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NLRB Issues Final Rule on Joint Employer Standard, Eliminates Browning-Ferris Test

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April 27, 2020

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The Browning-Ferris saga appears to be coming to a close. In 2015, the National Labor Relations Board (NLRB) issued a ruling saying that joint employer status can be determined based on control, direct or indirect, of the worker’s terms and conditions of employment. After some back and forth on the validity of this rule, the NLRB recently issued its final rule defining joint employer status under the National Labor Relations Act (NLRA), aligning it with the U.S. Department of Labor’s own rule, and invalidating the standard set forth in Browning.

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California: Employers Must Pay for Screening Time

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February 13, 2020

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In Frlekin v. Apple, Inc., the California Supreme Court stated that employers must pay employees for time spent undergoing security checks before exiting the workplace. The Ninth Circuit Court of Appeal asked the California Supreme Court to decide the rule in this case two years ago. There, employees were required to clock out and then undergo a security check while still on the premises. The security check was extensive, requiring employees to open and take things out of their bags, and verify the serial numbers of their own Apple products. If they didn’t complete the security check, employees were disciplined. The Court stated that because the employer retained sufficient control over the employee during this process, it was considered working time that should have been compensated.

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FDIC Loosens Restrictions on Hiring Bank Personnel with Criminal Histories

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September 6, 2018

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The Federal Deposit Insurance Corporation (FDIC) recently released revised guidelines easing hiring requirements for banking industry employers. Historically, Section 19 of the Federal Deposit Insurance Act (the Act) prohibited employers in the banking industry, with FDIC-insured designation, from hiring individuals with certain criminal convictions – namely, convictions pertaining to crimes of dishonesty, breach of trust, money laundering, or individuals who accepted entry into a pretrial diversion program in connection with prosecution for similar types of offenses. According to the FDIC, the changes were made in an attempt to lower the number of individuals precluded from employment in the banking industry who have minor offenses and are currently considered to be of low risk.

California: De Minimis Time Just Got Smaller – A New Wage and Hour Challenge

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July 26, 2018

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Employers should take immediate action!  Recently, in Troester v. Starbucks, the California Supreme Court stated that 4-10 minutes of time worked on a regular basis after clocking out must be compensated. Historically, federal law and the California Division of Labor Standards Enforcement stated that employers do not have to pay employees for small amounts of time irregularly worked off-the-clock, where the administrative burden in recording such time is impractical or unreasonable. This de minimis time covers brief pre-shift or post-shift tasks, such as when turning on a computer or locking up. However, California employers may not be able to rely on the de minimis doctrine any longer.