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TRANSCRIPT
Joseph T. Clees
Employment Law Updates... and Wacky Cases 1
Employment Law Update … and Wacky Cases
.
Presented by
Joseph T. Clees, Esq. (Phoenix)
© 2018, Ogletree, Deakins, Nash, Smoak & Stewart, P.C. ogletree.com
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Trends in 2018
Localization of employment law States, cities and counties
Ballot referenda
Ban the box ordinances
Salary history prohibitions
Credit check restrictions
Joseph T. Clees
Employment Law Updates... and Wacky Cases 2
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Trends in 2018
Minimum wage and paid leave
Paid parental leave
Pay equity
Predictive scheduling
ADA
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Make Employment Law Great Again?
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Fair Pay and Safe Workplaces Order (“Blacklisting” rule)
Clarification of Employer’s Continuing Obligation to Make and Maintain Accurate Records of Each Recordable Injury and Illness (“Volks” rule)
CRA Overhaul of Obama-Era Employment Regulations
Joseph T. Clees
Employment Law Updates... and Wacky Cases 3
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Project Labor Agreement Return to contract neutrality
Right to (or not to) unionize Return to no notice requirement
$10.20 min. wage for federal contractors
Rescinding Executive Orders?
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Preserving LGBTQ Executive Order
Gender identity and sexual orientation Protected categories for
federal contractors
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Administrative Agencies
Joseph T. Clees
Employment Law Updates... and Wacky Cases 4
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Alexander Acosta Former NLRB Board Member
Former DOJ Civil Rights Division Chief
Former U.S. Attorney S.D. Fla.
Expected to have balanced approach
“I think he’s going to be a tremendous Secretary of Labor” – President Trump
Secretary of Labor
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What was required? Component 2 was added to include aggregate W-2 wages and
total hours worked across pay bands and EEO-1 categories.
What were employers’ concerns? Burden and cost of compliance; Lack of utility; and Confidentiality.
What happened to the revised reporting requirements? On August 29, 2017, they were stayed until further notice.
Revised EEO-1 Reporting Requirements
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What does the stay mean for employers? You do not have to report compensation or hours worked
data to the EEOC.
Use the traditional EEO-1 form.
Delayed reporting deadline remains March 31, 2018.
EEO-1 Revised Reporting (cont’d)
Joseph T. Clees
Employment Law Updates... and Wacky Cases 5
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What is likely to happen? The EEOC and the Office of Management and Budget have
not abandoned the concept of compensation or hours reporting.
But it is re-examining the appropriate process for any such reporting.
EEO-1 Revised Reporting (cont’d)
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Cheryl Stanton Former Ogletree Deakins Shareholder
Former Executive Director of South Carolina Dept. of Employment and Workforce
Worked in White House for George W. Bush
Clerked for Justice Alito on Third Circuit
Administrator for Wage and Hour Division
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What to expect Overtime rule Persuader rule (enjoined,
abandon appeal?) Increase minimum wage? Who is/isn’t an independent
contractor?
Department of Labor
Joseph T. Clees
Employment Law Updates... and Wacky Cases 6
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DOL can set a salary level test Injunction should be reversed But DOL wants to revisit specific
salary level Acosta: $47,476 is too high, but
$30-35,000 is appropriate
DOL’S Current Position on Overtime
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DOL Secretary Acosta Hearing Testimony Salary level higher than $23,660, but not $47,476
More reasonable level would be between $30,000 and $35,000
DOL announced on October 30 it would appeal Texas district court decision invalidating Obama rule and seek further rulemaking to determine what salary level should be
DOL – Overtime Rule Not Dead Yet
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Victoria Lipnic, Acting Chair EEOC
Temporary Leadership
Joseph T. Clees
Employment Law Updates... and Wacky Cases 7
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Janet Dhillon – New EEOC Chair?
June 28, 2017 - Nominated to lead the EEOC
Former lawyer for Burlington Stores, JC Penny, and US Airways
Former President of Retail Industry Leaders Association Supports retail industry with policy and litigation
supporting employers in court over labor and employment law issues.
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Immigrant, migrant, and other vulnerable workers ADA qualification standards and leave policies Temporary workers, staffing agencies, independent contractors Gender-based pay discrimination Retaliatory practices Addressing selected emerging and developing issues Systemic harassment Access to legal system
EEOC Strategic Enforcement Plan (2017-2021)
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Change in enforcement priorities
Slowdown in systemic litigation
Eliminate EEO-1 revisions
Merger with OFCCP?
EEOC – Potential Changes
Joseph T. Clees
Employment Law Updates... and Wacky Cases 8
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“The EEOC remains committed to strong enforcement of our federalequal pay laws, a position I have long advocated… I do hope thatthis decision [to stay the revised EEO-1 reporting requirements] willprompt a discussion of other more effective solutions to encourageemployers to review their compensation practices to ensure equalpay and close the wage gap. I stand ready to work with Congress,federal agencies, and all stakeholders to achieve that goal.”
- Victoria Lipnic,Acting Chair of the EEOC
Pay Equity: A Strategic Focus
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Conduct a confidential pay equity analysis – it is time to look behind the curtain.
Obtain senior management commitment to the audit and fixing any issues before auditing.
Transparent versus privileged audit?
Pay Equity: What Can We Do?
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EEOC – HQ Directive
Decrease in number of charges to be investigated
Lack of resources & hiring freeze
Investigators responsible for screening out “no action” charges
Joseph T. Clees
Employment Law Updates... and Wacky Cases 9
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Key Statistics - 2016 Filed charges up 2.4% to 91,503
Recoveries down 20% to $52.2MM
45.9% involved a retaliation claim (from 44.5%)
35.3% involved race (from 34.7%)
30.7% involved disability / 28,073 = most ever!
News! 40% of sex claims by LGBT persons.
EEOC litigation
Recoveries down 20% to $52.2MM
139 cases resolved = $375,500 avg.
Only 86 new cases filed; down 39% from 142 Recoveries through mediation and settlements down 2.4% to $347.9MM
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Digital Charge System Effective January 2, 2016
EEOC is now providing the respondent’s position statement and non-confidential attachments to charging party upon request and is alsoproviding an opportunity to respond within 20 days
But respondents will not receive a copy of the charging party’s responseduring the investigation
Practical Tip: Respondents should provide confidential information inseparately labeled attachments
https://www.eeoc.gov/employers/position_statement_procedures.cfm
Joseph T. Clees
Employment Law Updates... and Wacky Cases 10
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BIG Update… Early Dismissals Our inside sources tell us: new directive from Acting EEOC Chair, Victoria Lipnic Efforts to decrease the backlog (getting it down to 100,000)
Still obligated to take claims from anyone who files Screen out charges without a high probability of liability (e.g., little detail) If claims do not have merit, immediately dismiss the charge even without a position
statement from respondent Investigation: now received by investigator not intake personnel Telephonic meetings are encouraged. Putting more responsibility on the charging
party to provide evidence. Only charges that appear to have merit will be forwarded to respondent for a position
statement or other technique. We can anticipate that these will now be viewed as an “A” charge of the past
Bottom line – earlier rights-to-sue but less information for a plaintiff’s lawyer to evaluate.
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Online Inquiry and Appointments On March 15, rolled out to five cities: Charlotte, Chicago, New Orleans,
Phoenix and Seattle
Available to charging parties within 100 miles of one of these cities
Designed to improve service to the public, streamline the administrative process, and reduce the use of paper submissions and files
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NLRB: Current Board Composition
Mark Gaston Pearce Reappointed 2013
Term ends Aug. 27, 2018
Lauren McFerran Appointed 2014
Term ends Dec. 16, 2019
William Emanuel Appointed 2017
Term ends Aug. 27, 2021
Joseph T. Clees
Employment Law Updates... and Wacky Cases 11
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The Transition: General Counsel and Open Board Seats
Marvin KaplanConfirmed
John F. RingNominated
Peter RobbGeneral Counsel
Confirmed
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Class action waiver
Quickie election rule – RFI issued
“Mini” bargaining units – overturned
Joint employer – overturned
Handbook policies – overturned
NLRB – Potential Changes
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Banner Health, D.C. Circuit (March 24, 2017)
Case held
− Upheld invalidation of overly broad confidentiality agreement
− Denied enforcement of sanction against Banner for maintaining a categorical nondisclosure rule
Record lacks substantial evidence of categorical investigative nondisclosure policy
Banner did not violate Section 7 of the NLRA
Confidentiality of Workplace Investigations
Joseph T. Clees
Employment Law Updates... and Wacky Cases 12
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Purple Communications, 361 NLRB No. 126 (2014)
Whole Foods Market Group, Inc., 363 NLRB No. 87 (2015)
Use of Company Email and Audio and Video Recording
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Immigration
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Federal Sanctuary Cities Update
April 21: DOJ sent letters to 9 jurisdictions ordering proof of compliance before June 30 or risk losing certain grants
Chicago, Las Vegas, Miami, Milwaukee, New Orleans, Philadelphia, New York City, Sacramento
May 22: Attorney General Jeff Sessions issued DOJ memo
Narrows applicability of President Trump’s executive order
Applies solely to federal grants administered by DOJ or DHS and not to other sources of federal funding
Example: Office of Community Oriented Policing Services
Joseph T. Clees
Employment Law Updates... and Wacky Cases 13
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Increased on-site enforcement
Document Audits, Raids
Mandatory E-Verify? (requires congressional action)
DACA/DAPA retained
Legal immigration
H-1B reforms – no qualified American worker (requires congressional approval)
Immigration - Compliance
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6 weeks paid maternity leave?
Tax breaks for child care?
Paternity leave?
Parental Leave
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President Obama’s Federal Circuit Court Legacy
Joseph T. Clees
Employment Law Updates... and Wacky Cases 14
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Neil Gorsuch replaced Justice Scalia
Potential to fill another vacancy on the Supreme Court (Ginsberg, age 84, Kennedy, age 81, Breyer, age 78)
Potential to fill almost 100 vacancies in the federal judiciary – 39 nominated to USDC as of 10/31/17, 18 to Courts of Appeal
President Trump & the Judiciary
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National Labor Relations Board ~
NLRB position: right to bring a class action is protected concerted activity under NLRA Section 7
Circuit Courts of Appeal are split
October 2, 2017: SCOTUS heard argument
Arbitration Agreements &Class Action Waivers
Atlanta / Austin / Berlin / Birmingham / Boston / Charleston / Charlotte / Chicago / Cleveland / Columbia / Dallas / Denver / Detroit (Metro) / Greenville / Houston / Indianapolis / Jackson / Kansas CityLas Vegas / London / Los Angeles / Memphis / Mexico City / Miami / Milwaukee / Minneapolis / Morristown / Nashville / New Orleans / New York City / Oklahoma City / Orange County / Paris / PhiladelphiaPhoenix / Pittsburgh / Portland / Raleigh / Richmond / Sacramento / San Antonio / San Diego / San Francisco / Seattle / St. Louis / St. Thomas / Stamford / Tampa / Toronto / Torrance / Tucson / Washington, D.C.
HOT TOPICS:
TOPIC 1: Leave of Absence Many Sources of Leave
FMLA
State Leave Laws
Sick Pay Laws – usually local
Pregnancy Laws
ADA
Joseph T. Clees
Employment Law Updates... and Wacky Cases 15
Atlanta / Austin / Berlin / Birmingham / Boston / Charleston / Charlotte / Chicago / Cleveland / Columbia / Dallas / Denver / Detroit (Metro) / Greenville / Houston / Indianapolis / Jackson / Kansas CityLas Vegas / London / Los Angeles / Memphis / Mexico City / Miami / Milwaukee / Minneapolis / Morristown / Nashville / New Orleans / New York City / Oklahoma City / Orange County / Paris / PhiladelphiaPhoenix / Pittsburgh / Portland / Raleigh / Richmond / Sacramento / San Antonio / San Diego / San Francisco / Seattle / St. Louis / St. Thomas / Stamford / Tampa / Toronto / Torrance / Tucson / Washington, D.C.
Leave Trouble Spots
Failure to follow FMLA process
Lack of awareness of State & Local laws
Lack of communication during leave
Leave Abuse
Confusion on how to address employment at end of statutory or policy leave
ADA considerations
Atlanta / Austin / Berlin / Birmingham / Boston / Charleston / Charlotte / Chicago / Cleveland / Columbia / Dallas / Denver / Detroit (Metro) / Greenville / Houston / Indianapolis / Jackson / Kansas CityLas Vegas / London / Los Angeles / Memphis / Mexico City / Miami / Milwaukee / Minneapolis / Morristown / Nashville / New Orleans / New York City / Oklahoma City / Orange County / Paris / PhiladelphiaPhoenix / Pittsburgh / Portland / Raleigh / Richmond / Sacramento / San Antonio / San Diego / San Francisco / Seattle / St. Louis / St. Thomas / Stamford / Tampa / Toronto / Torrance / Tucson / Washington, D.C.
HOT TOPICS:
TOPIC 2: Transgender and Sexual Orientation Issues Is it protected under Title VII?
EEOC Guidance
Protected under Federal Contractor guidelines
Bathrooms
Dress Codes – gender neutral
Atlanta / Austin / Berlin / Birmingham / Boston / Charleston / Charlotte / Chicago / Cleveland / Columbia / Dallas / Denver / Detroit (Metro) / Greenville / Houston / Indianapolis / Jackson / Kansas CityLas Vegas / London / Los Angeles / Memphis / Mexico City / Miami / Milwaukee / Minneapolis / Morristown / Nashville / New Orleans / New York City / Oklahoma City / Orange County / Paris / PhiladelphiaPhoenix / Pittsburgh / Portland / Raleigh / Richmond / Sacramento / San Antonio / San Diego / San Francisco / Seattle / St. Louis / St. Thomas / Stamford / Tampa / Toronto / Torrance / Tucson / Washington, D.C.
HOT TOPICS:
TOPIC 3: Background Checks FCRA
State and Local Laws
Forms Disclosures and Authorizations
Joseph T. Clees
Employment Law Updates... and Wacky Cases 16
Atlanta / Austin / Berlin / Birmingham / Boston / Charleston / Charlotte / Chicago / Cleveland / Columbia / Dallas / Denver / Detroit (Metro) / Greenville / Houston / Indianapolis / Jackson / Kansas CityLas Vegas / London / Los Angeles / Memphis / Mexico City / Miami / Milwaukee / Minneapolis / Morristown / Nashville / New Orleans / New York City / Oklahoma City / Orange County / Paris / PhiladelphiaPhoenix / Pittsburgh / Portland / Raleigh / Richmond / Sacramento / San Antonio / San Diego / San Francisco / Seattle / St. Louis / St. Thomas / Stamford / Tampa / Toronto / Torrance / Tucson / Washington, D.C.
HOT TOPICS:
TOPIC 4: Protected Concerted Activity Confidentiality
Handbooks and Policies
Solicitation and Distribution
Computer Usage
Social Media
Dress Codes
Atlanta / Austin / Berlin / Birmingham / Boston / Charleston / Charlotte / Chicago / Cleveland / Columbia / Dallas / Denver / Detroit (Metro) / Greenville / Houston / Indianapolis / Jackson / Kansas CityLas Vegas / London / Los Angeles / Memphis / Mexico City / Miami / Milwaukee / Minneapolis / Morristown / Nashville / New Orleans / New York City / Oklahoma City / Orange County / Paris / PhiladelphiaPhoenix / Pittsburgh / Portland / Raleigh / Richmond / Sacramento / San Antonio / San Diego / San Francisco / Seattle / St. Louis / St. Thomas / Stamford / Tampa / Toronto / Torrance / Tucson / Washington, D.C.
HOT TOPICS:
TOPIC 5: Accommodations ADA: For Disabilities
Assume Disabled Always
Engage in Interactive Process
Considerations for Accommodations
Document Steps
Atlanta / Austin / Berlin / Birmingham / Boston / Charleston / Charlotte / Chicago / Cleveland / Columbia / Dallas / Denver / Detroit (Metro) / Greenville / Houston / Indianapolis / Jackson / Kansas CityLas Vegas / London / Los Angeles / Memphis / Mexico City / Miami / Milwaukee / Minneapolis / Morristown / Nashville / New Orleans / New York City / Oklahoma City / Orange County / Paris / PhiladelphiaPhoenix / Pittsburgh / Portland / Raleigh / Richmond / Sacramento / San Antonio / San Diego / San Francisco / Seattle / St. Louis / St. Thomas / Stamford / Tampa / Toronto / Torrance / Tucson / Washington, D.C.
What is the Cause of Employment Lawsuits?
Poor Communication
Supervisor Mishandling
Employee Perceptions
Joseph T. Clees
Employment Law Updates... and Wacky Cases 17
Atlanta / Austin / Berlin / Birmingham / Boston / Charleston / Charlotte / Chicago / Cleveland / Columbia / Dallas / Denver / Detroit (Metro) / Greenville / Houston / Indianapolis / Jackson / Kansas CityLas Vegas / London / Los Angeles / Memphis / Mexico City / Miami / Milwaukee / Minneapolis / Morristown / Nashville / New Orleans / New York City / Oklahoma City / Orange County / Paris / PhiladelphiaPhoenix / Pittsburgh / Portland / Raleigh / Richmond / Sacramento / San Antonio / San Diego / San Francisco / Seattle / St. Louis / St. Thomas / Stamford / Tampa / Toronto / Torrance / Tucson / Washington, D.C.
What is the Cause of Employer Losses?
Inconsistency
Management did not know the facts or could not prove them
Hasty decisions or inadequate planning and attention to detail
Employment Law Update … and Wacky Cases
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Presented by
Joseph T. Clees, Esq. (Phoenix)
© 2018, Ogletree, Deakins, Nash, Smoak & Stewart, P.C. ogletree.com