Lord of the Files-Employee Files and Why Keeping Information is Important
Analysis
• the obligations employers have to keep employee records; and
• additional information that should be kept on file, in case the employment relationship turns sour.
You may know the fable of the grasshopper and the ant - in the summertime the grasshopper plays and relaxes, while the ant works quietly away storing food for the winter. When winter comes, the grasshopper has nothing to eat while the ant has plenty of food stored away. The moral is a simple one: a little work now makes all the difference later on.
The same applies to keeping information about employees on file. If your business has five or more employees, you have legal obligations that must be met. Furthermore, by keeping additional information on the “employee file”, you can save your business time and money at the end of the employment relationship, especially if there is disagreement.