Happy *hic* New Year! 2011 labor and employment law year in review

What a year, am I right or am I right? Here is a catalog of the major employment and labor law developments from 2011. And, just to keep it entertaining, I've started off each month with a weird but true off-topic story that was in the news that month. Many thanks to Drudge Report archives for the strange stuff. Thanks also to Esquire magazine's annual Dubious Achievement Awards (sadly, discontinued in 2008) and Dave Barry's Year in Review, both of which I am ripping off paying homage to.

Now, fix me a drink, will ya? We have a lot to talk about.

JANUARY

Ah-choo! Some teenage burglars stole an urn that contained the cremated remains of a man and two great Danes. The teens, obviously not criminal masterminds, snorted the ashes, believing them to be cocaine

and . . .

"He*l, they're all disgruntled. I ain't runnin' no da*n daisy farm!" The EEOC reported that for fiscal year 2010 it received a record number of charges, and that retaliation charges surpassed race discrimination charges for the first time in history.

Express yourself. The U.S. Department of Labor issued guidance on its "lactation accommodationLounge Lizards.jpg" provisions in the Patient Protection and Affordable Care Act (aka "Obamacare") and requested feedback from the public.

GINA: It's more than just a pretty name. The Genetic Information Nondiscrimination Act, which prohibits the acquisition, use or disclosure of "genetic information," which includes family medical history information, took effect.

Nice family. I'd hate to see somet'ing happen to 'em, ya know? The Supreme Court held in Thompson v. North American Stainless that the Title VII anti-retaliation provisions extend to fiances and other significant others of the person who engages in legally protected activity.

FEBRUARY

"Of course, you realize this means war." Uber-disgruntled ex-employee Charlie Sheen declared war on his former employers CBS and Warner Brothers.

and . . .

Another county heard from. (Or is it "country"?) Constangy, Brooks launched the most-excellent Employee Benefits Unplugged, which covers income tax, executive compensation, 401(k) and 403(b) plans, fiduciary compliance, and Department of Labor and Internal Revenue Service audits. All of the attorneys in the firm's Employee Benefits Practice group contribute, but the Chief Blogmistress is Jewell Lim Esposito from the firm's Fairfax, Virginia office.

cars in snowstorm - January.jpg

MARCH

I hate to say "You can't make this stuff up," but you really can't make this stuff up. A New York man who had a court appearance on a DWI charge showed up with an open can of beer and (allegedy) was carrying a bag with four more cans of beer. The man, who had prior DWIs, was jailed with no bail.

and . . . 

At the stroke of a pen, entire nation becomes disabled. The EEOC issued its Final Rule interpreting the Americans with Disabilities Act Amendments Act.

Make sure your "paws" know the laws. The U.S. Supreme Court found in Staub v. Proctor Hospital that an employer could be liable under a "cat's paw theory" for employment decisions that were influenced by a supervisor or other member of management who had an unlawful motive.

APRIL

Study: Members of Congress give each other much less grief than they deserve. A Harvard professor conducted a study that concluded that members of Congress spent 27 percent of their time taunting each other.

and . . .

Life begins at Concepcion. The U.S. Supreme Court found in AT&T v. Concepcion that arbitration of class claims was ok and consistent with the policy underlying the Federal Arbitration Act. The Concepcion decision overruled the interpretation of the California courts that class claims could not be arbitrated.

OFCCP starts pilin' on. The Office of Federal Contract Compliance Programs issued a proposed rule regarding the obligations of federal contractors to recruit and hire veterans. Although the desire to helCrocuses - April.jpgp veterans is laudable, the rule would impose significant compliance burdens on federal contractors.

Nothing could be finah . . . The NLRB filed a complaint against Boeing Corporation for opening a production line in North Charleston, South Carolina, instead of the outskirts of Seattle, Washington, where most of its production was located. The Board alleged that the move to right-to-work South Carolina was the company's unlawful attempt to avoid dealing with the International Association of Machinists, which had carried on a number of strikes at the Washington State facility over the years.

MAY

Cannibal Lecter. A man ran an internet ad seeking someone "who would agree to be killed, cooked, and eaten." A Swiss man answered the ad, thinking it was just a fantasy game, but after talking with the "cannibal" on the phone, determined that he was deadly serious. (Tehe. Get it?) The would-be "meal" called the police, who answered the ad undercover and foiled the banquet.  

and . . .

"I'm a victim of soicumstance!" (Probably true.) Bruce Raynor, President of the Workers United affiliate of the Service Employees International Union and International Executive Vice President of the SEIU, was forced out of both positions after being charged with filing misleading expense reports. Raynor, a labor leader for 38 years and who had been president of UNITE and UNITE HERE for eight years before joining Workers United, contended that he was a victim of SEIU politics.

Kiss our apps! The U.S. Department of Labor launched its wage and hour recordkeeping app (at link, scroll down to "Email your timesheets directly to Big Brother!") for iPhones and iPods, with a promise to develop counterparts for Androids and Blackberrys.

Labor pains. The NLRB sued the state of Arizona over a constitutional amendment that protected the right of employees to have secret ballots in union representation elections. The Board contends that state constitutional amendments like Arizona's are preempted by the NLRB. It has also sued the state of South Dakota for the same reason.

Your money, or your life. The OFCCP proposed changing the scheduling letter that it sends to federal contractors who are being audited. The changes would require contractors to provide detailed, individualized information about employees' compensation, among other proposed changes.

 

Continue Reading

Gone a' Wassailing

Christmas tree.jpg

We're taking this week off but will be back next Friday, December 30. We wish you and your families and friends a joyous holiday season!

Don't let that employee probationary period lull you into a false sense of security

Employers, are you expecting too much from your "probationary period"?

Most employers have a 90-day "probationary period," and if you believe what's in their policies, they can fire an employee for any reason during that period -- no ifs, ands, or buts. (And if you believe that, I know a Nigerian prince who needs to hold your money for a little while so he can return it to you a thousandfold.)

My colleague Heather Bussing has already written well about how "probationary periods" can givTeacher female.jpge employees the impression that they can't be terminated except for "cause" once the probationary period has ended.

In addition, the probationary period may give employers a false sense of security.

Case in point, tweeted by Vancouver labor and employment attorney Jillian Humphreys:

A hotel in Charlottestown, Prince Edward Island, was in the news recently because management fired an administrative assistant/desk clerk within one hour of her announcement that she was pregnant.

The hotel says that the former employee was not terminated because of her pregnancy, but because of pre-existing problems with her work performance and an inability to get along with her supervisor. According to the hotel, the decision to terminate the employee had actually been made a couple of weeks before she was terminated (and, more importantly, before the hotel had any reason to believe that she was pregnant).

Normally, this is a good defense.

But not always. Like, not when you don't have any proof apart from "scout's honor" that the decision had been made earlier.

In this case, unfortunately for the hotel, the employee was in her "probationary period," and the employer didn't think it had to document any of her issues or even meet with her to let her know that she wasn't meeting their standards.

For some holiday cheer (well, "cheer" may be an overstatement, but for some excellent holiday-themed blog posts), please visit the December Employment Law Blog Carnival:Holiday Edition, hosted by Ari Rosenstein of CPEHR. The carnival includes my post, "10 reasons for employers to be jolly about the ADA." Ari, thank you for including us, and you did a great job!

So, it will be their word against hers that the hotel made the decision to terminate before she announced her pregnancy. And, as the employer itself admits, the timing of the termination was a bit     . . . problematic.

I tweeted to Jillian that this employer would be in big trouble in the United States, and she said that same was true in Canada.

Occasionally, I will talk to employers who, like this hotel, think that the probationary period means they can do whatever they want, which is not correct. I've seen employers terminate employees during their probationary periods for things like

*Protected concerted activity ("For cryin' out loud, she hadn't been here a month, and she was already bi**hing about her overtime!")

*ADA disabilities ("Oh, sure, we accommodate disabled employees, but if they have a non-work-related injury during their probationary period, we terminate them and let them reapply when they're well.")

Oy.

If you have not already done so, please vote for Employment & Labor Insider for best Labor and Employment blog of the ABA's Blawg 100. Just click here or on the ABA Blawg 100 cake badge on the upper right of your screen. To prevent hanging chads and the like, the ABA requires registration, but it's free and spam-free, and you don't have to be a lawyer or a member of the ABA to register and vote. Once you've registered, scroll down to "Labor & Employment," click, and you'll see all the nominees in this category, including us. To vote, just click on the "Vote" button. Thank you very much for your support!

Employers should keep in mind the following about probationary periods:

* Even cowgirls get the blues, and even probationary employees have rights under the anti-discrimination laws. If an employee is terminated for a reason that violates the law, the fact that he or she is "probationary" is not going to help you, the employer, one whit.

* As Heather has pointed out, having a probationary period may cause your employees to believe that they are no longer "at-will" once the probationary period ends. (Not that an employee is ever "at-will" anyway. See comment about Nigerian prince, above.) An employee misunderstanding may not have legal consequences depending on where you are, but in a state like California, it probably does.

 So, what can an employer do? If anything?

*It's usually fine for benefits not to kick in until the "probationary" period is completed, and you can even say that in your handbook if you have one.

*It's fine to have a lower (easier) standard for termination of a probationary employee. However, the lower standards ought to be spelled out and should be applied consistently within the "probationary" population of your work force. And the lower standard cannot violate a law, as in the ADA example above. F'rinstance:

THIS: "Our attendance policy for regular employees is 10 no-fault points and you're out. A probationary employee who accumulates 3 attendance points will be terminated."*

*Even here, you may have to make exceptions for absences associated with "disabilities" within the meaning of the ADA.

NOT THIS: "We do not make reasonable accommodations for probationary employees."

OR: "Only regular employees may make complaints of workplace harassment or unlawful activity in the workplace."

OR: "Only regular employees may complain about their terms and conditions of employment."

Of course, if you are going to terminate a probationary employee under your "easy" (but legal) termination standard, you'll also need to have some evidence that the employee failed to meet the "easier" standard, such as attendance records, or documented warnings, or something besides your word. Yes, this is true even if the employee is "probationary."

Our PEI employer is learning that lesson the hard way.

10 reasons for employers to be jolly about the ADA (says the EEOC)

The American Bar Association sponsored a webinar this week on the Americans with Disabilities Act, which was noteworthy for its inclusion of EEOC commissioners Chai Feldblum (Democrat) and Victoria Lipnic (Republican).

I'm usually such a doom-and-gloomer when it comes to the amended version of the ADA. Thumbs Up Santa.jpgBut 'tis the season to be jolly, so I have decided to be more positive (just this once, anyway). The EEOC commissioners raised a number of points that work in favor of employers.

Feldblum and Lipnic said that the EEOC is drafting new guidance on reasonable accommodation. The guidance may include what an employer can say to resentful co-workers who don't realize that the employee has a disability. Some realistic, practical advice in this area would be most welcome -- as it is now, confidentiality rules prohibit employers from saying anything, even if it might help co-workers understand and be more tolerant.

Regarding leaves of absence and the ADA, Lipnic recommended that the employer contact an employee who is at the end of a medical leave and ask whether the employee needs an accommodation to be able to return to work, or whether some additional leave (a limited amount, we hope) would allow the employee to return. Lipnic believes that this would probably satisfy the employer's obligation to avoid an "automatic" termination when the employee reaches the end of the leave.

Feldblum cautioned that "people who know about the ADA" should make termination decisions when employees reach the end of their medical leaves of absence rather than third-party administrators who may not have ADA expertise. 

All right, it's "happy time" now!!! Fa-la-la-la-la-la-la-la-la. Here are your rights as an employer under the ADA, straight from the EEOC's mouth:

1. You have the right to make reasonable accommodation decisions as you always have in the past. The ADA Amendments Act changed the definition of who is "disabled" but did not change the employer's reasonable accommodation obligations.

2. You have the right to make reasonable accommodation decisions on a case-by-case basis, and, indeed, you should. In some ways, this is a negative (because you can't just follow a flat policy in all cases), but in other ways it's positive for your business because you can and should consider the employee's job, the employee's specific medical condition, and the specific abilities and limitations of that employee.

3. You have the right to deny reasonable accommodation to an employee who claims only that he or she is "regarded as" having a disability. (Note, however, that a "regarded as" disability can overlap with an "actual" disability. You do have to consider reasonable accommodations for the latter.)

4. In accommodating a job applicant, you must remove barriers to the application process, but you still have the right to hire the most qualified candidate for the job. Yay!!!!

5. As Feldblum noted, an employee must "get the work done" notwithstanding the disability. Thus, even though the employer must "stop, think, and justify" work rules and make changes to the rules where needed, the employer does not have to forgo having the work performed.

6. In most cases, you have the right to do nothing until an employee or applicant makes an accommodation request. Generally, it is the employee/applicant's responsibility to request an accommodation unless the disability is obvious. However, the employee may make the request in "plain English" and does not have to specifically mention the "ADA" or "reasonable accommodation."

7. You have the right to request documentation before making a decision on a reasonable accommodation request. As Feldblum said, this is "absolutely legitimate" on the employer's part. In addition, Lipnic said, the employer has to have "a level of awareness" that the individual is requesting a reasonable accommodation. (But see #6.)

8. Although you may have to grant additional leave as a reasonable accommodation (in excess of what is required under the Family and Medical Leave Act, or even your own policies), you do not have to worry about compliance with the FMLA once the 12-week/26-week entitlement has been exhausted. Moreover, in determining whether additional leave would be an "undue hardship," any leave already taken -- including FMLA leave -- should be included.

9. You don't have to specify "essential functions" in a written job description, although it's a nice thing if you can do it. According to Feldblum, failure to put essential functions in writing is "not fatal," presumably because the EEOC and the courts give more weight to the way the job is actually performed, not what's on a sheet of paper.

10. You have the right as the employer to decide which job functions are "essential." (But don't forget that accommodation of "marginal" functions may require you to remove the function completely from the disabled employee's job.)

OK, I realize these are kind of weak, but they're the best we're gonna do. Strike the harp and join the chorus, man. Fa-la-la-la-la-la-la-la-la!

Thanks for getting us on the ABA Blawg 100 list! You guys rule!

Thank you from the bottom of our hearts to those of you who helped Employment & Labor Insider make the 2011 American Bar Association's Blawg 100 list!

The ABA chose 100 of approximately 3,500 legal blogs in its legal directory. We were one of only nine employment law blogs that made the "100." We very much appreciate your support, and would also appreciate your clicking on the ABA Blawg 100 badge on the right of your screen to vote for us as the best of the top 100. (Free registration required to vote, but you don't have to be a member of the ABA, or even a lawyer.)

By making it to the top 100, we are in some very august company, including my Constangy "blogging bro" Mike Maslanka of Work Matters, and some of my favorite labor and employment bloggers from elsewhere -- Jon Hyman, Eric B. Meyer, Daniel Schwartz, Molly DiBianca, Jeff Nowak, and Donna Ballman. If you haven't visited their excellent blogs, please do so.

Thank you again for your support!

10 things an employment lawyer never wants to hear

UPDATE: Daniel Schwartz of Connecticut Employer Law Blog has made some excellent additions to the list below. We could go on like this all day! Check it out.

My friend and employee/plaintiff's lawyer, Lee Smith of Atlanta (who does not have a web page, and who neither blogs nor tweets!), has been corresponding with me about the words that no employee's lawyer ever wants to hear from a client. I thought it would make a great blog post, and I'll follow with five from the employer's side.

Here are Lee's top (or should I say, "bottom"?) five from the plaintiff's perspective, with his commentary:Guy covering ears.jpg

5. (A call from out of town) "I'm calling you because all the lawyers here are in my employer's pocket."  I usually translate this as, "I have shopped this case all over, and nobody thinks I can win."
 
4. "My supervisor hates me and is nasty to me.  I am miserable at work."  I can sympathize with those afflicted with abusive bosses, but personal animus is not actionable under the law, although I once had a case where the supervisor, motivated by dislike for the employee, harassed her into multiple epileptic seizures, and we did get paid on that.
 
3. "I have this letter from the EEOC from a couple of months ago, and it says I have ninety days to file a suit."  Again, that might be a case of shopping around and not finding a lawyer, or it might be a lack of attention.  Either way, it's bad news getting caught two weeks away from the time bar.
 
2. "My employer will never let this go to court."  Oh, yes, he will.  In a cocaine heartbeat.  No employer will permit itself to be blackmailed (unless the employer is Herman Cain).  Employers know that if they give in to one, there will be a line from now to Saint Swithin's Day of unhappy employees with hands like first basemen's mitts that are out.
 
1. "I don't care about the money, I just don't want this to happen to anyone else."  Translated: "I know I have a bad case, but I just want to cause the employer some grief."  Being plaintiff in a lawsuit is hard work, and these people will bail on their lawyer.  Try getting them to work with you on interrogatory responses or preparing them for a deposition.

 

Thanks, Lee! In an effort to be "fair and balanced," here are the top five things an employer's lawyer hates to hear (list and comments that follow are mine):

5. (In a harassment case) "Err . . . when did we last have harassment training? We haven't been quite as good about that as we should have." Employers, please don't let your harassment training slip through the cracks. We know the economy is bad and many of you are fighting to survive. Even so, harassment training is a good investment -- not only will it flush out and allow you to informally resolve issues, but it will also earn you points with the EEOC or in court just for having done the training. Of course, it's also required by law in some states.

4. "We have an internal grievance procedure, and our decisions have been upheld every time." Sounds great, huh? Well, no. Not every employment decision is fair, even when the employer tries to do the right thing. Nobody's perfect. Therefore, some overturned employment decisions is actually the sign of an effective internal grievance procedure. Otherwise, it just looks like a rubber stamp for management.

3. "How does the employee know the rule? Trust me. He knows." I love this one. In defense of the employer, it's probably true more often than not. However, you will never be able to get the employee to admit that he knew it if the rule isn't in writing. And if you don't have it in writing, you won't be able to defend yourself if the employee "forgets" what he "knew."

PS-If your workforce speaks a language other than English, be sure your rules are communicated in the employees' language. A rule published only in English where your workforce is non-English-speaking immigrants (legal, of course!) from Ubeki-beki-beki-beki-stan-stan is not going to help you much.

2. "Well, no, nothing is documented, but she knows. If I've told her once, I've told her a million times." This is related to No. 3, but No. 3 relates to communicating employer expectations, and No. 2 relates to communicating that the employee has committed a specific violation of a standard. Informal counseling is swell. But after the 299th informal counseling, please do yourself a favor and start some documented progressive discipline. You know you will (rightfully) become fed up by occurrence no. 301 or so, and if you haven't documented, you will have no evidence that you ever addressed the issue with the employee before you fired her.

1. "No, we didn't think about how we treated 'similarly situated' employees. Each employee stands on his own." This is my worst nightmare, and unfortunately, it is a nightmare that occasionally comes true. Any time an employee is disciplined (or "coached") about poor performance or disciplined for a rule violation or bad behavior, HR 101 teaches that the decisionmaker should make sure that the employee is being treated essentially* the same as other employees who committed similar violations. (In the labor world, this is known as "following past practice.") "That which we call a rose/By any other name would smell as sweet" -- whatever you call it, it ensures that you are being consistent, which will help you defeat a claim of discriminatory or retaliatory treatment. The same principle should apply to compensation decisions, by the way.

*Sometimes an exception to the rule is justified, but the best way to make an exception is (1) to know beforehand that you're making one, and (2) to document why you made it.

BONUS -- EMPLOYER DISHONORABLE MENTION: "Don't we have employment at will in this state? Doesn't that mean we can fire an employee for any reason?" No, it doesn't. I've harped on this enough in the past, so I'll let this one go.