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So, here’s something, I’ve been practicing for 28 years, and I’m also an employer. I’ve formed my own business almost six years ago, and I appreciate now more than ever, I don’t want to spend money on things that I don’t have money for. And the truth is when you’re thinking about, “How am I going to manage a disabled employee?” Or any employee for that matter. In compliance with the law it’s really a $750,000.00 question. That’s a big deal. Average what you pay your lawyer to defend a lawsuit is $250,000.00, and if you lose you pay the other side’s lawyer, average award about $250,000.00. So, when we say, “Hmm, do I have time today to make sure I have the right documentation? Oh, yeah. I do. It’s a $750,000.00 problem, so I’m making time for that one. I might have to skip lunch, but I’m making time for that.”
Minneapolis and St. Cloud employment law attorney Sheila Engelmeier discusses the $750,000 problem, because that’s how much it often costs to lose an employment lawsuit. She explained that, after practicing law for 28 years and owning her own business for nearly six years, she has developed a greater appreciation for the importance of making sound financial decisions and avoiding unnecessary expenses. She emphasized that properly managing employees, particularly those with disabilities, in compliance with employment laws is not only a legal responsibility but also a significant financial consideration. According to her, the cost of mishandling an employment matter can reach approximately $750,000, including an average of $250,000 in legal fees to defend a lawsuit, another $250,000 in the opposing party’s attorney’s fees if the employer loses, and an average $250,000 damages award.
She stressed that employers should make time to maintain proper documentation and ensure compliance with the law because the financial consequences of failing to do so can be substantial. She noted that taking the time to prepare accurate records and follow legal requirements is a worthwhile investment, even if it requires sacrificing other priorities, because it can prevent costly legal disputes in the future.