment Opportunity Commission (EEOC) enforces discrimination laws on a federal level and has forced offending employers to pay out more than $3.3 million in monetary relief. As discrimination laws evolve across the country, it’s important to be proactive about potential changes instead of waiting for an issue to arise.

    How You Can Protect Your Business During the Hiring Process

    Discrimination is a matter of hiring–or not hiring–a candidate for reasons that aren’t based on an applicant’s qualifications. Each state’s anti-discrimination laws can differ, but the best way to avoid potential issues is to have a hiring process in place that treats everyone equally and documents interviews so that you can protect yourself from any anti-discrimination claims.

    Establish Set Interview Questions

    If you don’t already, create a regimented interview process with standard interview questions that you ask every candidate. This will help you give each applicant an equal opportunity to make their case for the job. You also need to be careful about the questions you ask. Making direct inquiries that impact gender, race, age, or other protected criteria can lead to trouble. 

    For example, the Yale Office of Career Strategy notes that inquiries about family information status are potentially illegal in a job interview. A question as simple as “Are you married?” can be viewed as a way to probe for personal information or to even determine a candidate’s sexual orientation, even if it was an innocent attempt at conversation.

    Don’t Treat Some Candidates Differently than Others During the Interview Process

    No matter the opening, it’s important to conduct every interview the same way no matter who sits in front of you. Use your set list of questions and provide the same type of feedback. Follow-up questions can certainly vary depending on certain responses or specific qualifications, but it’s good to give everyone the same chance to answer the same base list of questions.

    Take Notes and Document the Results

    As you go through the interview, make sure to write detailed notes about a candidate’s responses for future evaluation. Not only are these notes useful if you have to compare a couple of close candidates, it creates a record of what was said in case an applicant tries to make a discrimination claim. In this case, you can present information on why you hired one candidate over another based on their responses and your notes. 

    If possible, it’s also good to conduct interviews with another colleague so that he or she can take notes as well. Not only will this give you another person to help during the interview, it gives you a second set of recorded notes to use in case any claims are filed.

    Keep Your Hiring Practices Ahead of the Curve 

    Finding and hiring the right job candidates is stressful. When you add in anti-discrimination considerations and other potential pitfalls that you can face in the hiring process, it can be overwhelming. Rules and regulations will continue to change over time, but there is a way that you can be proactive and protect your business.

    As a Professional Employer Organization, GMS can be the partner you need to shoulder the administrative burden and strengthen your business’ HR functions. Our team of experts allow you to outsource everything from payroll administration to employee recruitment and training programs. In turn, you not only save the time necessary to run your business, you gain the advantage of working with a group that can keep you up to date on any issues that may impact your company.

    Ready to keep your business ahead of the curve? Contact our Detroit office or one of our other locations across the country to talk to one of our experts about how we can help you strengthen your business today.

  • It’s no surprise that it’ll take a lot of questions to determine whether a job candidate is the right fit for your company. However, you may not know that there are quite a few interview questions that can land your company in trouble. 

    One example of this is the city of Cincinnati’s new Salary Equity Ordinance, a measure that passed in 2019 and will take effect in March 2020. At that time, it will be illegal for employers in Cincinnati to ask about a job candidate’s pay history. This measure impacts any step of the hiring process, ranging from job ads to employee interviews.

    While Cincinnati employers must adjust to the Salary Equity Ordinance, there are many other types of questions that are disallowed from the interview process across the country. An illegal question can lead to a variety of consequences, including a discrimination lawsuit or an investigation by the U.S. Equal Employment Opportunity Commission (EEOC). This means you’ll want to brush up on which interview questions can lead to EEOC complaints.

    HR managers after asking an illegal job interview question. 

    Problematic Topics for Job Interviews

    Some illegal interview inquiries are clear – you shouldn’t ask questions about a job candidate’s race or sexual identity. While those two topics pose apparent discrimination problems, others dangerous questions are not as apparent. 

    Even questions asked with the best of intentions can be flagged as illegal. What you may see as an innocuous attempt at small talk can be interpreted as a topic that’s off limits. As a result, here are some topics that should be addressed carefully or avoided altogether.

    National origin and citizenship

    Any question regarding a candidates’ national origin can be an issue. The Immigration Reform and Control Act of 1986 (IRCA) makes it illegal for employers to base hiring decisions on a person’s citizenship or immigration status. Even a question asking about a candidate’s accent can be misconstrued as an attempt at discrimination. However, it’s acceptable to ask whether a candidate can legally work in the U.S., provide the required documentation if hired, and read, write, and speak English if required by the job.

    Religion

    If a question involves a candidate’s potential religion, you should probably leave it unsaid. Even roundabout questions like whether a candidate will need time off for religious holidays can be seen as non-job related and an attempt to discriminate against a person for his or her beliefs. According to the Yale Center for International and Professional Experience, the only employers allowed use religious affiliation as a basis for hiring are those “whose purpose and character is primarily religious.”

    Pregnancy status

    It’s not acceptable to ask about their pregnancy – even if the person interviewed is clearly pregnant. Not only does this violate set pregnancy discrimination laws, it can also potentially appear as gender discrimination since male candidates won’t have to answer the same questions. General questions about any future planned leave is acceptable if the question isn’t tied to the pregnancy. Also, feel free to ask other neutral job-related questions involving certain work responsibilities to see if the candidate can perform necessary tasks.

    Marital status or number of children

    Like pregnancy, you aren’t permitted to ask job candidates whether they’re married or have any children. Asking about these may lead an employer to discriminate against a candidate because they may need some time to take care of their current or future children. Instead, ask about specific job-related responsibilities to see if they can perform these tasks, such as travel requirements or set work hours.

    Disability

    The Americans with Disabilities Act (ADA) makes it illegal for employers to ask a range of questions that “are likely to reveal the existence of a disability before making a job offer.” That means any questions regarding how many sick days an applicant took in the past year or what drugs they take.

    It’s also generally disallowed to ask if an applicant will need a reasonable accommodation for a job unless “the employer knows that an applicant has a disability, and it is reasonable to question whether the disability might pose difficulties for the individual in performing a specific job task” For example, the EEOC writes that it’s fine to ask about reasonable accommodation if the applicant voluntarily revealed his or her disability or there’s a clear visual sign, such as if the applicant uses a cane for a severe limp.

    Age or genetic information

    It’s only acceptable to ask about an applicant’s age if it’s directly tied to their job. For example, someone who works at a bar or some other age 21-plus environment will need to provide proof of their age. Even a question like when an applicant graduated from high school can be viewed as an attempt to identify a person’s age.

    Arrest record

    According to the EEOC, there is no federal law preventing employers from asking candidates about their criminal history – although “Using criminal history information to make employment decisions may violate Title VII of the Civil Rights Act of 1964.” It’s important to note that while there’s no federal law against asking about arrest records, many states ban the practice. As such, make sure to check your state’s laws before asking candidates about their criminal history.

    Protect Your Company During the Hiring Process

    Adding a new employee is an exciting step for any business, but it’s important to make sure that your business proceed with caution. Fortunately, there are many steps that you can take to avoid illegal interview questions. These include:

    • Establishing set interview questions for every candidate
    • Treat every candidate the same during the interview process
    • Take notes and document the results
    • Have more than one interviewer in the room

    Another way to help your business is to hire a Professional Employer Organization that can not only oversee employee hiring and training, but also help you shoulder the administrative burden created by key HR functions. The GMS team can help you stay up to date on the latest rules and regulations while managing everything from your company’s payroll to employee benefits plans.

    Whether you need HR services in Cincinnati or in some other location, GMS can help. Contact us today to talk to one of our experts about what we can do to help you protect your company now and prepare for the future.