In today’s rapidly changing business environment being aware of emerging risk is paramount. Employment Practices Liability Insurance (EPL)is an important tool for business-owners to be aware of as they manage risk in their business. The changing work landscape has created new exposures that you must be aware of.
Marijuana Legalization – Ohio legalized recreational marijuana in November of2023 and sales started in August of 2024. While it is too early to see how employers handle marijuana use by their employees in Ohio, trends have already been established in other states. Lawsuits related to employment decisions tied to employees’ marijuana use are on the rise in states that had previously legalized recreational marijuana. As societal attitudes and legal frameworks evolve, businesses must adapt their policies and procedures to ensure compliance while safeguarding against potential EPL claims arising from decisions linked to marijuana use.
Biometric Privacy Laws – Are an emerging issue in EPL. With remote work the use of biometrics has become more prevalent. Many employers use biometric data in their timekeeping practices, while a few states and cities having biometric laws on the books that require businesses to track, inform and seek employee consent when collecting these identifiers. Failure to comply with state and local regulations could lead to an EPL claim.
Age Discrimination – Not necessarily an emerging trend in the EPL space has seen an uptick in claims in Ohio since the Employment Law Uniformity Act was passed in 2021. With the aging workforce the likelihood of age discrimination claims is more probable than ever before. Employers must navigate this delicate terrain with careful consideration, implementing fair and inclusive practices to mitigate both legal and reputational risks associated with age-related employment decisions.
Retaliation Claims – According to the Equal Employment Opportunity Commission (EEOC)now accounted for almost 60% of EPL claims filed in 2023. Retaliation allegations stem from inappropriate actions taken by employers in response to employees asserting their rights. To fortify against such claims, businesses need proactive measures, including comprehensive policies, employee training, and a commitment to fair and ethical workplace practices.
As your business continues to grow and thrive don’t get tripped up by an Employment Practices claim. If you would like to discuss how Employment Practices Liability Insurance can specifically benefit you contact the Trusted Choice Insurance agents at Richey-Barrett Insurance.
