Labor & Employment News AlertLabor lawFTC Approves Final Rule Banning Noncompete AgreementsApril 24, 2024 On April 23, 2024, the Federal Trade Commission (“FTC”) approved a proposed final rule that would effectively ban noncompete clauses in employment contracts. In issuing the final rule, the FTC stated that noncompete agreements are an “unfair method of competition” that constitute a violation of Section 5 of the Federal Trade Commission Act. The Rule is set to take effect 120 days from its entry… Department of Labor Issues Final Rule Increasing Salary Threshold for Overtime ExemptionsApril 24, 2024 On April 23, 2024, the Department of Labor issued a final rule, “Defining and Delimiting the Exemptions for Executive, Administrative, Professional, Outside Sales, and Computer Employees.” The rule significantly raises the minimum salary thresholds to qualify for certain exemptions from overtime pay under the Fair Labor Standards Act (FLSA). Specifically, the rule will raise the minimum weekly… TITLE VII IS NOW A GRIEVANCE STATUTE FOR EMPLOYEESApril 17, 2024 For years, federal courts have followed two mantras: (1) employment statutes should not function as “general civility” codes in the American workplace; and (2) Title VII is not a vehicle for a court to serve as a super-personnel department weighing the prudence of employments decisions. See, e.g., Burlington N. & Santa Fe Ry. Co. v. White, 548 U.S. 53, 68 (2006); Morgan v. Mylan Pharms. Inc., No.… NLRB Faces New Constitutional Challenge, as Amazon Joins the FightFebruary 20, 2024 The list of employers challenging the National Labor Relations Board (“NLRB”) grew again last week, as Amazon joined the likes of SpaceX, Starbucks, and Trader Joe’s in arguing that the NLRB is unconstitutional. In an answer to a Board charge, Amazon asserted that the structure of the NLRB is unconstitutional because it violates the separation of powers because the president cannot remove NLRB… College Basketball Players are “Employees,” says NLRB Regional DirectorFebruary 6, 2024 On February 5, 2024, a regional director for the National Labor Relations Board (NLRB) concluded that Dartmouth College’s men’s basketball players are “employees,” and that, as employees, they are eligible to unionize. The decision has seismic implications and further clouds the future of the NCAA’s “amateur” status. In her decision, Regional Director Laura Sacks stated: “Because Dartmouth has the… NLRB Finalizes Rule Broadening Joint-Employer TestOctober 26, 2023 On October 26, 2023, the National Labor Relations Board (“NLRB”) issued a widely anticipated rule which broadens the joint-employer test, thereby making it easier for employees of franchisees and staffing agencies to show that the franchisor or agency is their joint employer and bring them to the bargaining table. The NLRB’s press release may be found here, and the final rule may be accessed here… Fourth Circuit Emphasizes the Plaintiff’s Burden in Wage Discrimination and Retaliation CasesOctober 20, 2023 In Noonan v. Consolidated Shoe Company, No. 21-2328 (4th Cir. Oct. 19, 2023), the United States Court of Appeals for the Fourth Circuit stressed the need for proper comparators in wage discrimination cases. The Court also emphasized the employee’s burden to prove a causal link between alleged gender-based discrimination and adverse employment actions. The Fourth Circuit affirmed the district… The NLRB Returns to Handbooks… Again!August 4, 2023 The National Labor Relations Board (NLRB) has delivered yet another major labor law development for 2023. Yesterday, the Board issued its decision in Stericycle, Inc., which overruled its own 2017 decision in Boeing Co. The decision adopts a new legal standard for challenging facially unlawful work rules under Section 8(a)(1) of the National Labor Relations Act (NLRA). Boeing Co. was one of the… More Drama From Hollywood's Writers StrikeJuly 20, 2023 The Screen Actors Guild-American Federation of Television & Radio Artists (“SAG-AFTRA”) and the Writers Guild of America West filed unfair labor practice (“ULP”) charges against NBCUniversal this week. The ULPs are the latest turn in a months-long strike, the first Hollywood strike in 15 years. For more on the strike, check out Jackson Kelly’s own Grace Hurney and her take on Artificial… U.S. Supreme Court Clarifies the Undue Hardship Standard for Title VII Religious AccommodationsJune 30, 2023 For nearly 50 years, the standard for evaluating whether a request for a religious accommodation under Title VII poses an undue hardship to the employer (and therefore, a basis to deny a requested accommodation) has been guided by the “more than de minimis cost” standard set by Trans World Airlines, Inc. v. Hardison, 532 U.S. 63, 84 (1977). On June 29, 2023, that standard was clarified by a… Why Your Non-Compete Agreement May Violate the National Labor Relations ActJune 13, 2023 Jennifer A. Abruzzo, the General Counsel (“GC”) of the National Labor Relations Board (“NLRB”), has expanded her view that the requirement and enforcement of non-compete provisions in employment contracts and severance agreements generally violate the National Labor Relations Act (the “Act”). On May 30, 2023, the GC addressed a memorandum to all Regional Directors, Officers-in-Charge, and… Unions Can’t Time Their Strikes to Damage Employers’ Property!June 1, 2023 The National Labor Relations Act (“NLRA”) protects the right to strike, but that right is not absolute. The right to strike is limited by the requirement that workers take reasonable precautions to protect their employer’s property from foreseeable imminent danger to a sudden work stoppage. In other words, a union cannot time its strike to intentionally damage an employer’s property and then… |
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