Introduction

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Introduction

In a development house, your people are your core asset. They are also a primary source of legal difficulty. Hiring a staff is not just about buying computers and writing checks. There's payroll, benefits, insurance, state and federal laws, intellectual property, and confidentiality to worry about. This chapter will help you learn how to take care of your employees while protecting yourself against the volatilities inherent in all HR relationships, as well as providing a few pointers on avoiding common morale killers.

In this chapter you will learn:

• How to see things from your employees' point of view. Most people who start game companies have spent years honing their game production skills, but maybe haven't had as much experience with the science of managing human beings toward a goal.

• How to employ people without putting your company at risk. Employment and termination disputes are fertile ground for lawsuits. This section will give the bulleted list of do's and dont's.

• How to use and interpret state and federal laws. Employment relations and the workplace are heavily regulated , through laws like Title VII's anti-discrimination provisions and the Internal Revenue Code, as well as by state and local laws. We will highlight the most important federal laws and touch on some notable state variations.

• What you should include in an employment agreement. The employment agreement, a document that clarifies what is expected from the employer as well as employee, can be both sword and shield for an employer. This section outlines the major terms to be contained in such an agreement, and gives an example at the end of the chapter.

• How to hire contract employees. Independent contractors can be a great way to manage resources efficiently ,

  NOTE

  CAUTION

  The law surrounding human resources is deep and complex, and state laws vary widely. It is absolutely essential that you consult with a local attorney (for every office, if you hire employees in more than one state or country) before hiring anyone .

  The author would like to thank Myra Packman of Meiselman, Denlea, Packman, and Eberz P.C. ( www.mdpelaw.com ) for her assistance with preparing this chapter. but employers need a solid contract with the contractor to prevent intellectual property ownership disputes, and must take precautions against a contractor's being reclassified as an employee (resulting in a tax hit to the employer).

• How to avoid lawsuits. This section will detail the precautions you can take against discrimination and/or wrongful termination suits .

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