Chapter 9 - § 9.11 • EMPLOYEES

• Jurisdiction: Colorado

§ 9.11 • EMPLOYEES

Subject to the declaration and without specific authorization in the declaration, an association has the authority to hire and terminate employees, agents, and independent contractors.³⁷⁹ Most associations obtain services from independent contractors, but many also have employees. An association may have a full-time, on-site worker — most often a maintenance person — who is, in fact, an employee of the management company. However, when an association is actually an employer, it needs to be aware that it incurs responsibilities and liabilities. The association will generally have a responsibility to maintain a safe work environment.³⁸⁰ There are risks of liability for negligent hiring,³⁸¹ supervision, or retention.³⁸² The association will have tax and worker's compensation obligations. It may have to deal with federal and state laws that regulate employment. If the association fires an employee, it faces the possibility of discrimination or unemployment claims.³⁸³ Community association managers should have at least one person on staff who is familiar with human resources to whom the association can turn for help.

One employment issue an association probably will not expect to encounter is organized labor and collective bargaining representation. However, when workers are employed by a community association, the employment relationship is governed by the National Labor Relations Act.³⁸⁴

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Notes:

^[379] C.R.S. § 38-33.3-302(1)(c). Consider Templeton v. Nocona Hills Owners Ass'n, 555 S.W.2d 534 (Tex. Civ. App.—Texarkana, 1997) (president of unincorporated association did not have actual or apparent authority to enter employment contract on board's behalf); Trafalgar Towers Ass'n No. 2, Inc v. Zimet, 314 So.2d 595 (Fla. 4th DCA 1975) (hiring a resident manager and purchasing a unit to house the manager so he could be available 24/7 for emergencies was in furtherance of association's duty to maintain common elements); Wayne v. Unigard Mut. Ins. Co., 316 So.2d 581 (Fla. 3d DCA 1975) (no law required association to notify unit owners of termination of custodial employee); Jarvis v. Stage Neck Owners Ass'n, 464 A.2d 952 (Me. 1983) (where bylaws permitted board to enter into management agreements for administration of common areas and facilities, agreement to delegate responsibility for managing common areas and facilities to third party was valid).

^[380] See, e.g., Westervelt v. Thyssenkrupp Elevator Corp., 76 So.3d 10 (Fla. 4th DCA 2011)...