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Common employment law issues faced by HOAs

As someone who runs a homeowners’ association (HOA), you are likely to hire staff to keep your community safe and pristine. Typically, this extra responsibility also comes with employment-related problems. Familiarizing yourself with these issues can be vital in the long run.

HOAs must follow applicable laws

While your association may have its rules and regulations, you still need to adhere to state and federal employment laws. This is indisputable, and practicing otherwise can lead to legal challenges that can involve:

  1. Misclassifying between an employee and an independent contractor
  2. Failing to pay overtime for extended hours and provide required breaks
  3. Discriminating based on protected characteristics (race, age, gender, etc.)
  4. Failing to implement safety policies and procedures
  5. Improper documentation when terminating an employment
  6. Denying employees their entitled leaves
  7. Inaccurate maintenance of employee records

The legal repercussions of these issues can include paying hefty fines and back-pay obligations. On the non-legal side, this may put your position at risk, as HOA members can call for your resignation, whether the claim is valid or not.

Mitigating the risks

There are reasonable steps you can take to avoid these risks. For starters, you can contact an attorney to assist you in drafting employment policies, dealing with complex legal situations and ensuring compliance with relevant regulations.

Another approach includes investing in regular training on employment law and maintaining clear documentation. Your attorney can further help in finding effective methods. These may seem like small steps, but they can help take care of your employees’ well-being.