Got Your List of Things to Think about Handy? Here's an Item to Add: Employment
Got your list of things to think about handy? Here's an item to add: Employment practices liability insurance, or EPLI, coverage that management attorney Gary Wincek says is intended to protect against the "catastrophic risks" an employer faces in an employment law suit.
There's a second item as well, particularly interesting as health benefit issues continue to swirl: How you and your health insurance salesperson relate, which attorney Larry Grudzien says is "starting to change" as insurance providers cut sales commissions.
EPLI first. Whether a small business really needs employment liability coverage depends on the business and its risk factors, but, Wincek notes, "We have a number of five-employee clients looking at EPLI."
Blame the recession. Terminated employees, "angry and upset and unable to find another job," increasingly look for someone to blame, Wincek says. Often that someone is their former employer.
Wincek is a partner at Laner Muchin Dombrow Becker Levin and Tominberg, Ltd., a Chicago law firm that represents management in employment issues. As you might expect from a Loop law firm, clients range in size up toward 40,000 employees. As you might not expect, however, there is a reasonable smattering of smaller businesses as well.
"Smaller employers are seeing more (employment) suits from laid-off employees or disgruntled former workers who see an opportunity to file a charge with the EEOC," Wincek says. Yet, the attorney isn't married to an EPLI solution.
In a letter to clients, Laner Muchin notes that smaller businesses may be better off spending EPLI premium dollars on prevention. …