5 New Year's Resolutions for Public Employers

Woman behind computer.jpgWith the beginning of each new year, we make resolutions that often involve improving ourselves:  lose weight; eat healthier; get organized.  The new year is also a good time for personnel and human resources directors, managers and analysts to resolve to make their agencies an even better place to work and to reduce risk.  Here are five resolutions for public employers to consider adopting.            

1.  Get to Know PEPRA

The California Public Employees’ Pension Reform Act of 2013 went into effect at the beginning of the year.  This new law reforms the retirement systems of most public employers.  While portions of PEPRA apply to current employees, a majority of this new legislation applies to those who are “new members”.  PEPRA sets forth new requirements for “new members” regarding retirement formulas, employee contributions, final compensation, and pensionable compensation.  It also changes the playing field as to air time, post-retirement work restrictions, supplemental benefit plans and health insurance vesting.  If your agency has not taken steps to learn PEPRA yet, resolve to get to know this new law now.

2.  Review and Update Personnel Rules, Policies and Regulations

In the last few years, there have been many changes to federal and state employment laws.  These changes cover a wide variety of areas and include both new laws and amendments to existing ones.  For example, the California Fair Employment and Housing Act was amended in each of the last two years to include genetic information and gender expression as protected classifications.  Also, the California Fair Employment and Housing Commission issued new pregnancy disability regulations that went into effect at the end of 2012.  These are only two of dozens of newly adopted or amended employment laws.  Yet, despite these changes, many public employers have not updated their personnel rules, policies or regulations to reflect them.  Public employers are encouraged to audit their policies to ensure that they reflect current law. 

3.  Conduct an FLSA Audit

Wage and hour litigation continues to thrive in California.  In addition, a search of the U.S. Department of Labor’s (“DOL”) Enforcement Database shows that the agency has investigated thousands of employers in the last five years for potential violations of the Fair Labor Standards Act (“FLSA”) including many California public agencies.  Because of these risks, public employers are encouraged to conduct an FLSA audit.  The audit is the only reliable means an employer has to determine whether it is complying with the FLSA’s many requirements and regulations. It is only through an in-depth investigation into an employer's time keeping and compensation practices, and an analysis of how those particular practices measure up to FLSA requirements, that an employer can be fully assured of its compliance with the FLSA.

4.  Learn About the Affordable Care Act

The federal Patient Protection and Affordable Care Act (“ACA”) is being rolled out over several years.  For instance, the ACA eliminated reimbursement for over-the-counter drugs from health savings accounts in 2011.  The following year, ACA required employers to list certain health cost related information on W-2 forms and to provide employees with a summary of benefits and coverage.  This year the health savings account maximum contribution was lowered to $2,500.  Finally, employers will start to see the implementation of health care exchanges this year.  These exchanges are a key component of the ACA and are required to be operational by January 1, 2014.  Since key portions of the ACA have not taken effect yet, there is still time for employers to understand their obligations under this new law.     

5.  Understand Technology’s Impact on Work

Every year brings new and exciting advances in technology. These advancements have changed the way work is performed.  It has made employees more efficient, allowed them to work outside of the office, and to communicate with one another anywhere and at any time.  However, the use of these tools also has significant employment implications.  Giving non-exempt employees access to emails or remote computer access creates potential problems for employers under the FLSA.  Because the time spent checking emails and/or working could be considered hours worked, employees who engage in these activities outside of their regular work hours could have a claim against their employers for unpaid wages.  In addition, the use of social media by employees to discuss work-related matters can implicate privacy, free speech and disciplinary issues. 

Carrying out these five resolutions will go a long way to strengthen your agency and help reduce the risk of lawsuits.  If your agency needs help with implementing these resolutions, our offices are ready to assist.

EEOC Wastes No Time Implementing New Enforcement Goals by Cracking Down on Pregnancy Discrimination

Mother with Baby.jpgAs part of its Strategic Enforcement Plan for 2012-2016 (“the SEP”), the U.S. Equal Employment Opportunity Commission (“EEOC”) identified the following five priorities for national enforcement in the private and federal, state and local government sectors:

1. Eliminating systemic barriers to recruitment and hiring;

2. Protecting vulnerable workecombatrs such as immigrants and migrants;

3. Targeting discrimination because of pregnancy, disability, or sex focusing specifically on the LGBT (lesbian, gay, bisexual and transgender individuals) community;

4. Preserving access to the legal system; and

5. Combating harassment through national education and outreach campaigns.

Since the EEOC released the SEP for public comment in September, it has wasted no time working towards its goal of cracking down on pregnancy discrimination.  In recent weeks, the EEOC filed four lawsuits against employers for pregnancy related discriminatory practices. 

In one case, the EEOC filed a lawsuit against Muskegon River Youth Home in Michigan for having a discriminatory pregnancy policy that required an employee to produce certification of her fitness for duty immediately upon learning she is pregnant.  In addition, Texas restaurant chain Bayou City Wings was sued for laying off several pregnant managers pursuant to a written policy in the employee handbook that required pregnant employees to be laid off after the third month of pregnancy.  The restaurant said the policy was necessary to protect the health of the unborn child.  The EEOC argues the policy is unlawful because women have the right to be employed while pregnant and that the decision to work rests with the woman, not the employer. 

A lawsuit was also filed against Florida employer J's Seafood Restaurant for firing two employees after learning of their pregnancies.  Finally, the EEOC filed a lawsuit against California security company Quest Intelligence Group because it refused to return a female security officer to work following her maternity leave.  Although the company told her there was not enough work to bring her back, the EEOC claims its investigation revealed that the company had hired several male employees.  

The Pregnancy Discrimination Act was an amendment to Title VII of the Civil Rights Act of 1964.  It prohibits discrimination based on pregnancy when it comes to any aspect of employment including hiring, pay, promotions, layoff, benefits and termination.  Pregnancy discrimination involves treating an applicant or employee differently because of pregnancy, childbirth or a medical condition relating to pregnancy or childbirth (e.g. gestational diabetes). 

The cases filed by the EEOC emphasize the importance of basing employment decisions on legitimate non-discriminatory job-related criteria.  In other words, applicants and employees should be evaluated on their individual merits without regard to whether they are pregnant.  An employment decision that considers the pregnancy of an applicant or employee may not be defensible and could be viewed as sex discrimination. 

These cases also teach that employers should refrain from reaching their own decisions on whether a pregnant employee can continue working.  Pregnant employees have the right to work as long as they can perform their job duties.  Further, only the employee may make decisions regarding her and the unborn child’s health.  Thus, employers may not adopt or maintain policies that require pregnant employees to be put off of work for a predetermined amount of time without regard to the individual employee’s actual ability to perform her job duties.  Employers also may not require employees to obtain medical clearances to continue working unless they require all employees with medical conditions to submit a doctor’s note.   

In light of the EEOC’s stated intent to focus on combating pregnancy discrimination, employers are encouraged to review their policies and practices relating to all aspects of employment including hiring, pay, promotions, layoff, benefits and termination to make sure women affected by pregnancy or other related conditions are not treated any differently than other applicants or employees who are similar in their ability to work.  Employers may also contact one of our attorneys at any of our four offices with questions.

New California Laws Limit Access to Employee, Student Usernames and Passwords

Password.jpgGovernor Jerry Brown last week signed two new privacy laws that will go into effect January 1, 2013.  AB 1844 and SB 1349 prohibit employers, colleges and universities from requiring or asking prospective and current employees and students to disclose social media usernames and passwords.  It also prohibits requiring or requesting employees and students to log onto social media platforms in the presence of the employer or educational institution.  Governor Brown tweeted: “California pioneered the social media revolution.  These laws protect Californians from unwarranted invasions of their social media accounts.”

AB 1844

Public and private employers are now prohibited from requiring a job applicant or employee to provide usernames and passwords to their personal social media accounts such as Facebook or MySpace.  In addition, employers may not require an applicant or employee to access or log on to personal social media in the presence of the employer.  The law defines social media as including videos, still photographs, blogs, podcasts, instant and text messages, email, online services of accounts or website profiles or locations. 

Under AB 1844, employers can access usernames and passwords under two circumstances.  First, an employer can ask an employee to divulge personal social media if the employer reasonably believes it is relevant to an investigation of employee misconduct.  Second, an employer can ask an employee to disclose a username or  password for purposes of accessing an employer-issued electronic device. 

Finally, an employer may not discharge, discipline, threaten to discharge or discipline, or retaliate against an employee or applicant for refusing to provide their personal social media information. 

SB 1349

SB 1349 prohibits public and private colleges and universities from requiring current or prospective students or student groups to disclose their usernames and passwords for personal social media.  Like AB 1844, postsecondary educational institutions also may not require a student, prospective student or student group to access personal social media in the presence of the institution’s employee or representative.   

The new law does not affect an institution’s existing rights and obligations to protect against and investigate alleged student misconduct or violations of law.  The statute also does not preclude educational institutions from taking adverse action against a student, prospective student or student group for any lawful reason.

Finally, educational institutions may not suspend, expel, discipline, threaten to take any of those actions or penalize a student, prospective student or student group for refusing to comply with a demand to access personal social media or for usernames or passwords.

California employers, colleges and universities are encouraged to adopt or review existing social media policies to make sure they comply with these new privacy laws.  Our Los Angeles, San Francisco, Fresno, and San Diego offices are ready to assist and provide guidance on these issues if needed.

Campaigns, Elections, Voting and the Workplace

Elections.jpgObama or Romney?  “Yes” or “No” on Proposition 30?  With the election only several weeks away, these questions are starting to make their way into the workplace as political debates among co-workers are starting to break out in lunch rooms, hallways and around the water cooler.  While such political discussions usually consist of a polite exchange of viewpoints, some conversations can result in heated arguments.  Because political dialogue typically touches upon issues of race, religion, sexual orientation and other protected classifications, employers sometimes struggle with whether political expression should be allowed in the workplace.  The following are few tips that can help employers avoid liability and maintain collegiality in the workplace without infringing upon their employees’ ability to vote and engage in political expression. 

Political Expression

The Government Code prohibits public employers from restricting the political activities of any officer or employee.  In addition, the Labor Code prohibits employers from making or enforcing any policy that prevents employees from participating in politics, becoming a candidate for public office, and controlling or directing the employees’ political activities or affiliations.  Employers also may not coerce employees under threat of termination to follow or refrain from engaging in political action or activity under. 

However, notwithstanding these restrictions, public agencies may adopt rules and regulations prohibiting officers and employees from engaging in political activity during work hours and on agency premises.  This means agencies can implement a policy or enforce existing rules that essentially requires employees to perform work during the hours they are paid to work.  The rationale behind this is that employers have a legitimate business need to make sure that the work of the agency is carried out. 

Finally, public employers may prohibit officers or employees from participating in political activities of any kind while in uniform.  In addition, peace officers and firefighters may not wear their uniforms while participating in political activities of any kind.  Agencies can also prohibit peace officers and firefighters from engaging in political activity while on duty.

Campaign  Bumper Stickers and Posters

Employees who wish to decorate their own personal workspaces with campaign stickers and posters present special challenges.  For example, prohibiting employees from displaying campaign posters endorsing a particular presidential candidate in their own workspace may violate free speech.  On the other hand, the agency may be subject to a hostile work environment claim if a gay employee finds offensive a poster against same sex marriage.  Unless the agency has a policy prohibiting employees from displaying all forms of non-business related materials or a non-solicitation policy, employers should not try to suppress political displays in an employee’s personal workspace unless it creates an undue hardship on business operations.  However, if the display is insulting or derogatory towards a certain protected classification such as race or gender, the agency should investigate the matter pursuant to its anti-harassment, discrimination and retaliation policy.      

Time Off to Vote

All employees have the right to take time off to vote.  Employees can take off as much time as they need to vote.  However, no more than two hours of the time taken off for voting shall be without loss of pay.  In other words, employers are only obligated to provide employees with two hours of paid leave to vote.  Any additional time needed by the employee can be unpaid unless a collective bargaining agreement or personnel rule provides otherwise.  Further, time off for voting shall be only at the beginning or end of the regular working shift, whichever allows the most free time for voting and the least time off from the regular working shift, unless other arrangements are mutually agreed to between the employee and employer.  If the employee believes that time off will be needed to vote on election day, the employer must be given notice at least two days before the election. 

Conclusion

This post is only meant to provide an overview of issues employers face during an election season.  For example, this post does not cover sections of the Education Code regarding political activity by employees.  Because there are many aspects to political expression in the workplace, employers are encouraged to contact any of our offices with questions.

The Cautionary Tale of the "Florida Cop Who Won't Stay Fired"

Magnifying Glass.jpgDisciplining employees is a necessary part of employment.  However, employers often struggle with employees who engage in misconduct, especially where the employer believes the employees should be terminated.  Recently, we came across the story of a Florida police officer which highlights the importance of conducting a thorough investigation before imposing discipline.

German Bosque is a Sergeant with the City of Opa-locka’s Police Department.  In the nearly 20 years he had worked with the Department, Bosque had been fired at least six times.  The terminations were based on a wide range of misconduct including use of excessive force, failing to turn in arrest reports, hiding drugs in a police car, stealing from suspects, falsifying police reports, calling in sick in order to take vacation in Mexico, and engaging in unauthorized police chases, one of which resulted in the deaths of four people.  In addition, Bosque himself had been arrested and jailed three times.  

Although this misconduct would seem sufficient to support termination, Bosque managed to be reinstated with full back pay each time.  Bosque reportedly bragged about his ability to work for a law enforcement system that allows bad cops to remain employed, even when facing criminal charges.  Currently, Bosque is at home on paid administrative leave pending another investigation into misconduct charges. 

The press covering Bosque’s story identify a variety of reasons why he has been able to win his job back repeatedly.  These reasons range from the Police Department’s lack of resources to corruption at the City.  However, the City’s failure to investigate Bosque’s misconduct properly provides the most important lesson for public employers.  Press reports indicate that the City either mishandled the investigations into Bosque’s misconduct or failed to investigate at all.  As a result, the disciplinary charges against Bosque were either dropped or overturned due to insufficient evidence. 

A thorough investigation should be conducted when a manager or supervisor reasonably believes that an employee has engaged in misconduct.  If the employee appeals the agency’s disciplinary action, the agency will have the “burden of proof”, meaning that it must prove the truth of the allegations supporting the discipline by a preponderance of the evidence, that they are more likely true than false (or more than 50%).  Therefore, an investigation should be done to determine if the facts supporting discipline are more likely than not true.  A manager’s or supervisor’s reasonable suspicion will not be enough to sustain a disciplinary action. 

Thorough investigations include compiling details about the misconduct, including the names of witnesses, dates, times, and locations.  Thus, when conducting an investigation, any documents and physical evidence should be gathered and reviewed.  This can include letters, emails, witness statements, photographs or videos.  In addition, witnesses should be interviewed to discover the factual details of the alleged misconduct.  Finally, managers and supervisors should always coordinate with the agency’s human resources or personnel department when conducting workplace investigations regardless of whether an outside investigator will be used.  Consulting with human resources/personnel will help determine the scope of the investigation to be conducted and who should conduct the investigation. 

Agencies who have questions about conducting investigations should consult legal counsel.  You are welcome to contact any one of LCW’s offices.  LCW’s workbooks Evaluation and Discipline and Disciplinary and Harassment Investigations also contains tips and guidelines for conducting investigations.

Who Really Is A Supervisor Under Title VII?

Scales.jpg

This guest post was authored by Gurinder Grewal

Employers and employees often struggle to determine who really is a supervisor in a workplace.  Is it someone who can hire and fire workers?  Or can it be someone who gives out work assignments?  The United States Supreme Court granted certiorari on Monday to resolve this issue in the case of Vance v. Ball State University (Docket No. 11-556).  This means the Supreme Court will review this appellate court decision and resolve a split in the federal appellate courts over who is considered a supervisor under Title VII of the Civil Rights Act of 1964.

Plaintiff, Maetta Vance, is the only African-American employee working in her department at Ball State University.  She alleged that she was subject to racial epithets, references to the Ku Klux Klan, threats of physical harm, and other harassing conduct.  After the EEOC issued a right-to-sue letter to Vance, she filed an action in federal court alleging various federal and state discrimination claims.  The district court dismissed all of her claims, granting summary judgment in favor of the university.  Vance appealed only her hostile work environment and retaliation claims under Title VII of the Civil Rights Act of 1964 to the Seventh Circuit Court of Appeals.

The Seventh Circuit held that a supervisor for purposes of imputing liability to the employer for violation of Title VII is only an individual with the authority to hire, fire, demote, promote, transfer, or discipline an employee.  In other words, the Seventh Circuit was unwilling to extend supervisor status to persons who had authority to direct an employee’s daily activities but did not have authority to take formal employment actions in regards to the employee.  Because the persons alleged to be creating the hostile work environment were not supervisors under this standard, they were considered the coworkers of Vance.  Prior Supreme Court precedent establishes that employers are only liable for co-worker harassment under Title VII if the employer was negligent in discovering or remedying the harassment, and the university was not negligent in this case.  The Seventh Circuit also found that Vance failed to set forth sufficient evidence of retaliation.

The question that the Supreme Court will resolve is whether the supervisor liability rule established in prior Supreme Court precedent (i) applies to harassment by those whom the employer vests with authority to direct and oversee their victim’s daily work, (the holding of the Second, Fourth, and Ninth Circuits and the EEOC), or (ii) is limited to those harassers who have the power to “hire, fire, demote, promote, transfer, or discipline” their victim (the holding of the First, Seventh and Eighth Circuits.)

The Supreme Court’s decision will be significant for employers nationwide, as a definition of supervisor for Title VII purposes that includes persons who “direct and oversee” others includes far more persons than a definition that is limited to those persons with authority to take formal employment action.  However, the impact on California employers will be much less, since the California Fair Employment and Housing Act already broadly defines supervisors to include persons who have the “responsibility to direct” employees.

NLRB Releases New Report Regarding Employer Social Media Policies

Social-media-icons.jpgThe National Labor Relations Board issued a new report discussing seven social media cases handled by the agency.  This report is the third released by the NLRB regarding social media in the last year, and focuses on the policies of seven companies.  The report provides guidance to employers who have social media policies or are considering adopting them.  Of the seven cases detailed in the report, the NLRB found portions of the employers’ social media policies to be unlawful in all but one of the cases.

Section 7 of the National Relations Act gives both unionized and non-unionized employees the right to discuss the terms and conditions of their employment with co-workers and others.  Therefore, when evaluating an employer’s social media policy, the key question the NLRB will look at is whether the policy chills or restricts employees’ ability to discuss working conditions with one another.  Consequently, in the six cases where the NLRB found the employers’ social media policies to be unlawful, the policies contained ambiguous, overly broad language that could be interpreted as restricting employees’ ability to discuss their working conditions with co-workers or with the public.  The policies also contained no limiting language or provided any context that would clarify to employees that the policies did not restrict such rights.  

The report also discusses the revised Wal-Mart policy the NLRB deemed lawful and includes it as an attachment.  The NLRB found the policy lawful because it is unambiguous and provides examples of prohibited conduct so that, in context, employees would not reasonably read the policy to prohibit Section 7 activity. 

The NLRB’s report with its specific analysis of various employer social media policies offers the following guidelines for employers with existing social media policies or for employers in the process of adopting such policies:

  1. Confidentiality provisions should include clarifying and restricting language with examples of clearly illegal or unprotected conduct to preclude the possibility that employees will believe the language to include protected activity.  For example, employees may be precluded from disclosing trade secrets, information subject to financial disclosure laws, and attorney-client privileged communications as they do not have a right to disclose this kind of confidential information.  When drafting language regarding confidentiality, employers should also include examples of what they consider to be trade secrets or financial information.  For example, the term “financial information” could be interpreted to include employee salaries which employees have the right to discuss under Section 7.  However it is illegal for employees to give “inside information” to others for purposes of buying or selling stocks.
  2. Language that prohibits employees from posting material that could be viewed as malicious, obscene, threatening or intimidating should also include examples of such conduct.  The NLRB found the portion of Wal-Mart’s policy entitled “Be Respectful” lawful because it gave examples of prohibited conduct.  For example, the policy included language stating “Examples of such conduct might include offensive posts meant to intentionally harm someone’s reputation or posts that could contribute to a hostile work environment on the basis of race, sex, disability, religion or any other status protected by law or company policy.”  Similarly, language that prohibits bullying or retaliation would likely be upheld and found not to restrict Section 7 activity.
  3. Employers may limit discriminatory remarks, harassment and threats of violence.  Because this type of conduct is also illegal under laws such as Title VII of the Civil Rights Act of 1964 and the California Fair Employment and Housing Act, employers may properly limit such conduct on social media provided that such language is not being used to limit Section 7 conduct. 
  4. Broad language discouraging employees from “friending” co-workers was found unlawful because it could be interpreted as restricting employees from discussing the terms and conditions of their employment with each other.
  5. Employers may not instruct employees to report unusual or inappropriate social media activity.  NLRB cases have held an employer violates the National Labor Relations Act by encouraging employees to report union activities to management. 
  6. An employer also has a legitimate need to protect itself from unauthorized postings that could be attributed to it.  Therefore, an employer may include a provision in its social media policy requiring employees to receive preauthorization before posting a message that is either in the employer’s name or that could be reasonably attributed to it.  An employer may also prohibit employees from attributing any opinions or statements to it on social networks.  Finally, the NLRB has also found lawful language requiring employees to explicitly state in their posts that the message reflects their own opinion, and not that of the employer. 
  7. Employers may instruct employees to not use social media while on work time or on employer-owned equipment unless such use is work-related and authorized by the employer.  Employers may also prohibit employees from using their work e-mail addresses to register on social networks, blogs or other online tools for personal use. 

Because the NLRB’s report provides specific examples of language in social media policies it found to be lawful or unlawful, employers are encouraged to review the report when preparing their  own social media policy.  We also encourage employers with existing social media policies to review their policies for compliance with the most recent NLRB findings.  Employers may contact one of our attorneys at any of our four offices with any questions.

New Maryland Law Prohibits Employers from Asking for Social Media Passwords

Facebook_small.jpgMaryland recently became the first in the nation to ban employers from asking job applicants and employees for their Facebook and other social media passwords.  The law was signed into legislation by Maryland’s Governor approximately one year after the ACLU took on the case of Robert Collins who claimed he was forced to turn over his Facebook password to the Maryland Department of Corrections during a job interview.  Collins claims he was required to give his password to the interviewer who then proceeded to log onto his account and look through his personal messages, wall postings and photographs while Collins sat there. 

The new Maryland law, which goes into effect in October, specifically prohibits employers from asking or requiring a job applicant or employee to disclose any user name, password or other means for accessing a personal account on a social media site through a computer, telephone, PDA or other similar device.  The law also makes it illegal for employers to refuse to hire an applicant or take any adverse employment action against an employee for refusing to provide their personal login information.

Supporters of internet privacy are applauding Maryland’s adoption of the nation’s first so-called “social media password law.”  Supporters say such legislation is important because it not only protects individual privacy but it also prevents employers from accessing information that they cannot ask about during the hiring process such as ethnicity, sexual orientation and religion.

Since Maryland’s passage of a social media password law, several states including California and the federal government are proposing similar legislation.  For example, there are currently two bills pending before Congress.  The Password Protection Act of 2012 was recently introduced in the Senate and House.  The PPA proposes to prohibit employers from forcing prospective or current employees to provide access to their own private account on social media sites as a condition of employment.  The PPA would also prohibit employers from discriminating or retaliating against a prospective or current employee because that employee refuses to provide his or her password.  In addition, the Social Networking Online Protection Act, which provides similar protections as the PPA, has been introduced in the House.  However, SNOPA goes further in that it would also protect students from being forced to disclose their login information to schools from kindergarten through the university level. 

The California Legislature is expected to vote this year on AB 1844.  This bill would ban employers from requiring a job applicant or employee to provide usernames and passwords to their personal social media accounts.  The proposed law defines social media as “an electronic medium where users may create and view user-generated content, including uploading or downloading videos or still photographs, blogs, video blogs, podcasts, or instant messages.”  In addition, because the proposed law bans employers from asking for login information, the law also prohibits employers from checking social media sites before hiring an employee.  Therefore, an employer could not later be held liable for negligent hiring if it did not search a prospective employee’s social media site.  The proposed law states that “an employer does not fail to exercise reasonable care to discover whether a potential employee is unfit or incompetent by the employer's failure to search or monitor social media” before hiring.

SB 1349, known as the Social Media Privacy Act, is also pending in the California Legislature.  This bill is similar to AB 1844 except that it goes further by banning public and private postsecondary educational institutions from requiring or requesting a current or prospective student from disclosing their usernames and passwords for a personal social media account or to provide the institution with access to that account. 

It remains to be seen whether the California legislature or Congress will adopt social media password laws.  Governor Brown has not taken a position on AB 1844 or SB 1349.  However, given the current trend favoring social media password protection laws, California employers may want to consider refraining from asking for social media login information from current and prospective employees unless there is a strong legitimate business reason for doing so.  Even then, employers should carefully weigh the potential risks associated with asking for such information.    

Please contact our Los Angeles, San Francisco, Fresno, or San Diego office for any assistance in reviewing social media policies.

Use of Arrest and Conviction Records In Hiring

Handcuffs_Small.jpgWhen was the last time your agency reviewed its policy regarding the use of arrest and conviction records in hiring?  If the answer to this question does not readily come to mind, it may be a good time to audit your hiring policy and job application. 

Earlier this year Pepsi agreed to pay a $3.13 million settlement to resolve a race discrimination charge filed by the U.S. Equal Employment Opportunity Commission (“EEOC”).  According to the EEOC, Pepsi’s criminal background check policy barred applicants from being hired into permanent positions if they had been arrested.  These applicants were screened out even if they had never been prosecuted or convicted of any offense.  The EEOC determined that Pepsi’s policy disproportionately excluded African-American applicants from permanent employment with the company and was, therefore, in violation of Title VII of the Civil Rights Act of 1964.  The EEOC estimated that approximately 300 African-American applicants were adversely affected by Pepsi’s policy.  Consequently, a majority of the settlement was split among the applicants.  The EEOC also worked with Pepsi to adopt a new criminal background check policy.

Under California Law, employers may not ask a job applicant to disclose information concerning an arrest or detention that did not result in a conviction.  California employers are also prohibited from making hiring decisions based on an arrest that did not result in a conviction.  It is permissible for employers to ask employees if they have ever been convicted and, if so, they may ask about the offense.  However, the use of conviction records as an absolute bar to employment is improper because it disproportionately excludes certain racial groups.  According to the EEOC, the reasoning behind this is that “Blacks and Hispanics are convicted in numbers which are disproportionate to Whites and that barring people from employment based on their conviction records will therefore disproportionately exclude those groups.”  Therefore, such records should not be used to immediately screen an applicant out unless there is a business need for it.  

In order to determine if there is a legitimate business reason for screening out an applicant based solely on a criminal conviction, the following three factors should be considered: (1) the nature of the job, (2) the nature and seriousness of the offense, and (3) the length of time since the conviction.  These factors focus on the applicant’s conduct, as opposed to the conviction itself, in determining whether an applicant is fit to perform the job. 

Employers also may not ask a job applicant to disclose marijuana convictions that are over two years told.  Clear language must be included in the job application that notifies the applicant that the employer is not seeking the disclosure of such information.  The language must also be placed in a location that will attract the reader’s attention.

Finally, it is important to note that these rules do not apply to peace officer applicants. 

Please contact our Los Angeles, San Francisco, Fresno, or San Diego office for any assistance in reviewing hiring policies or job applications.  In addition, LCW’s workbook Personnel Issues: Hiring, Reference Checks and Personnel Records and Files also contains hiring guidelines and sample job applications.

Only Current Peace Officers May Inspect Personnel Records Under POBOR

Records.JPGIn Barber v. California Department of Corrections and Rehabilitation, the Court of Appeal held that a terminated peace officer no longer has a right to inspect personnel and internal affairs records under the Public Safety Officers Procedural Bill of Rights Act (“POBOR”). 

The California Department of Corrections and Rehabilitation terminated parole agent Patrick Barber.  Barber had been terminated on two prior occasions and was reinstated both times.  Barber had appealed his third termination.  While his appeal was pending, the California Attorney General filed a Pitchess motion for production of Barber’s personnel records for purposes of a pending criminal case.  The motion was granted and Barber’s personnel records were disclosed for 1999 to 2004. 

More than six months after his termination, and after the Pitchess motion was granted, Barber made a request for his personnel and internal affairs records for 2005 to 2009.  The Department denied Barber’s request.  Relying upon Government Code section 3306.5, Barber filed a writ petition and argued that he was entitled to inspect his personnel records.  Section 3306.5 states that peace officers may inspect personnel files that are or have been used to determine an officer’s “qualifications for employment, promotion, additional compensation, or termination or other disciplinary action.”  

The trial court was not persuaded by Barber’s two main arguments. A key factor was that Barber admitted that his request was prompted by the filing of the Pitchess motion; not by his termination.  Barber maintained that, based on documents produced in response to the Pitchess motion, he believed the Department had withheld documents relevant to the appeal of his termination.  He also argued that the documents produced in response to the Pitchess order should have been produced to him when he challenged his two prior terminations.  

The trial court disagreed with Barber, denied his writ petition, and concluded that he was no longer entitled to POBOR protections after being terminated.  The trial court held that, since there was no existing employment relationship with the Department at the time he requested his personnel records, he had no right to review the records. 

The court of appeal analyzed existing case law on the legislative intent of section 3306.5 for its ruling.  The court found that the purpose of section 3306.5 was to facilitate an officer’s ability to respond to adverse comments that could affect employment status, and to correct errors or misstatements contained in the personnel file that could adversely affect the officer’s employment.  The court also held that the statutory protection only applies to currently employed officers; not to officers appealing a termination.  The court clarified that, up until the effective date of termination, an officer does have the right to inspect his or her personnel records.  However, the right ceases to exist after the effective date of termination. 

From a practical standpoint, it is advisable to state the effective date of termination in the Notice of Termination so that your agency can use that date as a cut-off point for having to allow an officer to inspect personnel records pursuant to Government Code section, 3306.5. 

Does Discrimination Occur Against Workers With Caregiving Responsibilities?

CaringHands.jpgBalancing work and family is becoming increasingly difficult.  Workers are not only responsible for caring for their own children but many are now the primary caretakers of aging parents.  It is also not uncommon for grandparents to care for grandchildren or for an aunt or uncle to care for a niece or nephew.  The U.S. Equal Employment Opportunity Commission recently held a public meeting that addressed the problems of workers with caregiving responsibilities.  During this meeting, the EEOC said discrimination against caregivers is an area of vital concern.  In addition, multiple panelists told the Commission about numerous cases of caregiver or “family responsibility” discrimination in the workplace.        

According to a report prepared by the Center for WorkLife Law, approximately four states and 63 local governments have adopted laws that prohibit discrimination against workers with caregiving responsibilities.  However, there is currently no federal or California law prohibiting discrimination or retaliation against caregivers.  Two attempts were made by the California Legislature to add “familial status” as a protected class under the Fair Employment and Housing Act.  Both attempts were unsuccessful.  Had the law passed, it would have protected employees with caregiver responsibilities from discrimination. 

Although being a caregiver is not a protected class under federal or California law, the EEOC has recognized circumstances in which discrimination against caregivers might constitute unlawful disparate treatment under Title VII of the Civil Rights Act of 1964.  For example, stereotypes based on gender may give rise to discrimination claims based on sex.  Such discriminatory conduct can include denying a female employee a promotion because the employer assumes she will want to spend time with her children instead of at work.  Another example of prohibited conduct based on sex is allowing a female employee, but not a male, to leave early twice a week to care for an elderly parent. 

Stereotyping of caregivers may also constitute discrimination under the American with Disabilities Act of 1990.  The ADA prohibits discrimination against an employee who is associated with an individual with a disability such as a child, spouse or parent.  For example, a job applicant may not be denied a position because the employer improperly assumes that the applicant’s caregiving responsibilities for a child with a disability will negatively affect his or her attendance and work performance.  Under this scenario, the applicant would have a strong argument that the employer violated the ADA by refusing to hire someone because of his or her association with an individual with a disability. 

In addition to Title VII and the ADA, employees who believe they have been harassed, discriminated or retaliated against because of their caregiver responsibilities may also have claims under the Equal Pay Act, Pregnancy Discrimination Act, California Family Rights Act and Family Medical Leave Act.  According to the Center for WorkLife Law, discrimination lawsuits relating to caregiving responsibilities have been filed in every state in the country.  Also, a significant increase has been noted in the number of cases relating to workers with elder care responsibilities.

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Balancing Conflicts Between Work And Religion

Man-on-tightrope.pngRecently, a Macy’s employee was fired because she refused to allow a teenage transgender customer use of the women’s dressing area. Natalie Johnson, who worked at a Macy’s in San Antonio, Texas, watched the teenager shop in the women’s department.  When Johnson saw the teenager in the women’s dressing room, she told the teen “You’re a man,” and that the teen could not change in the women’s area.  

Macys’ confronted Johnson and reminded her that the company’s policy permits individuals to use the dressing room of the gender they identify with.  Johnson said she would not comply with the policy because it was contrary to her religious beliefs.  As a result, Macy’s fired her and Johnson subsequently filed a complaint against the company with the U.S. Equal Employment Opportunity Commission.

While the outcome of Johnson’s complaint remains to be seen, the situation between her and Macy’s highlights the difficulty employers have balancing conflicts between workplace policies and an employee’s religious beliefs.  In order to navigate through these often murky situations, employers should keep the following points in mind.

1.  Religious beliefs must be accommodated.  Both federal and state discrimination laws require employers to accommodate their employees’ sincerely held religious beliefs, practices and observances unless providing the accommodation would create an undue hardship.  The accommodation will usually require the employer to make an exemption from, or adjustment to, the particular workplace policy so that the employee can practice his or her religion.  This can include changing a work schedule, transferring an employee to a different position, or exempting them from a dress and grooming policy.

2.  Employees must request accommodation.  Second, an employee who seeks a religious accommodation must also make the employer aware of the need for an accommodation and that it is being requested because of a conflict between work and religion.  Once the employer is aware of a request for an accommodation, the employer and employee should discuss whether an accommodation is available and can be accomplished without imposing an undue burden on the employer’s business operations.  While holding a discussion is not required under the law, it is a good practice to do so.  For example, it may be difficult for an employer to argue an accommodation would have created an undue burden for it when no discussion about possible accommodations ever took place.

3.  Employers do not have to tolerate business disruptions.  Although employers are required to accommodate employees’ religious beliefs, they are not required to accommodate disruptions to business operations which can include a refusal to assist customers.  For example, in Noesen v. Medical Staffing Network, a pharmacist who refused on religious grounds to fill birth control prescriptions was offered the accommodation of not processing such prescriptions.  The store also arranged for other employees to handle customer inquiries about birth control so that the pharmacist would not have to handle them.  However, despite this accommodation, the pharmacist refused to perform general customer service functions including signaling other pharmacy staff to assist the customer.  For example, when the pharmacist answered telephone calls from customers or physicians about birth control, he put them on hold and refused to alert other pharmacy staff that someone was holding.  He also walked away from customers at the counter and refused to tell anyone that a customer needed assistance.  The Court held that the store’s firing of the pharmacist was justified because his refusal to perform general customer service duties was unreasonable and placed an undue hardship on the employer.

4.  Obligation to accommodate is ongoing.  An employer’s obligation to accommodate an employee’s religious beliefs is ongoing.  An employee’s religious beliefs and practices may grow or lessen during the course of his or her employment.  This might result in requests for different or additional accommodations or in the discontinuance of an accommodation.

Finally, evaluating whether an accommodation would impose an undue hardship requires a case-by-case determination.  Employer’s should consider the facts of each situation including the employee’s job duties, the nature of the employer’s business, and the size and operating costs of the employer.

Court Expands Employers' Ability To Obtain Workplace Violence Restraining Orders

This guest post was authored by Judith Islas

 

Workplace-Violence.jpg

A recent California Court of Appeal ruling provides employers an important weapon to combat workplace violence.  The Court in Kaiser Foundation Hospitals v. Wilson ruled that courts may consider and rely on hearsay evidence to grant workplace violence restraining orders and injunctions.  This is a significant departure from the usual rule that hearsay cannot be admitted into evidence or relied on to support a Court order.

As with all workplace violence cases, the facts are not pleasant.  After Kaiser terminated his wife, Jeff Wilson became irate, started making violent threats toward  Kaiser employees, including that he was  going to “kill someone” “going to flip his lid” and  “do something he would regret.”  Wilson also reportedly told his therapist he was going to shoot a Kaiser employee.  In response, Kaiser sought and obtained a temporary restraining order and then a permanent injunction, barring Wilson from Kaiser facilities and from any contact or communication with Kaiser employees.

Wilson challenged the Court’s temporary restraining order and permanent injunction,  arguing they were based on hearsay statements that cannot be admitted into evidence or relied on by the Court.  Kaiser acknowledged that most of the evidence was hearsay-- threats Wilson reportedly made to employees who did not testify-- but argued courts may consider and rely on hearsay when granting workplace violence restraining orders and injunctions.

In a somewhat surprising, but welcome ruling, the Court of Appeal agreed with Kaiser, expanding an employer’s ability to obtain workplace violence temporary restraining orders and permanent injunctions.  The Court reasoned that under the hearsay rule (Evidence Code section 1200) hearsay is generally inadmissible, “except as provided by law.”  Since the statute governing workplace violence hearings (Code of Civil Procedure section 527.8) expressly provides: “At the hearing, the judge shall receive any testimony that is relevant”  it is one of the exceptions to the general rule that hearsay is inadmissible.  This exception is logical, the Court explained, because the whole point of the workplace violence statute is to prevent workplace violence and the Court’s ability to consider all relevant testimony strengthens its ability to protect employees from violence.

WHAT THIS MEANS TO EMPLOYERS

The Kaiser case increases employers’ ability to obtain workplace violence restraining orders and injunctions, but also increases their responsibility to seek such orders, because employers can rely on any relevant evidence, not only admissible relevant evidence.  If an employer has relevant evidence of violence or credible threats of violence in the workplace, it should not disregard that evidence or decline to seek a restraining order  simply because the evidence is hearsay.  The failure to seek a workplace violence restraining order and permanent injunction when the employer is on notice of violence or credible threats of workplace violence, can result in liability. 

How To Calculate FMLA Leave During The Holidays

The blog FMLA Insights recently commented on how to calculate FMLA leave during a week when a holiday occurs or when the employer is closed for a period time.  Since we also get questions about this issue during the holiday season, we wanted to pass along some rules on this topic.

New Year.JPGHOLIDAYS

Even if a holiday occurs within a work week during which FMLA leave is taken, the week is still counted as one week of FMLA leave and counts towards the employee’s 12 week maximum eligibility.  The fact that a holiday occurs within a week taken as FMLA leave has no effect.  For example, Christmas falls on a Sunday this year but will be observed on Monday, December 26th.  If an employee happens to be on FMLA leave during the entire week Christmas is observed, that full week should be counted as one full week of FMLA leave.

However, if an employee is using FMLA leave in increments of less than one week, the holiday will not count against the employee’s FMLA leave entitlement unless the employee would otherwise be scheduled and expected to work on the holiday.  For example, if an employee does not work Monday because of Christmas, but works Tuesday and Wednesday, and then takes FMLA leave on Thursday and Friday, the employer can only count the two days taken off in the work week as FMLA leave.  The employer may not count the holiday.

OFFICE CLOSURES AND SCHOOL BREAKS

Many offices close between Christmas and New Year’s Day.  In addition, many school districts, colleges and universities take extended winter and summer breaks.  If an employer closes for a week or more and employees are not expected to report to work, then the days the employer’s activities have ceased operation do not count against the employee’s FMLA allotment.  

SPECIAL RULES FOR SCHOOL EMPLOYEES

For employees who work in education, the holidays coincide with the end of the first school semester.  FMLA has special rules that apply to “instructional employees” of public and private elementary and secondary schools who wish to take FMLA leave around this time.  There rules are designed to limit disruption to the educational process.  The FMLA defines “instructional employees” are those whose primary function is to teach and instruct students. 

If an employee begins FMLA leave for their own serious health condition more than five weeks before the end of the semester, the school may require the employee to remain on leave until the end of the term if the leave lasts at least three weeks and the employee would otherwise return to work during the three week period before the end of the semester. 

For an employee who takes FMLA leave for any qualifying reason other than the employee’s own serious health condition, the school may require the employee to remain on leave until the end of the semester if the employee begins leave less than five weeks before the end of the term.  The leave period must also be longer than two weeks and the employee would otherwise return to work during the two week period before the end of the semester.  However, if the employee begins FMLA leave less than three weeks before the end of the semester, then the school may require the employee to remain on leave until the end of the term if the leave lasts more than five work days. 

Finally, if the school requires the employee to remain on leave until the end of the semester, only the period of leave until the employee is ready and able to return to work shall be charged against the employee’s FMLA leave entitlement.  For example, assume today is exactly three weeks (or 15 work days) before the end of the semester and a teacher submits a request to take seven days of FMLA leave to care for an ill parent.  Although the school has the discretion to require the employee to remain out on leave until the end of the semester, the school may only count seven days as FMLA leave.

If "Penn State" Happened Here, Would You Have A Duty To Report?

This guest post was authored by Meredith Karasch

Telephone.jpgWe have all heard about the scandal at Penn State that brought down college football royalty.  We cringe at what happened (or didn’t happen).  We agree there was a moral obligation to report child abuse.  However, moral obligation aside, all public and private entities need to know that, if this situation occurred in California, anyone who failed to report suspected child abuse may not only be out of a job.  They would be prosecuted. 

I know what you are thinking; “This doesn’t apply to us, we are not a school.”   Maybe you are not even a public agency.  Please keep reading.  All public and private entities must know that everyone who works with minors is required to report any suspicion of child abuse when they learn of it “within the scope of his or her employment.”    

The California Penal Code contains provisions detailing who are mandated reporters in the Child Abuse and Neglect Reporting Act.  You may be surprised about the scope of those who are “mandated reporters.”  The list includes far more than teachers and other school district employees.  Here is a partial list:

  • An administrator of a public or private day camp;
  • An administrator or employee of a public or private youth center, youth recreation program, or youth organization;
  • An administrator or employee of a public or private organization whose duties require direct contact and supervision of children;
  • Any employee of a county office of education or the State Department of Education, whose duties bring the employee into contact with children on a regular basis;
  • A public assistance worker;
  • A peace officer or police department employee;
  • A non-volunteer firefighter;
  • A physician, surgeon, psychiatrist, psychologist, dentist, resident, intern, podiatrist, chiropractor, licensed nurse, dental hygienist, or optometrist;
  • An EMT or paramedic;
  • A coroner or medical examiner;
  • A commercial film and photographic print processor;
  • An animal control officer;
  • A clergy member.

In order to trigger the duty to report, a mandated reporter must actually know or have an objectively reasonable suspicion that abuse or neglect has occurred.  A mandated reporter must make a telephone report to a child protective agency immediately and follow up with a written report in 36 hours.  Reporting to a supervisor does not satisfy the reporter’s duty.  People who report suspected abuse generally have immunity from liability.  On the other hand, a mandated reporter who fails to report an incident of suspected child abuse “is guilty of a misdemeanor punishable by up to six months confinement in a county jail or by a fine of $1,000 or both.” 

We would like to use this as a teachable moment:  this situation, and the abuse itself, might have been prevented if everyone who was a witness or heard suspicions from a witness knew exactly what to do.  All entities should train their mandated reporters regarding their duties, as well as the procedures they must follow to fulfill those duties.  

"Last Chance Agreement" Failed To Contain Waiver Of "Skelly" Rights

This guest post was authored by James Oldendorph

 

Signing-Document.JPGOn August 3, 2011, the Ninth Circuit U.S. Court of Appeals held that a public employee had not knowingly waived his right to a due process pre-termination hearing by signing a “last chance agreement,” and that the public employer violated his due process right by not providing such a hearing prior to termination.

In Walls v. Central Contra Costa Transit Authority, a  public employee was terminated January 27, 2006 but then reinstated  March 2, 2006 pursuant to a last chance agreement which provided that any “non-compliance with the stipulations [of the agreement] w[ould] result in . . . immediate and final termination.”  Very soon thereafter, Walls violated the last chance agreement by incurring an unexcused absence from work.  He was then summarily terminated without any sort of pre-disciplinary procedure.  Walls then filed suit, alleging that his termination was improper, in part, because it was not preceded by a Skelly meeting.  The employer, in response, alleged that the employee was not entitled to any Skelly rights because the last chance agreement used language that demonstrated the employee’s status had been altered to “at-will,” thereby divesting him of any procedural due process rights.  The Court of Appeals disagreed.

The Court found, first, that it was not clear that the phrase “immediate and final termination” used in the context of a last chance agreement necessarily signaled that the termination would take effect without a hearing or process of any kind.  Second, the Court found that it was certainly not clear Walls knew and understood when he signed the last chance agreement that he was waiving his right to due process in the form of a pre-termination hearing.  Neither did he acknowledge or understand that he would thereafter be treated as an at-will employee. 

While recognizing that “[a] public employee may waive his right to due process,” the Court cautioned that “federal courts ‘indulge every reasonable presumption against waiver of fundamental constitutional rights’ and ‘do not presume acquiescence in the loss of fundamental rights.’” As a result, the Court found that the agreement’s failure to provide expressly that the employee would waive any Skelly rights and/or rights to a pre-termination hearing implied that those rights were not waived and remained intact. Accordingly, the Court found that the employer in fact violated the employee’s due process rights under the United States and California Constitutions when it terminated him without any procedural due process.

This case stresses the importance of public employers correctly drafting a “last chance” settlement agreement, i.e., one which clearly identifies the specific rights that are to be waived by the employee and one which specifies the consequences of further misconduct.

School Administrator's Sexually Explicit Craigslist Ad Costs Him His Job

There was a collective sigh of relief from employers and school districts alike this week when a California Court of Appeal overturned a personnel commission’s decision to reinstate a middle school administrator after he posted a pornographic and obscene ad on the popular Craigslist website soliciting (free) sex.

Frank Lampedusa was a tenured dean of students in the San Diego Unified School District when he placed an ad on Craigslist stating in obscene, vulgar and albeit misspelled and grammatically incorrect phrases that he wished to engage in sexual relations with another adult.  The ad also contained pictures of Lampedusa’s face and genitalia.  An anonymous parent of a student reported the ad to San Diego police who notified the District. Lampedusa was placed on paid administrative leave and served with notice of intent to dismiss for “evident unfitness for service” and “immoral conduct,” among other charges.

Certificated public educators may appeal their termination to a three-member commission on professional competence.  Such a commission ordered Lampedusa reinstated, reasoning that the District failed to establish a nexus between his conduct and his performance as an educator.  The District sought relief in Superior Court and ultimately the Court of Appeal.

The Court of Appeal held that the commission’s decision must be set aside and that Lampedusa’s conduct did in fact constitute grounds for dismissal, applying the “Morrison factors” which are used to determine whether a nexus exists between misconduct and the impact on performance as an educator.

The Court surprisingly gave weight to the hearsay evidence of the anonymous parent complaint to find that the conduct had an adverse effect on students.  Nonetheless, Lampedusa’s principal also testified that she lost confidence in Lampedusa’s ability to serve as a role model for students, thus establishing an adverse effect on other educators.  The Court also gave weight to the fact that the conduct was not remote in time and that Lampedusa served as an administrator and educator in a middle school.  Lampedusa’s conduct was further aggravated by the fact that he posted graphic, pornographic photos, and obscene written material on a website open to the public, that he admitted to posting similar ads in the past, that he would probably post tamer ads in the future, and that he believed he had not done anything immoral.

The Court also relied on evidence that Lampedusa did not take responsibility for his conduct, but rather stated that he expected parents and students to take care not to look at such ads on Craigslist (reasoning that ads are preceded by an advisory that the content is explicit and that users should be at least 18 years of age).  Lampedusa also claimed to believe that, if a student saw his ad, it would not affect his ability to teach them effectively.

The Court also found that Lampedusa’s conduct was immoral because it evidenced indecency and moral indifference. The Court further noted that disciplining Lampedusa for publicly posting his ad did not infringe on his constitutional rights or the rights of other teachers.  These factors established evident unfitness for service. 

This case is a victory for employers, not to mention students, parents and our schools.  It is worth noting here that this educator was not disciplined for his private sexual conduct and certainly, such conduct between two consenting adults was not the issue.  It is the fact that this educator, in poor judgment, decided to post obscene and pornographic statements and photos publicly that justifiably cost him his job.

Six Million Dollar Settlement Is A Reminder Of The Importance Of Complying With The California Family Rights Act

Verizon Logo

The California Department of Fair Employment and Housing (DFEH) and Verizon Services Corporation, which employs more than 7,000 people, agreed to settle a class action lawsuit challenging the company’s handling of family medical leave requests under the California Family Rights Act (CFRA).  The DFEH’s lawsuit against Verizon alleges that the company had several policies and procedures that resulted in a class of current and former employees who were improperly denied CFRA leave, were disciplined for absences that were CFRA qualifying, and/or were terminated for taking CFRA qualifying leave.

Although the DFEH did not specifically identify Verizon’s policies and practices that served as the basis for the lawsuit, the DFEH gave two examples of the company’s allegedly unlawful conduct.  First, Verizon required employees’ to provide more information to support their requests for CFRA leave than is necessary under the law.  When the employee failed to provide the additional information, Verizon improperly denied the requests.  Second, Verizon denied CFRA leave requests as untimely even though, in the DFEH’s view, the requests were timely made.

The lawsuit was brought after the DFEH’s Special Investigations Unit spent two years investigating Verizon’s CFRA’s practices.  The investigation was started after the DFEH received a number of complaints in 2008 from current and former Verizon employees accusing the company of violating their right to take family medical leave under the CFRA.  Verizon fully cooperated with the investigation and did not admit to any wrongdoing in the settlement. 

Under the terms of the settlement agreement, Verizon agreed to pay over six million dollars to current and former employees adversely affected by the company’s unlawful practices.  In addition, Verizon agreed to review and revise its leave policies and procedures.  The company also agreed to continue an existing internal review process employees can use to appeal denials of requested CFRA leave.  Finally, Verizon agreed to provide training to all California officers, managers, supervisors, and human resources personnel on the proper handling of CFRA requests.  According to the DFEH, the settlement is the largest in its history.

The settlement between the DFEH and Verizon did not receive much attention by the media or legal practitioners.  However, the settlement deserves notice because it serves as an important reminder to employers of the need to have a thorough understanding of the CFRA and how its application may affect other leave laws such as the federal Family Medical Leave Act (FMLA) and California Pregnancy Disability Leave.  For example, new FMLA regulations went into effect in 2009.  However, existing CFRA regulations still refer to the 1995 version of the regulations.  Consequently, it is important for employers to understand the differences between the FMLA and CFRA.  In addition, employers should periodically review their leave policies and practices to make sure they comply with the current law, and provide training to all employees who handle leave requests on the proper handling of them.

Photo Credit: Verizon Logo by methodshop.com, on Flickr

Liebert Cassidy Whitmore Will Be Live Tweeting At The ACWA 2011 Spring Conference

This guest post was authored by Liebert Cassidy Whitmore

twitter-newbird-blue.pngIn two weeks, more than 1,000 California water district professionals will gather at ACWA's 2011 Spring Conference & Exhibition. Liebert Cassidy Whitmore Attorneys, Shelline Bennett and Morin Jacob will be presenting on two areas of our practice: hiring/reference checks and social media.  In addition, we will be live tweeting Morin’s presentation on social media, “Caught in the Net: Tools and Tips for Managing Employee Misconduct and Other Issues Arising in Social Media Sites” on Thursday, May 12 from 2:15 p.m. to 3:45 p.m. Join us on Twitter and use the hashtags #lcwsocialmedia #ACWAConf.

Here is a calendar of the LCW presentations:

Wednesday, May 11 | 2:15 p.m. to 3:45 p.m. | Human Resources Program: "You’re Not the Person I Hired!" Unearthing an Applicant’s Past Before it Buries You | Shelline Bennett

Thursday, May 12 | 2:15 p.m. to 3:45 p.m.  | Caught in the Net: Tools and Tips for Managing Employee Misconduct and Other Issues Arising in Social Media Sites | Morin Jacob

For those attending the ACWA Conference, please stop by the Liebert Cassidy Whitmore booth in the exhibition hall to meet Susan Bonner from our San Francisco Office and learn more about services.

To view other upcoming LCW speaking engagements, please visit our website.  To learn how you can have an LCW presentation at your association meeting, contact info@lcwlegal.com.

California Tax Law Now Conforms With Federal Tax Law Regarding Dependent Health Care Coverage

Medical.jpgIn March 2010, President Obama signed the Patient Protection and Affordable Care Act into law.  This new Act requires that health plans and insurers who offer coverage to children on their parents’ plan make the coverage available until the child reaches age 26.  This law applies to married and non-married children, even if they are no longer a dependent for tax purposes.  However, it does not apply to spouses or grandchildren.  The Act also amended federal tax laws to exclude the value of any employer-provided health coverage for an employee’s child from the employee’s income through the end of the taxable year in which the child turns 26. 

Before this law was enacted, many plans and insurers could remove adult children from their parents’ health care policies because of their age.  This left many college graduates or children who moved away from their parents’ home without coverage.  As a result, approximately 30% of young adults between the ages of 19 and 25 were uninsured.  According to the U.S. Department of Health and Human Services, this rate represented more than one in five of the total uninsured.  This was higher than any other age group. 

The Act went into effect last fall.  Although California had extended health care coverage to adult children up to age 26 in accordance with the new federal law, California failed to amend its tax laws to conform with the federal law regarding the taxable treatment of the coverage.  Consequently, while parents were able to exclude the value of the health insurance from their income under federal law, the value of such coverage still qualified as taxable income to parents under California law. 

However, on April 7, 2011, Governor Jerry Brown signed Assembly Bill 36.  This conforms California tax law with federal law regarding the taxable treatment of health care coverage for adult children.  Thus, under both federal and California law, parents may now exclude the value of this coverage from their gross income.  AB 36 is effective immediately and is retroactive to September 23, 2010, the day the Act went into effect. 

Because this year’s deadline to file federal and state tax returns is April 18, 2011, employers have already distributed W-2 Forms to their employees for 2010.  These include in wages the value of adult children health coverage.  Thus, employers should consult with their tax advisors and be prepared to handle requests from employees for a corrected Form W-2 adjusting their taxable wages to exclude the value of this coverage.  Employees will need the amended form to file an amended tax return.    

The Bully In The Office

Bully.jpgIt seems that every time you pick up a newspaper or tune into your local news there are stories of students being bullied by their classmates.  Last year, in particular, the news was dominated with headlines of students driven to suicide because of bullying.  For example, Rutgers University student, Tyler Clementi, killed himself after his roommate and another student secretly taped and streamed video of him having sex with another man.  Massachusetts high school student, Phoebe Prince, hanged herself after several older girls harassed for dating a popular football player.  Bullying is even a topic in current television programs such as “Glee.”  These stories caused me to wonder whether bullying was just a schoolyard problem.  Could bullying actually exist in the workplace?

It did not take long for me to discover the story of Kevin Morrissey who was the managing editor of the University of Virgina’s journal the Virginia Quarterly Review.  Morrissey allegedly committed suicide as a result of bullying from his boss.  Although Morrissey’s family admits he suffered from depression, they insist he took his own life after the university ignored several telephone calls from him complaining of bullying. 

The Workplace Bullying Institute, a pro-employee organization, claim bullying is a real and growing problem in the workplace.  The Institute also commissioned the research firm Zogby International to collect data on the topic of workplace bullying.  The results of the survey show that 35% of workers have experienced bullying firsthand, that 62% of bullies are men, and that 58% of their targets are women.  In addition, bullies who are women target other women in 80% of cases. 

Lawmakers have also introduced anti-workplace bullying legislation in numerous States without success.  However, New York became the first State last year to come closest to passing a bill that would allow workers to sue for damages caused by workplace bullying.  The New York Senate passed the Healthy Workplace Bill which establishes a civil cause of action for employees subjected to an abusive work environment.  The bill defined “abusive conduct” as repeated infliction of verbal abuse, verbal or physical conduct that a reasonable person would find threatening, intimidating or humiliating, or the gratuitous sabotage or undermining of a person’s work performance.  The State Assembly voted to table the bill.  Proponents of the bill vowed to renew their efforts to enact this legislation this year.

The problem of workplace bullying will not be solved by more legislation.  Such laws will only encourage employees to find bullying where none existed.  Ordinary interoffice conflicts and personal disputes would give rise to actionable claims.  These laws may also chill the employer’s ability to deal with legitimate employee performance issues for fear of a lawsuit.  However, because current headlines regarding bullying will continue to fuel efforts to enact anti-bullying legislation, employers may be on the verge of having to deal with specific anti-bullying laws for the workplace.  Consequently, there are steps employers can take to address possible bullying in the workplace.  For example, anti-harassment policies typically protect against harassment based on a protected class such as race or gender.  As a result, employers should consider revising existing policies, codes of conduct or personnel rules to expand their protections against harassment beyond conduct based on protected class status.  Employers should also respond to bullying complaints by promptly investigating and correcting the alleged abusive conduct.  Finally, managers and supervisors, who act as leaders within their agencies, should always be mindful of creating a professional work environment that fosters courteous and respectful communication.