Clarke & Sampson Blog

Coverage Insights: Top Trends In Employment-related Claims (EPLI)

Scott Jefferson | Tuesday, December 29, 2020

Employers face a growing number of HR oriented risks. Keeping up with EPLI claims trends can help you make more informed decisions about how your HR department operates. Here are seven recent trends you should take into account when establishing your procedures and making insurance decisions. 

  1. Sexual harassment. The #MeToo movement has spurred an increase in harassment claims, including LGBTQ-based sexual harassment charges.
  2. Retaliation. More than half of all EEOC claims filed in 2019 involved claims of retaliation. And employers can be on the hook for retaliation even if it turns out there was no underlying harassment or discrimination. 
  3. Pay equity. The Bureau of Labor Statistics reports that women continue to trail men in earnings, making about 81% of what men are paid. In the last few years, a number of states have enacted pay equity laws that impose stricter standards on employers and lessen the legal burden for employees alleging wage discrimination.
  4. Marijuana legalization. At least 11 states now allow recreational marijuana use, and even more allow medical marijuana use, creating legal complications for employers who test for drugs (especially those with zero-tolerance policies).
  5. Worker classification. The gig economy has made it imperative that you properly classify your employees. If an independent contractor or unpaid intern is performing the duties of a regular employee, you may be in violation of the Fair Labor Standards Act and corresponding state law. You could also be in violation if you’ve denied overtime to employees by misclassifying them as exempt.
  6. Website accessibility. Plaintiffs’ attorneys continue to sue businesses with public-facing websites. These suits allege that a company’s website is a “public accommodation” under Title III of the Americans with Disabilities Act. If you conduct commerce online, make sure your site is compliant with the ADA.
  7. Pregnancy and lactation accommodation. Nearly half the states have passed laws that protect pregnant workers by requiring employers to provide reasonable accommodations. Some of these laws also require employers to accommodate lactation for a certain period of time after an employee gives birth.

Contact Clarke & Sampson today to learn more about EPL claim trends, coverage topics, HR best practices, and more.  

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