Hiring new employees generally means your company is growing and expanding. However, it is important to make sure that all of your hard work is not compromised by a costly legal mistake.

The truth is that an employment lawsuit can start before you ever issue a paycheck. The process of recruiting and hiring employees is governed by a host of federal and state employment laws. Most notably, Title VII of the Civil Rights Act makes it illegal to discriminate against an applicant or employee because of that person's race, color, religion, sex (including pregnancy), national origin, age (40 or older), disability, or genetic information.

Therefore, if you are planning to expand your staff, there are certain steps you should take to help ensure the process does not lead to liability down the road. Below are some of the most common pitfalls to avoid:

• Job advertisements: Employers cannot post job listings or help-wanted advertisements that demonstrate a bias for or against applicants of a particular race, color, religion, sex, or national origin. While most employers understand that a "whites males only" ad is illegal, a less obvious example includes seeking only "recent college graduates," which may be interpreted as discriminating against applicants aged 40 and over.
   
• Interview process:
  Even well-meaning interviewers can cause legal headaches for your business. Relevant topics include the applicant's job skills, education, and employment history. Meanwhile, questions about the person's number of children, health status, union membership, or religious affiliation should be off-limits, as they imply that hiring decisions may be based on discriminatory stereotypes or assumptions.
   
• Pre-employment tests: Businesses may require that job applicants take a test prior to employment, such as submitting a writing sample or completing a skills assessment. However, any required tests must be job-related. For example, a typing test is relevant to a secretarial position but not to a landscaping job.
   
• Background checks:  Employers are not prohibited from performing consumer credit report or criminal records checks. However, state and federal laws govern the procedures for conducting these checks and their use in hiring decisions.
   
• Disability accommodation: Employers are legally obligated to provide reasonable accommodation to an employee or job applicant with a disability, unless doing so would cause significant burden for the employer. At the pre-employment stage, this may involve providing a job application in a format that can be utilized by a blind applicant.

Most employment lawsuits are preventable. The key to avoiding liability is implementing nondiscriminatory hiring practices, training your employees, and carefully monitoring enforcement.

                        How We Can Help

It is important to understand how federal and state regulations may impact your hiring policies and procedures. To help prevent unforeseen liability, contact our experienced business attorneys today.