New Sexual Assault and Harassment Claims Opt-Out for Arbitration Agreements

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All Employers

EFFECTIVE

March 3, 2022

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On March 3, 2022, the “Ending Forced Arbitration of Sexual Assault and Sexual Harassment Act of 2021” came into effect. The Act allows employees, at their option, to forego arbitration in the event of a sexual assault dispute or sexual harassment dispute. This means that if an employee has signed an arbitration agreement, any provision requiring arbitration, or waivers prohibiting or waiving the right to participate in a joint, class, or collective judicial, administrative, or arbitral proceeding, regarding sexual assault or sexual harassment disputes are unenforceable at their choice, and they may pursue those claims in court.

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Form I-9 Updates – Extensions and Expirations of COVID-19 Permissions

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All Employers

EFFECTIVE

As Indicated

QUESTIONS?

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(888) 378-2456

Form I-9 Remote Inspection Accommodation Extended to April 30, 2022

In order to accommodate social distancing and remote work during the pandemic, the U.S. Department of Homeland Security (DHS) and U.S. Immigration and Customs Enforcement announced special rules in 2020 permitting employers to remotely inspect employee work authorization documents visually for purposes of Form I-9 compliance, with physical inspection delayed to a later date.  This accommodation was set to expire on December 31, 2021 but was extended to April 30, 2022. This provision only applies to employers and workplaces that are operating fully remotely.

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Second Circuit: Does Successor Liability Apply to ERISA Withdrawals for Unacquired Facilities?

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All Employers with CT, NY, and VT Employees

EFFECTIVE

January 27, 2022

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On January 27, 2022, the Second Circuit Court of Appeals ruled that successor liability to fund an ERISA pension plan does not apply to a business who did not acquire the facility or the employees making the complaint.

 In 2008, a business acquired some of another business entity’s locations and employees. A warehouse in Syracuse, New York, along with its unionized employees, was not acquired, but the new business and former business agreed on an independent contractor relationship where the former business maintained control of the Syracuse warehouse facility, employees, and operations. The former business subsequently filed for bankruptcy, causing its pension fund to file suit against the new business for the former business’s outstanding withdrawal liability, claiming successor liability and common control over the Syracuse facility and its unionized employees.

 The Second Circuit stated that successor liability applies to ERISA withdrawal claims but did not apply in this case. Specifically, the new business could not be found evade liability simply because they declined to assume the liability in the first place. Moreover, the new business specifically didn’t acquire the Syracuse warehouse and employees because of issues with the pension fund.

 

Action Items

    1. Inquire about unfunded pension plans and benefits when making acquisitions.
    2. Have legal counsel ensure all acquisition contracts have clear terms on the liabilities each party assumes.
    3. Subscribers can call our HR On-Call Hotline at (888) 378-2456 for further assistance.

 


Disclaimer: This document is designed to provide general information and guidance concerning employment-related issues. It is presented with the understanding that ManagEase is not engaged in rendering any legal opinions. If a legal opinion is needed, please contact the services of your own legal adviser.

© 2022 ManagEase

Fourth Circuit: Overtime Gap Time is an FLSA Violation

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All Employers with MD, NC, SC, VA, and WV Employees

EFFECTIVE

January 5, 2022

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(888) 378-2456

In Conner v. Cleveland Cty., N. Carolina, the Fourth Circuit Court of Appeals stated that using overtime to pay for contractually owed straight time is a violation under the Fair Labor Standards Act (FLSA). There, an employee was allegedly not paid at contractually owed rates for straight time in weeks in which she also received overtime pay, resulting in an overall deficit in owed pay. Read more

California: FMSCA Preempts State Meal and Rest Rules for Short-Haul Drivers

APPLIES TO

All Employers with Short-Haul Driver Employees in CA

EFFECTIVE

January 19, 2022

QUESTIONS?

Contact HR On-Call

(888) 378-2456

In Espinoza v. Hepta Run, Inc., the California Court of Appeal stated that federal law preempts California meal and rest rules for short-haul truck drivers. On December 28, 2018, the Federal Motor Carrier Safety Administration (FMCSA) issued a preemption order stating that California’s meal and rest break laws do not apply to drivers of commercial motor vehicles who are subject to the federal hours of service (HOS) requirements. Other litigation has addressed this issue for long-haul drivers (drivers that generally complete trips outside of a 150-mile radius from their work location), but the issue was unclear for short-haul drivers (drivers that generally drive within a 150-mile radius from their work location). Read more

Illinois: State Workers’ Compensation Act Does Not Prevent BIPA Claims

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All Employers with IL Employees

EFFECTIVE

February 3, 2022

QUESTIONS?

Contact HR On-Call

(888) 378-2456

In McDonald v. Sympathy Bronzeville Park, LLC, the Illinois Supreme Court stated that Illinois’ Workers’ Compensation Act does not prevent employees from recovering statutory damages available under the Illinois Biometric Information Privacy Act (BIPA). There, an employee sought to recover damages claiming the employer improperly used a biometric system for employee identification and timekeeping, including failing to provide required employee notice of collecting, storing, and use of fingerprints, or obtain written releases from employees.

The employer claimed that the Illinois’ Workers’ Compensation Act barred the BIPA claims. Ultimately, the Illinois Supreme Court disagreed, saying that the Workers’ Compensation Act did not prevent employee claims under BIPA. The Court stated that the privacy rights covered under BIPA are different from the protections awarded for physical or mental injuries under the Workers’ Compensation Act.

 

Action Items

    1. Review policies and procedures for compliance with BIPA, including notice and release requirements.
    2. Subscribers can call our HR On-Call Hotline at (888) 378-2456 for further assistance.

Disclaimer: This document is designed to provide general information and guidance concerning employment-related issues. It is presented with the understanding that ManagEase is not engaged in rendering any legal opinions. If a legal opinion is needed, please contact the services of your own legal adviser.

© 2022 ManagEase

Mississippi: Medical Marijuana is Legal!

APPLIES TO

All Employers with MS Employees

EFFECTIVE

February 2, 2022

QUESTIONS?

Contact HR On-Call

(888) 378-2456

Mississippi recently enacted the “Mississippi Medical Cannabis Act.” The Act authorizes the use of medical cannabis to treat certain medical conditions, including cancer, Alzheimer’s disease, and autism. Despite the Act’s new permissions, employers still have a lot of latitude in disciplining employees for drug use and implementing and enforcing drug testing policies.

Specifically, the Act does not require employers to permit or accommodate the use of medical cannabis or to modify the job or working conditions of any employee that uses medical cannabis. Employers are still permitted to implement and enforce drug testing policies, including disciplining, terminating, or refusing to hire an employee who uses medical cannabis. The Act also prohibits smoking or vaping medical cannabis in a public place or while operating a motor vehicle, and operating a motor vehicle while under the influence of medical cannabis.

The Act denies an individual the right to file a legal action against an employer for an adverse employment action taken because of their use of medical cannabis, and bars workers’ compensation claims for the costs related to the medical use of cannabis. Employers are also allowed to continue to use legal defenses against workers’ compensation claims because of a positive drug test or refusal to submit or cooperate with a drug test.

 

Action Items

  1. Review SB 2095 here.
  2. Have appropriate personnel trained on managing disability accommodations.
  3. Subscribers can call our HR On-Call Hotline at (888) 378-2456 for further assistance.

Disclaimer: This document is designed to provide general information and guidance concerning employment-related issues. It is presented with the understanding that ManagEase is not engaged in rendering any legal opinions. If a legal opinion is needed, please contact the services of your own legal adviser.

© 2022 ManagEase

New York: DOL Issues State Sick Leave Law Final Regulations

APPLIES TO

All Employers with NY Employees

EFFECTIVE

December 22, 2021

QUESTIONS?

Contact HR On-Call

(888) 378-2456

At the end of 2021, the New York Department of Labor (NY DOL) issued final regulations on the New York State Sick Leave Law. The regulations provide clarification on how employers should be administering statutory state paid sick leave.

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Philadelphia, PA: COVID-19 Paid Leave Ordinance in Effect

APPLIES TO

All Employers with 25+ Employees in Philadelphia

EFFECTIVE

March 10, 2022

QUESTIONS?

Contact HR On-Call

(888) 378-2456

On March 10, 2022, Philadelphia’s COVID-19 Paid Leave Ordinance took effect. The Ordinance requires covered employers to provide up to 40 hours of paid sick leave to covered employees for COVID-19 related purposes until December 31, 2023.

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Washington: WA Cares Amended and Premium Deadline Extended

APPLIES TO

All Employers with WA Employees

EFFECTIVE

January 27, 2022

QUESTIONS?

Contact HR On-Call

(888) 378-2456

HB 1732 and HB 1733 delay and amend the Washington Cares Act (WA Cares) as of January 27, 2022. WA Cares was set to go into effect January 1, 2022; however, because the legislature was working on amendments, Governor Inslee issued a statement indicating that penalties would not be assessed before April 2022. These two new bills make some significant changes employers should be aware of.

  • Employers must start collecting, remitting, and reporting employee premiums as of July 1, 2023.
  • Employers must refund WA Cares premiums collected to date within 120 days of when the premiums were collected.
  • As of July 1, 2023, broader employee populations may take advantage of new opt-out criteria. However, the deadline for original employee populations to opt out under the original criteria was not extended.
  • The timeline for when qualified employees are eligible for benefits was also extended to July 1, 2026.

The delay, and the refund mandate, are effective immediately. Employers should take immediate steps to correct payroll processes and return employee funds.

Action Items

  1. Remove WA Cares premium deductions from payroll process.
  2. Refund previously deducted WA Cares premiums to employees by the applicable deadline.
  3. Train appropriate personnel on the new requirements.
  4. Subscribers can call our HR On-Call Hotline at (888) 378-2456 for further assistance.

 

 


Disclaimer: This document is designed to provide general information and guidance concerning employment-related issues. It is presented with the understanding that ManagEase is not engaged in rendering any legal opinions. If a legal opinion is needed, please contact the services of your own legal adviser.

© 2022 ManagEase