Last week, FoxHire posted a blog article about how discrimination claims had spiked during the recession and how these claims drain a company’s time and money. But for some companies, a discrimination claim is just the tip of the iceberg. They may sail through a discrimination lawsuit only to be blindsided by an ensuing retaliation claim.
Retaliation is when an employer takes an adverse action against an employee who has filed a discrimination claim. Even if an employer successfully defends a discrimination claim, they can be found guilty of retaliation.
The Equal Employment Opportunity Commission (EEOC)’s fact sheet on retaliation provides the following examples of retaliation:
- Employment actions such as termination, refusal to hire, and the denial of a promotion
- Unjustified negative evaluations
- Unjustified negative references
- Increased surveillance
Retaliation claims are just another legal risk that many employers prefer to outsource by utilizing contractors who are employees of contracting back-office firm. As the Employer of Record for the contractors, the back-office assumes most of the risk and hassle associated with these types of claims.