June 18, 2024

A Tale Of Two Rulings: This Week’s Conflicting Decisions On The Pregnant Worker’s Fairness Act

by Kody Condos and Leslie Perkins

Today, June 18, 2024, marks the effective date of the Pregnant Worker’s Fairness Act (“PWFA”) Final Rule, which is now effective in 48 states. The path to implementing the PWFA has been fraught with lawsuits, culminating in this week’s starkly opposing court decisions.

Leslie Perkins

Kody Condos

First, U.S. District Judge D. P. Marshall Jr. (Arkansas) dismissed a motion for preliminary injunction filed in April by attorneys general from 18 states against the Equal Employment Opportunity Commission challenging the provisions of the PWFA related to employers being required to provide reasonable accommodations for employees seeking elective abortions. Judge Marshall held the attorneys general lacked standing to sue and that the states could not show a likelihood of irreparable harm, an element required for a preliminary injunction to be successful. Because of the lack of standing and failure to meet a required element of a preliminary injunction, the Court denied the preliminary injunction as moot and ordered dismissal of the Complaint without prejudice. Read more >>

June 18, 2024

Looming Deadline For California Employers To Implement A Workplace Violence Prevention Program

By Robert Ayers and Erik Adams

Starting July 1, 2024, California will begin requiring employers to implement a workplace violence prevention program.

What are the New Requirements?

Erik Adams

Robert Ayers

California already requires nearly all employers to implement an Injury & Illness Prevention Plan (“IIPP”) that promotes “safe and healthy work practices.” The new mandate compels California businesses to also create a “workplace violence program” addressing “any act of violence or threat of violence that occurs in a place of employment… that results in, or has a high likelihood of resulting in, injury, psychological trauma or stress.” Employers must adhere to certain recording, recordkeeping, and training requirements related to their workplace violence prevention plan. The plan need not address remote workers, as long as they are “working from a location of the employee’s choice” that “is not under the control of the employer.” Read more >>

June 13, 2024

What Employers Should Know About The Pregnant Workers Fairness Act

by JT Washington

JT Washington

The U.S. Equal Employment Opportunity Commission (the “EEOC”) issued a final regulation to implement the Pregnant Workers Fairness Act (“PWFA”). The regulation goes into effect on June 18, 2024. The PWFA initially went into effect on June 27, 2023.  A primary objective of the law is to allow pregnant employees to continue working as long as they are capable, benefitting both the employees and their employers. The PWFA requires covered employers to make affirmative efforts to provide “reasonable accommodations to the known limitations related to pregnancy, childbirth, or related medical conditions of a qualified employee” unless the accommodation would impose an undue hardship. “Covered employers” include private and public sector employers with at least 15 employees, Congress, Federal agencies, employment agencies, and labor organizations. The PWFA also prohibits employers from:

  • Requiring an employee to accept an accommodation without a discussion between the employee and the employer about the accommodation;
  • Denying employment opportunities to a qualified employee or applicant based on the person’s need for a reasonable accommodation;
  • Requiring an employee to take leave, paid or unpaid, if another reasonable accommodation can be provided to the employee;
  • Taking adverse action in terms, conditions, or privileges of employment against an employee because the employee requested or used a reasonable accommodation;
  • Retaliating against an employee who opposed any unlawful act or practice under the PWFA or because an employee made a charge, testified, assisted, or participated in an investigation, proceeding, or hearing under the PWFA; or
  • Coercing, intimidating, threatening, or interfering with any individual’s rights under the PWFA.

Read more >>

June 4, 2024

The Pregnant Workers Fairness Act aka the EEOC’s New Baby

Kody Condos

by Kody Condos and JT Washington

The Pregnant Workers Fairness Act (PWFA), the newest member of the family of federal anti-discrimination laws, is almost one year old! Instead of inviting employers over for cake and photo ops, after one year of accepting charges of discrimination under the law, the U.S. Equal Employment Opportunity Commission’s (EEOC) has gifted employers with its interpretive guidelines instead. If you do not know them already, keep reading. The PWFA differs from other anti-discrimination laws in some very important ways that employers will want, and need to understand.

JT Washington

The PWFA went into effect on June 27, 2023. The EEOC’s regulations governing the PWFA go into effect on June 18, 2024. Like the Americans with Disability Act (ADA), the PWFA requires covered employers to provide qualifying employees and applicants accommodations to perform their work duties safely and without discrimination or retaliation.

This post covers key provisions of the PWFA and the EEOC’s regulations governing the law. Read more >>

April 30, 2024

Residence or Incorporation – A Look at Where Guidelines Matter When Drafting Severance Agreements

Mark Wiletsky

Mark Wiletsky

by Mark Wiletsky

Question: When crafting a severance agreement, should you follow the guidelines of the state the employee resides/works in or the state where the company is incorporated? 

Answer: The answer depends on a number of factors.  Often, companies are incorporated in a state in which they have no presence or operations, e.g., Delaware.  Although courts will sometimes allow parties to select a law to govern agreements, including severance agreements, the employee may be able to challenge the agreement if it does not comply with the state in which he or she lives or works.  In fact, some states, such as California and Colorado, have certain laws that apply to workers within their state, regardless of what the agreement says. If the agreement is drafted to comply with the laws of the state of incorporation, but not the state in which the employee worked, the release might not be effective or enforceable.  Indeed, in the event of a dispute, it can be difficult to justify why the law in Delaware, for example, should apply to a worker in Colorado if the company has no operations in Delaware and the employee did not live or work there.  Therefore, the best practice is to review the laws of the states in which the employee lives or works, and where the company is headquartered, to ensure the agreement complies with the laws of both states.  If the laws conflict, consider drafting the agreement to comply with the more restrictive laws to ensure the agreement will be enforceable.

April 29, 2024

DOL Issues Final Rule Increasing Salary Limits for Overtime Exemptions – Now What?

Janae Ruppert

Janae Ruppert

By Janae Ruppert and Bryan Benard

The highly anticipated Department of Labor (DOL) final rule is here with a potential July 1, 2024 implementation date. The rule significantly increases the minimum salary threshold for certain overtime exemptions under the Fair Labor Standards Act (FLSA) and could impact millions of employees’ currently exempt from overtime pay and their compensation structures.

Background

Bryan Benard

The FLSA generally requires covered employers to pay employees a minimum wage and, for employees who work more than 40 hours in a week, overtime pay of at least 1.5 times an employee’s regular rate of pay, provided the employee does not fall within a classified exemption. The new rule affects individuals who are employed in positions meeting the requirements for the executive, administrative, professional, and highly compensated employee exemptions. In addition to meeting other requirements outlined in the FLSA related to their specific job duties, employees’ pay must meet certain thresholds to qualify for the exemption.

Final Rule Threshold Increase

  • Beginning July 1, 2024, the final rule increases the salary threshold for FLSA’s bona fide executive, administrative, and professional employees from $684 per week ($35,568 annually) to $844 per week ($43,888 per year).
  • Beginning January 1, 2025, the final rule increases the salary threshold for FLSA’s bona fide executive, administrative, and professional employees to $1,128 per week ($58,656 per year).
  • With respect to the highly compensated employees exemption, beginning July 1, 2024, the final rule will raise the annual compensation threshold from $107,432 to $132,964 per year. Beginning January 1, 2025, the annual compensation threshold for this exemption is raised to $151,164 per year.
  • Beginning July 1, 2027, and every three years thereafter, the salary thresholds will automatically update, using the methodology in effect at the time of each update.

Read more >>

April 26, 2024

Supreme Court Lowers Bar for Adverse Actions

Mark Wiletsky

Mark Wiletsky

by Mark Wiletsky

Can an employee sue under Title VII to challenge a lateral transfer, even if the transfer does not result in a loss of pay?  According to a recent U.S. Supreme Court decision, the answer is: Yes. Employers transfer employees, or take other actions, for a variety of reasons.  Until recently, so long as those decisions did not significantly or materially impact the employee’s terms and conditions of employment, the employee did not have a viable discrimination claim.  That standard is no longer the law of the land.  Now, if there was “some harm” as a result of a transfer or other action, and the action was based on an employee’s protected characteristic, the employee can assert a discrimination claim.

Factual Background. From 2008 through 2017, Sergeant Jatonya Clayborn Muldrow worked in a coveted position in the specialized Intelligence Division of the St. Louis Police Department. In 2017, her new commander sought to replace her with a male officer.  The new commander did not fire her; instead, he transferred Muldrow to a uniformed role in another department. Although her rank and pay remained unaltered, the responsibilities, privileges, and schedule of her new position significantly differed from her previous role. In Muldrow’s original role, she worked in a “premier position” with high-ranking officials on department priorities in the Intelligence Division.  Her new role, she claimed, was less prestigious or focused more on administrative tasks.  Muldrow supervised day-to-day activities of neigh­borhood patrol officers, including approving their arrests, reviewing their reports, and handling other administrative matters; she even did some patrol work her­self. As a result of the transfer, Muldrow lost her FBI status and the car that came with it, and she went from a regular Monday through Friday schedule to working a “rotating schedule,” including weekend shifts. Read more >>

April 24, 2024

FTC Bans Noncompetes

Little V. West

By Little V. West

The Federal Trade Commission (FTC) has issued a new rule broadly banning noncompete agreements, marking a sea change in their regulation, which previously has been primarily governed by state law. Once effective, existing noncompete agreements will generally become unenforceable, except for certain highly compensated senior executives. Future noncompete agreements will not be allowed.  (See § 910.2). An exception to the rule may apply if the restricted party is selling a business entity, its ownership interests, or operating assets as part of a bona-fide sale. (See § 910.3 (a)). The rule is expected to take effect 120 days after its publication in the Federal Register. Read more >>

April 23, 2024

10th Circuit Scrutinizes DEI Training Program

Brad Cave

by Brad Cave

Can an employer’s diversity, equity, and inclusion (DEI) program create liability for the discriminatory harassment of white employees? The U.S. 10th Circuit Court of Appeals (whose rulings apply to employers in Wyoming, Colorado, New Mexico, and Utah) recently warned that the training required by a Colorado state agency included some content that could constitute unwelcome race-based harassment. While the court ultimately rejected the employee’s harassment claim, the opinion serves as a good reminder that negative race-based messaging may be illegal no matter which race is the target.

White employee gets the blues over DEI training

Joshua Young worked for the Colorado Department of Corrections (CDOC). Department policy required all employees to complete mandatory DEI training, which included several online modules and incorporated a glossary of terms explaining various DEI themes and several additional videos and books about race.

Young objected to many of the messages in the training. His lawsuit alleged the training included “sweeping negative generalizations” about white people and painted the United States as a racist country. According to him, the training glossary said all white people are racist, and white people created the concept of race to justify the oppression of people of color. The glossary also explained that white people are triggered by feelings of guilt and fear when confronted with racial inequality and injustice, which amounted to “white fragility.” Read more >>

April 17, 2024

Navigating the National Interest Waiver (NIW) for Green Card Pursuit: A Comprehensive Guide

Samantha Wolfe

Samantha Wolfe

By Samantha Wolfe

In the pursuit of U.S. permanent residency, employers often turn to the PERM labor certification process to sponsor employees. However, there exist alternative pathways to obtaining a green card, one of which is the National Interest Waiver (NIW). In this article, we’ll explore the NIW option in detail, highlighting its benefits, eligibility criteria, and the application process.

The National Interest Waiver (NIW) Option

The NIW offers qualified individuals a pathway to bypass the labor certification process typically required for employment-based green cards. The Biden administration’s commitment to bolstering America’s global competitiveness through the STEMM fields has further emphasized the importance of the NIW program, expanding opportunities for skilled professionals. Read more >>