The U.S. Department of Labor (“DOL”) has officially curtailed another controversial interpretation of its dual jobs regulation that has plagued employers for more than decade – i.e. the 20% rule. This is welcome news for the hospitality industry and other employers who employ tipped employees, as the previous rule effectively forced employers to track and monitor the time that tipped employees spent on non-tipped tasks and “related duties.” Although the DOL issued an opinion letter rescinding its interpretation of the 20% rule in November 2018, the DOL’s recent revisions to its Field Operations Handbook has official dispelled lingering concerns about the DOL’s interpretation of the Fair Labor Standards Act’s dual jobs regulation and potential enforcement of the 20% rule.
The Tip Credit
Under the federal Fair Labor Standards Act (“FLSA”), employers must pay employees a minimum wage of $7.25 per hour. Various state wage and hour laws impose higher minimum wage requirements, but employers covered Continue reading
On October 31, 2018, roughly one year after the beginning of the #MeToo movement, the U.S. Equal Employment Opportunity Commission (EEOC) held a public meeting at agency headquarters in Washington, D.C. entitled “Revamping Workplace Culture to Prevent Harassment.” The purpose of this meeting was to hear various approaches that different industries are implementing to prevent harassment and provide employers the skills, resources, and knowledge to respond workplace harassment.
Acting Chair Victoria Lipnic began the meeting by noting that the nation is at the apex of a cultural awakening that the EEOC has been tracking for years. Since the #MeToo movement went viral, hits on the EEOC website Continue reading
Generally, employers can be held vicariously liable for the tortious conduct of an employee committed within the scope of his or her employment. This often arises in the context of negligence cases, such as automobile and workplace accidents. However, employers can also be held liable for defamatory statements made by their employees when those statements are made within the scope of their employment. Therefore, it is important to mitigate this risk through effective policies and procedures and employee training.
Employers do not need to police employee communications around the clock. However, employers can and should provide clear policies about employee conduct in the Continue reading
With the rise of the #MeToo movement, there have been a number of responses from both employers and state legislatures to address workplace harassment. As discussed during the EEOC Special Task Force Meeting on June 11, 2018, several state legislatures are taking proactive steps to combat workplace sexual harassment. For example, on May 15, 2018, Maryland Governor Larry Hogan signed and ratified the Maryland Disclosing Sexual Harassment in the Workplace Act of 2018 – which passed the Maryland House (46-0) and Senate (136-1) with almost unanimous support.
The Act, which goes into effect on Continue reading
Although the Supreme Court has not taken up the issue and the status of sexual orientation discrimination remains uncertain, another Circuit Court of Appeals has now affirmatively ruled on the issue. In a 10-3 en banc decision, the U.S. Court of Appeals for the Second Circuit recently ruled in Zarda v. Altitude Express, No. 15-3775 (2d Cir. 2018) that Title VII of the U.S. Civil Rights Act prohibits sexual orientation discrimination.
The Second Circuit’s decision deepens the existing circuit split on Continue reading
Although summer seems far away, now is the time when most employers begin to prepare for their summer internship programs. Internships are a great way to give college students or new professionals some hands-on experience in your industry. However, one major question that has plagued employers over the past decade is whether an intern must be paid under the Fair Labor Standards Act (“FLSA”) based on the duties he or she performs in the intern role and the structure of internship program.
While some employers offer paid internships, other internships are unpaid or only provide a stipend lower than the minimum wage. Given the recent string of high-profile class action cases brought by unpaid interns, for-profit, private sector employers must be aware of the FLSA’s requirements as it relates to unpaid interns. Specifically, employers need to carefully evaluate whether an intern qualifies as an “unpaid intern” or an “employee” entitled to compensation. Continue reading
The holiday season is here, and employees are looking forward to celebrating with their family and co-workers. However, the office holiday party – an anticipated yearly tradition in many workplaces – has now become a cause for concern for employers, especially amidst the current national conversation about workplace sexual harassment.
What is the result? Many companies are cancelling holiday party plans, or hosting alternative parties with less alcohol and more day light.
There is certainly nothing wrong with hosting a holiday party, and employers should not be discouraged from doing so. Hosting a holiday party for your employees is beneficial, as it helps boost employee morale and demonstrates Continue reading