After months of talk and speculation about new overtime regulations, on June 30, 2015, the United States Department of Labor (“DOL”) issued its proposed rule and request for comments on its “white collar exemption” regulations. The so-called “white collar exemptions” – the executive, administrative and professional employees exemptions – were last revised in August 2004. Assuming the regulations are revised in accordance with the DOL’s proposal, the DOL estimates that 4.6 million workers exempt under the current regulations would become entitled to overtime under the FLSA. In addition, an estimated 36,000 employees who were previously considered “highly compensated” employees under the FLSA would no longer satisfy that definition. Read More
Emeryville will join San Francisco, Oakland and other cities across the nation that have enacted paid sick leave ordinances. On June 2, 2015, the city of Emeryville adopted its Minimum Wage and Paid Sick Leave Ordinance which goes into effect on July 1, 2015 (with enforcement starting July 2). Yes, you read that right: it goes into effect only a month after it was adopted! Read More
On May 4, 2015, the California Supreme Court issued its decision in Williams v. Chino Valley Independent Fire District, holding that unsuccessful FEHA plaintiffs should not be ordered to pay the defendant’s ordinary litigation costs unless, “plaintiff brought or continued litigating the action without an objective basis for believing it had potential merit” (also called “the Christianburg standard”). (2015) 61 Cal. 4th 97, 99-100. Prior to Williams, the Christianburg standard applied when defendants sought attorneys’ fees after prevailing on the merits of a FEHA claim, but there was a split in authority regarding whether the higher threshold in Christianburg applied to awards of ordinary costs under California Code of Civil Procedure section 1032. Williams resolved the split and held that FEHA constitutes an exception to section 1032 and that defendants must meet the higher threshold in Christianburg before the court can exercise its discretion in awarding costs.
On June 10, 2015, the New York City Council passed the Fair Chance Act (the “Act”), which prohibits employers from inquiring into the criminal backgrounds of applicants in the initial stages of the employment application process. With the passage of the Act, which is expected to be signed by Mayor Bill de Blasio, New York City joins a large group of other states and municipalities in passing so-called “ban the box” legislation, which refers to laws that prohibit or restrict employers from asking about or relying upon criminal convictions and arrests or requiring employees to disclose their criminal history through a check box on an employment application. The ban the box legislation stems from the use of criminal history as an employment screening tool and from concerns that criminal history is often not a reliable indicator of job performance, and moreover, may adversely affect minority groups.
On May 28, 2015, the Sixth Circuit in Rhinehimer v. U.S. Bancorp Investments, Inc. affirmed a $250,000 jury verdict in favor of a former financial advisor for U.S. Bancorp Investments (“USBII”) who alleged that he had been terminated in violation of the Sarbanes-Oxley Act (“SOX”) whistleblower provisions. In doing so, the Sixth Circuit rejected the “definitively and specifically” standard for proving protected activity under SOX and abrogated its prior SOX decision in Riddle v. First Tennessee Bank Nat’l Assoc., 497 F. App’x 588 (6th Cir. 2012) to the extent it relied upon the standard.
Baseball season is well underway as fans fill themselves up on hot dogs and beers, don their rally caps for some late-inning luck, and cheer for their favorite players. Meanwhile, a class action against Major League Baseball by former minor league players has been trotting through federal court. In Senne v. MLB, No. 3:14-cv-00608-JCS (N.D. Cal. Feb. 7, 2014), ECF No. 1, the plaintiffs cry foul in alleging that “paying their dues” on the way to the big leagues isn’t paying the bills. Specifically, the plaintiffs allege that MLB and all 30 of its teams have violated the FLSA by not paying the minor leaguers overtime and minimum wage.
Since 2006, when the General Equal Treatment Act came into force in Germany, most decisions about discrimination have dealt with alleged discrimination based on age. Is this surprising? Probably not. According to the Federal Anti-Discrimination Agency in Germany, every fifth German claims to have already experienced discrimination at work based on age.
Employers often encounter challenging questions regarding their duty to accommodate employees who are diagnosed with stress, anxiety, or other mental health conditions that allegedly impact job performance absent accommodation. But what if an employee claims that the stress of working with a particular supervisor is disabling, and that a transfer is the only reasonable accommodation? The California Court of Appeal has provided some measure of clarity, in a recent opinion holding that anxiety and stress claimed by an employee as a result of working under a particular supervisor does not constitute a disability under California’s Fair Employment and Housing Act (FEHA). Higgins-Williams v. Sutter Med. Found., Case No. C073677 (May 26, 2015).
The federal Fair Credit Reporting Act (FCRA) has recently spawned an unprecedented number of class action complaints against employers for allegedly failing to comply with FCRA’s hyper-technical disclosure and consent requirements before conducting background checks or proceeding with “adverse actions.” As these cases have evolved, plaintiffs have expanded their focus beyond traditional background checks and have started attacking employers’ use of ever-evolving technologies, like social media accounts, that are often accessible and searchable through just a few clicks of a mouse.
Transgender issues have been grabbing headlines in recent months—perhaps most notably with Bruce Jenner’s televised announcement about his gender transition. Beyond the bright lights of pop culture, a wave of litigation and legislation is causing employers to pay closer attention to transgender discrimination and related issues. As we noted in August of last year, there is an increasing trend toward protecting gender identity and transgender status. This post provides an update and a high-level overview of the landscape in this emerging area and offers some tips for employers to minimize risk.