One Senator Blocks Trump-Nominated Reappointment of EEOC’s only LGBTQ Commissioner

Chai Feldblum, a member of the Equal Employment Opportunity Commission

Chai Feldblum, a member of the Equal Employment Opportunity Commission

GOP senator Sen. Mike Lee, R-Utah has used his power in the Senate to block the reappointment of the EEOC’s only LGBTQ commissioner, Chai Feldblum, because her existence is a "threat to marriage."

This is a real blow to American workers, especially those who are disabled. Feldblum, an Obama appointee who was re-nominated by President Trump, has spent most of her time on the Commission championing the rights of the disabled in the workplace.

In her capacity as an EEOC commissioner, she has little to nothing to do with any laws or policies having to do with marriage. So when it comes down to it Senator Lee doesn't like her because she is a lesbian.

Meanwhile, this will leave the EEOC without a quorum in 2019, making it more difficult for the agency to conduct business.

In my opinion, Sen. Lee is abusing his power as a member of the U.S. Senate. To block a Trump-appointee who has a long track record of being a strong advocate for workers in general and the disabled in particular based on nothing more than one’s personal religious preference is misguided and harmful to an extremely important federal agency.

I don't think anyone should be very happy about it.

Read the entire story here.

With $500K Appeal Looming, Local Veterans Concerned By Bexar County Commisioners’ Termination of Benefits Officer; Officer Alleges Political Retribution

Local Verterans Benefits Officer Terminated

Local Verterans Benefits Officer Terminated

“U.S. Army veteran Steven Price just had hip replacement surgery for the second time. Price has been fighting for his service disability status to be upgraded from 70 percent to 100 percent for decades, starting in 1988 when the U.S. Department of Veterans Affairs (VA) diagnosed his hip and low back issues as congenital bone disease....The difference between winning and losing his appeal is about $500,000 in retroactive pay, he said.”

But his case manager, Bexar County Veterans Service Officer Queta Rodriguez, was fired Nov. 9 and her position was eliminated in a decision she calls political retaliation for running against County Commissioner Paul Elizondo earlier this year. Bexar County Commissioners voted 3-1, with Elizondo abstaining, to approve the selection of a new veterans service office director and cut Rodriguez's position.

”The Commissioners' decision has left the veterans service office without a full-time accredited claims officer – and likely for a while.” Price and other veteran’s are upset that political retribution may be hurting their chances to get the benefits they so terrible need. 

Read the entire article at the Rivard Report.

 

 

 

Sexual Harassment can Affect Health for Decades

Source: Picpedia

Source: Picpedia

Illnesses can include high blood pressure, poor quality sleep, anxiety, even depression

Many say that time heals all wounds. But that’s not true. The impact of workplace sexual harassment or sexual assault can result in lingering health problems years after the experience, a new study published in the JAMA Internal Medicine journal says.

The study, “Association of Sexual Harassment and Sexual Assault With Midlife Women’s Mental and Physical Health”, set out to answer the following question: Do women with a history of sexual harassment or sexual assault have higher blood pressure, greater depression and anxiety, and poorer sleep than women without this history.

It found that women with a history of workplace sexual harassment had “significantly higher odds of hypertension and clinically poor sleep than women without this history, after adjusting for covariates”. Women with a history of sexual assault had significantly higher odds of clinically significant depressive symptoms, anxiety, and poor sleep than women without this history, after adjusting for covariates, it says.

Read the Entire Article at Entrepreneur.com

How Getting Fired Is More Financially Devastating for Women

Sex Discrimination Has Devastating Economic Consequences

Sex Discrimination Has Devastating Economic Consequences

Getting fired is almost always difficult and disappointing, but research suggests the impacts are far more devastating for women than men.

In fact, while men typically bounce back stronger, earning an average of 1.3% more in their subsequent role, women typically see their salaries decrease by an average of 24%, according to a recent study by Insurance Quotes.

“The salary decrease that we’re seeing in this study is really significant,” says Insurance Quotes media relations associate Bri Godwin. “That’s enough to really change how you live your life.”

Read the rest of the Article at FastCompany.

Women Need to Know They Don't Have to Accept Bullying or Sexual Harassment in the Workplace

The recent national turmoil over the Supreme Court candidacy of Judge Kavanaugh and the completely broken way that we have dealt with allegations of sexual assault in this country has had one hopefully positive side effect — the number of women around the country who have felt confident enough to come forward with their own stories.

In the workplace, this issue most often takes the form of workplace harassment or bullying. Recently, writer Jessica Press was caught by surprise while working on an article about workplace bullying. When she posted to social media that she was looking for stories from women about their experiences of being bullied at work, she expected a sprinkling of replies. Instead, as she recounts in her feature article appearing in Redbook magazine’s October issue, she got a deluge:

“My inbox was flooded — overflowing with incoming mail. I’d put out the call to a handful of experts and Facebook groups for women’s stories of workplace bullying. I thought perhaps I’d hear from a dozen women.

Instead, within a week, nearly a hundred stories from around the country and around the world poured in, with a steady stream continuing in the days and weeks that followed. They worked in hospitals, academia, sales, food service — anywhere and everywhere. There were women still living in fear of retaliation. There were those who shared their journeys of deteriorating marriages, depression, anxiety, and PTSD-like symptoms. There were a surprising number who had involved lawyers and were limited in what they could even reveal due to nondisclosure agreements.”

The article contains a number of tips for dealing with workplace bullying and I commend it to your reading. I hope the national turmoil we are currently suffering will lead to real conversation and, ultimately, real change. Hopefully it will serve, if nothing else, to let people know that bullying, sexual harassment and assault occurs much more frequently than many believe.

I also hope that we can make progress in dispelling some of the false beliefs that many still hold about bullying and harassment in the workplace. Here are a few of the worst:

  1. That if bullying/sexual harassment/assault happened then the woman must have done something to put herself in peril.

  2. That it must always take more evidence than a woman’s word that something happened to be equal to a man’s word that it didn’t.

  3. That if sexual harassment/assault really happened the woman would have reported it immediately.

  4. That sexual harassment/assault is, any any time or context, normal male behavior (“boys will be boys”).

These are all 100% FALSE. And yet many people, including well-meaning women I meet in focus groups, will often state some version of one of these falsisms.

The #MeToo movement has helped to expose just how badly this country has been dealing with the treatment of women who suffer bullying/harassment/assault. But if the raging anger of a bunch of old, male senators last week showed us anything it is that this problem will not go away easily or quietly. We still have a long way to go.

EEOC Sues Dollar General For Sexual Harassment

EEOC Sues Dollar General For Sexual Harassment

Dollar General violated federal law when it subjected a store manager to a sexually hostile work environment, the U.S. Equal Employment Opportunity Commission (EEOC) charged in a lawsuit it announced yesterday.

According to the EEOC's suit, the store manager repeatedly subjected the assistant manager to unwelcome touching, including once grabbing her head and forcing it to his crotch while making a sexual innuendo; rubbing her shoulders; and grabbing her and ripping her blouse.

Read More

Docking Pay From Salaried, Exempt Employees Is Illegal...And Very Common

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The Fair Labor Standards Act (FLSA) is the federal law the controls the terms under which employees must be paid overtime. All employees fall into one of two categories "Exempt" or "Non-Exempt". If an employee is non-exempt, when they reach more than 40 hours in a given work week, they have to be paid at time and a half for any additional hours. If they are non-exempt), they aren't eligible for overtime. Most people think of non-exempt employees as "hourly" and exempt employees as "salaried".

  • Pro-Tip: Just because your employer pays you as salaried does not necessarily mean that you should be considered exempt and not entitled to overtime. Exempt employees are typically involved in management or high-level administration of the business. There are other exceptions as well but a good rule of thumb is this: if you are more like a rank and file line worker or clerical worker, you should probably be getting overtime. If you aren't you need to find a good employment lawyer.

As a general rule exempt employees are paid a salary and don't have to be paid overtime no matter how many hours they work. But there are other rules that come that exempt status. One important one that employers often ignore is the rule against docking pay.

Exempt employees who are late or who need to leave work early - for doctor's appointment, child care, whatever - cannot have their pay docked for missing a couple of hours of work. If an exempt, salaried employee shows up for work, even if it's just for 15 minutes, he or she must be paid for the entire day. That's the rule.

The employer can discipline, fire, or demote the employee. But it cannot dock the employee's pay.  Importantly, the employer is allowed to dock vacation time and force the employee to use that to cover the hours missed. But the employees pay may never be docked.

So what happens if the employer breaks this rule and docks pay? Well then the employer has just lost the FLSA "exemption" as to that employee. This means the employee is owed overtime for all hours over 4o worked in the last two years plus all overtime worked in the future. This can add up to a substantial amount.

So, long story short is this: If you are paid by salary and your employer docks your pay for being late or missing a few hours of work here or there, you should contact an employment lawyer right away. Your employer is taking advantage of you and breaking the law. You may be owed a substantial amount of overtime pay.

Jury Awards Administrative Assistant $850,000 in Age Discrimination Lawsuit

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A jury has awarded a Temple University executive assistant $850,000 in an age discrimination lawsuit alleging that, among other things, she was told by her boss, a Chinese national, that "in China, they put women out to pasture at your age" (Briggs v. Temple University, No. 16-248 (E.D. Pa., July 19, 2018)).

After she was fired, Ruth Briggs sued the Philadelphia-based school, claiming age discrimination and hostile work environment during her tenure as an executive assistant to the chair of the university’s computer and information sciences department. Briggs also said she suffered retaliation when she repeatedly complained to the university’s human resources department. The university, however, said she was fired for performance deficiencies.

A unanimous federal jury awarded Briggs compensatory damages of $350,000 for pain and suffering, back pay loss of $250,000 and $250,000 in liquidated damages.

Read local media report here. 

What should I do if I'm being retaliated against at work?

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I get a lot of questions from readers on all kinds of topics. For a myriad of reasons, it would not be appropriate for me to answer a specific individual's question or to otherwise provide legal advice online. However, I can address general areas of concern in a general way. While I hope that this information is useful, be warned that you absolutely should NOT consider any information you read here to be legal advice as to your particular situation. Legal analysis is very fact and geographically specific. If you have a legal question, my best advice is that you contact an attorney who specializes in such matters in your area. 

After reporting to HR about my manager with the company groping me, the HR representative filed no report and called the offender in the office to have him apologize to me. No other action was taken. Now I am being investigated and harassed at work and I don't understand why. What should I do?

While not every employer handles internal reports of misconduct this way, situations such as this are, sadly, something I hear about all too frequently from employees who come to see me. An employee follows the rules and does what he/she is supposed to do by reporting discrimination or harassment to HR, only to then be further harassed and retaliated against in response to his/her report. Often this retaliation comes in the form of management "keeping book" or noting every error or perceived mistake made by the reporting employee in an effort to build a record for termination. Sometimes the retaliation is much more severe. I have had cases in which employees were moved to a less desirable office location, passed over for promotions, accused falsely of misconduct, etc. Such a situation can make going to work seem almost unbearable. And in fact, this is often the goal of the employer -  to make your work life so terrible that you feel you have no choice but to quit.

So what can an employee in this type of situation do? Here are some suggestions:

  1. Document Everything in Writing - Your boss or HR representative might be saying all the right things and telling you everything is fine but those oral statements are easily forgotten once you have been fired and you are later trying to prove what was said. Your best bet: document everything in a way that is at least somewhat verifiable. If you need to report misconduct, harassment, or retaliation do it via a written letter or email. In either case, print yourself a copy of what you sent and take it home for safekeeping. If you have an important phone call or meeting with HR or your boss in which you outline the harassment and they promise to take some action, document it in a follow-up email to the HR rep in which you thank the rep for meeting with you and restate your understanding of what was said by both parties. Again, print yourself a copy and take it home.

    • But Chris...can't the HR Rep later deny that my email correctly summarizes what was said? -- Sure, I suppose they could try to say that. But everyone (including the jury) will wonder why they didn't reply to your email back when it happened to correct your summary.

  2. Don't Make Unforced Errors - You know they are watching every move you make just hoping you screw up so they can fire you. So don't help them. Don't be late to work. Do good work. Get your reports in on time. Don't gossip and tell co-workers what a big jerk your boss is. etc. These are unforced errors and they will come back to bite you in the end.

    • What if your boss doubles your workload to make it impossible for you to meet quota? -- This happens a lot so don't be surprised if it happens to you. Don't let it make you so angry that you start acting out and thereby give the boss a legitimate reason to fire you. That's playing into his/her hands. Instead, do the very best job you can and document the retaliation by emailing HR to let them know what is happening (don't forget to print a copy and take it home) and then do your best to comply with the new work requirements. Keep your boss informed on your status by regularly emailing (keep a copy). Remember, in addition to actually trying to be a good employee under difficult circumstances, you are building the paper trail you and your lawyer may need later to prove you were trying to be a good employee under the circumstances.

  3. Consider Filing a Charge with the EEOC and/or Visiting with a Lawyer - Know this: Once retaliation starts, it rarely gets better on its own. If a boss is retaliating against an employee, it signifies a type of "line in the sand". That boss has declared (perhaps only to himself or herself) that you have got to go...period. So don't beat yourself up when nothing you do to placate your boss seems to work. It may just be time to go outside for help. One choice is filing what is called a "Charge" with the Equal Employment Opportunity Commission ("EEOC"). Note that the EEOC only deals with EEO types of issues (race, sex, religion, disability, national origin) and retaliation if (and only if) you are being retaliated against due to an internal complaint that you were harassed or discriminated against based on one of those EEO categories. Another option that you really should consider is visiting with a qualified employment lawyer. If you have not been fired yet then your case might not be one that an employment lawyer can agree to take on a contingent basis. However, most employment lawyers will agree to a fee-based consultation, during which you can explain your situation and the lawyer gives you advice regarding what protections you might have under applicable law and what steps you need to take to best protect your interests. While legal fees vary greatly based on geography, you should expect to pay between $100-$500 for an hour of the attorney's time. In the grand scheme of things, this is a good value for the information you will receive.

IHOPe You Brought Your Checkbook!

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Two IHOP Restaurants to Pay Nearly $1 Million to Settle Sexual Harassment Suit

Teens Among Victims of Misconduct Including Simulated Sex Acts, Sexual Contact, Unwanted Sexual Comments and Physical Threats, Federal Agency Charged

Two southern Illinois International House of Pancakes (IHOP) franchises will pay $975,000 and furnish other relief to settle a systemic sexual harassment lawsuit filed by the U.S. Equal Employment Opportunity Commission (EEOC), the federal agency announced today.

The EEOC had charged that numerous employees at the locally owned Glen Carbon and Alton, Ill., restaurants were routinely sexually harassed by coworkers and managers, including offensive sexual comments, groping, physical threats, and, in one instance, attempted forced oral sex with a management employee.

The EEOC filed its lawsuit in September 2017 (Equal Employment Opportunity Commis­sion et al. v. 2098 Restaurant Group, LLC et al., Civil Action No. 3:17-cv-1002-DRH) in U.S. District Court for the Southern District of Illinois, seeking relief for more than 11 female employ­ees at the Glen Carbon IHOP and one male employee at the Alton IHOP. Some of the female employees were teenagers at the time of the alleged harassment.

The consent decree settling the suit, entered today by Judge David R. Herndon, requires the defendants to pay compensatory damages to 16 harassment victims. The decree also requires the com­panies to implement, distribute and enforce tougher policies prohibiting sexual harassment and establish procedures for promptly investigating and addressing sexual harassment complaints. The decree also requires the owner to be directly involved in preventing and correcting sexual harassment. The four-year decree further requires the defendants to provide sexual harassment training to employees, create and maintain documents regarding sexual harassment complaints, and post notices at their facilities. It also enables the EEOC to monitor the restaurants to determine whether harassment recurs, and, if so, that it is dealt with effectively. All the measures are intended to prevent further incidents of harassment.

The EEOC's Youth@Work website (at https://www.eeoc.gov/youth/ ) presents information for teens and other young workers about employment discrimination, including curriculum guides for students and teachers and videos to help young workers learn about their rights and responsibilities.

Do I Need to Hire a Lawyer to Review My Severance Agreement?

In a word, Yes.

As an employment lawyer, I spend a considerable amount of time reviewing severance agreements for clients.  Severance agreements are often filled with complicated legal issues and can be challenging to understand and properly navigate. Besides the dollar value of the package, there are several types of clauses in most severance agreements that employees should be aware of.  While situations differ as to how negotiable a severance agreement is in once case versus another, it is always advisable to have a board certified employment lawyer review the document with you so that, at the the very least, you understand all of the ramifications of the agreement you are signing.

Here are a few of the clauses that clients often need assistance with:

1. The Severance Payment: If an employee is already entitled to receive a severance payment, whether pursuant to an employment contract or company policy, there is no need to sign a severance agreement to get that money. An attorney can help ensure that if the employee does sign an agreement, it provides more than any severance payment the worker was already entitled to. An experienced employment lawyer may also have a sense of whether the amount being offered is within the usual range for the relevant industry.

2. Money the Employee is Already Owed: An employer who owes an employee money –  for unused vacation time or unreimbursed expenses, etc – must pay it regardless of whether a severance agreement is signed. 

3. Benefits: A severance agreement should explain what benefits the employee will receive upon separating from the employer and deal with continuation of health care benefits (if applicable) or with COBRA notice requirements.

4. Release of Claims: Employers usually want a full legal release from the employee as a part of any severance agreement.  Several issues can drop up here, including the effect of the release on benefit plans and/or on existing claims (workers compensation, disability claim, etc).  This release will usually cover all claims regardless of whether the employee even knows the potential claim exists.  So it is important to speak with an attorney so that you know if you actually have any claims and whether they should be released in return for the severance being offered by the employer.

5. Non-Disparagement and References: Severance agreements often forbid employees from speaking badly about their employer even after they leave the company.  Sometimes the agreement contains language dealing with how the company will respond to future inquires regarding the employee from prospective employers.  

6. Restrictive Covenants & Noncompete Agreements: Many employees are bound by non-compete and non-solicit agreements created in employment contracts or other documents they have signed. These agreements prohibit the employee from competing with the employer in certain areas for a specific amount of time, and from hiring other workers away from the employer. Where these restrictions already exist, a lawyer should ensure that the severance agreement does not expand them. Where the employee has not already entered agreements on these topics, the attorney can work to limit the time and scope of restrictions the separation agreement imposes.

 

These are just a few of the myriad issues that might need to be addressed as a part of a severance agreement review.  If you are offered a severance agreement, it is important to hire an attorney to review it BEFORE you sign. But not just any attorney -- just as you would probably not hire a real estate lawyer to defend you in a criminal proceeding, you should make sure to seek out an employment law specialist when hiring an attorney to review a separation agreement. An experienced employment attorney can help protect employees, including executives and professionals, from the risk of waiving rights unnecessarily or leaving severance money on the table.

 

California Considering Ban on Employer Forced Arbitration

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Last year, a bipartisan coalition in the United States Senate sponsored legislation to ban the use of mandatory arbitration agreements with regard to claims of sexual harassment and sex discrimination. The federal bill is still pending. 

Now, a similar bill has been filed in the California legislature. If it passes, the California bill would prohibit employers from requiring mandatory arbitration agreements as a condition of employment. And unlike the federal bill mentioned above, the California bill would prohibit arbitration clauses as a condition of employment as to all types of employment claims—not just sexual harassment and sex discrimination claims.

If passed, the California law would be an important start to a movement to get rid of employer-based, forced arbitration. Statistics show that arbitration is unfair to employees and is used by some employers to effectively opt out of the judicial system into a rigged, pseudo-court where wrongdoing can be effectively covered up by companies. 

And claims that arbitrating claims is more cost-effective than traditional adjudication in court are are not supported by the available statistical data. Many employment corporate defense lawyers point out that research shows arbitration is neither faster nor less expensive than litigation

There has long been data showing that a solid majority of Americans oppose forced arbitration in the employment context.  If this bill passes and becomes law in California, perhaps it will be the beginning of a nation-wide movement to allow employees back into the courtroom. 

 

Read More: National Law Review

The Rise of Digital Wage Theft

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The days of punching a manual time-clock when you arrive at work are all but over. Digital time tracking systems now use things like facial recognition to monitor when a worker arrives and has finished for the day. However, the software that’s replaced the 19th century time-clock technology is helping some employers steal workers’ hourly pay.

This so-called wage theft is a problem for many healthcare workers, drivers, and food-service and factory employees, according to a study by Elizabeth Tippett, associate professor at the University of Oregon School of Law, published in the American Business Law Journal. An earlier report from the Economic Policy Institute found that wage theft in the US may account for more than $15 billion each year.

How digital wage theft works

Tippett’s study of 330 cases litigated in state and federal courts found three main types of digital wage theft:

  • Rounding, which happens when the software is set to alter an employee’s starting and finishing times to pre-defined increments

  • Automatic break deductions, which deduct preset time increments (for lunch or other breaks) from pay, regardless of whether the break was taken

  • Time shaving, which takes place when managers alter time records to pare down the number of hours worked

Read more about this study in this article by John Detrixhe. 

Supreme Court Denies Overtime Pay to Service Advisors at Auto Shops & Dealerships

This week in Encino Motorcars, LLC v. Navarro, the Supreme Court limited overtime pay for service advisors at car dealerships nationwide, ruling that those employees are primarily salespeople who sell brake jobs, oil changes and other service work. Encino Motorcars' current and former service advisors sought backpay under the Fair Labor Standards Act (FLSA) overtime-pay requirement, 29 U.S.C. 213(b)(10)(A). The requirement exempts “any salesman, partsman, or mechanic primarily engaged in selling or servicing automobiles, trucks, or farm implements.”

The Supreme Court, in an 5-4 opinion authored by Justice Thomas, reinstated the dismissal of the suit. According to the Court, service advisors are “salesm[e]n . . . primarily engaged in . . . servicing automobiles." The ordinary meaning of “salesman” is someone who sells goods or services, and service advisors “sell [customers] services for their vehicles,” Service advisors are also “primarily engaged in . . . servicing automobiles.” “Servicing” can mean either “the action of maintaining or repairing” or “[t]he action of providing a service.” Service advisors satisfy both definitions. They meet customers; listen to their concerns; suggest repair and maintenance services; sell new accessories or replacement parts; record service orders; follow up with customers as services are performed; and explain the work when customers return for their vehicles. While service advisors do not spend most of their time physically repairing automobiles, neither do partsmen, who are “primarily engaged in . . . servicing automobiles.”

The Court rejected giving Chevron deference to the federal agency and rejected the interpretation of the Department of Labor and the Ninth Circuit Court of Appeals, who had both relied on matching “salesman” with “selling” and “partsman [and] mechanic” with “[servicing]”. The but the word “or” is “almost always disjunctive.” Using “or” to join “selling” and “servicing” suggests that the exemption covers a salesman primarily engaged in either activity. The Court held that the FLSA gives no textual indication that its exemptions should be construed narrowly, thus ignoring the long-standing precedent that remedial statutes should be interpreted in order to provide broad protections to the individuals they seek to protect. 

Writing in dissent, Justice Ruth Bader Ginsburg said the service advisors at Encino Motorcars "work regular hours, 7 a.m. to 6 p.m., at least five days per week, on the dealership premises. Their weekly minimum is 55 hours." Federal law calls for a time-and-a-half pay after 40 hours in a week, she noted. "Because service advisers neither sell nor repair automobiles, they should remain outside the exemption and within the act's coverage," she said. Justices Stephen G. Breyer, Sonia Sotomayor and Elena Kagan agreed.

This is but one of many examples to come that will demonstrate the importance of elections on the Court. The election of Trump coupled with the Senate's highly questionable antics used to nab a seat for Justice Gorsuch has led to the elimination of overtime protections for thousands of workers across the country. Many will never see Justice Gorsuch as a legitimate member of the Court. However, his votes (expected to be 100% anti-worker) on the Court will be powerful all the same.

Read the Opinion

New Expert Report Offers Policy Recommendations for Non-compete Agreements

As this blog has discussed before, non-compete agreements are a real problem. A new report from the Brookings Institution’s Hamilton Project seeks does a deep dive on this nationwide problem, compiling the most comprehensive recent studies on non-compete agreements. The report’s author, Matt Marx, has several key policy recommendations for lawmakers who want to promote economic growth rather than stifle it:

  • Employers should inform employees if they will be required to sign a non-compete agreement before they accept the job. Employers routinely hide the fact that employees are required to agree to a non-compete until after an employee has accepted a position and presumably turned down other offers. (This takes away employees' negotiating power and hurts the economy.)

  • If existing employees are asked to sign new non-compete agreement, employers should be required to compensate them. (In Texas, employers often require long-time employees to sign new non-compete agreements with the promise of nothing more than continued at-will employment.)

  • Allow judges to rewrite overreaching non-compete agreements so that they are in-line with state law. (In Texas, judges already have this power. The problem is that in order to get the issue to a judge, a lawsuit needs to be filed by either the employer or employee, taking time and costing legal fees.)

  • Give attorneys general the power to go after firms that require workers to sign predatory non-competes. (This could be helpful in some states. Unfortunately in Texas our current Attorney General would have no interest in helping Texas workers in this way.)

  • Bolster non-disclosure agreements so that they make a better substitute for non-competes. (This sounds good but I'm not sure how much stronger they could be without creating a real imbalance of power in the workplace.)

You can read the entire report here.

Non-Compete agreements are not evil per se. In fact in some cases they make sense. But companies have gone way beyond using non-competes to protect legitimate trade secrets and now routinely abuse them in attempt to gain a competitive advantage over other businesses by keeping employees out of the labor pool. 

2nd Circuit Rules Title VII Protects Against Employment Discrimination Based on Sexual Orientation

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In an en banc decision, The US Court of Appeals for the 2nd Circuit in New York ruled on Monday that Title VII of the Civil Rights Act of 1964, a federal law that bans employment discrimination because of sex, also protects claims of discrimination based on sexual orientation.

"Sexual orientation discrimination is a subset of sex discrimination because sexual orientation is defined by one's sex in relation to the sex of those to whom one is attracted," a 10-3 opinion issued by the 2nd US Circuit Court of Appeals stated.

The court, based in New York, becomes the second appeals court to rule that the civil rights law covers discrimination based on sexual orientation. Last year, the 7th Circuit Court of Appeals issued a similar ruling. The ruling means that employees in those two circuits can use existing civil rights law to sue for discrimination based on sexual orientation. 

Eventually, this issue will likely work its way up to the U.S. Supreme Court.  

You can read the 2nd Circuit’s opinion here

Buc-ee’s Loses Texas Retention Agreement Case

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A year after a trial court ordered that a former employee pay Buc-ee’s close to $100,000 in alleged damages and attorneys fees for breaching an employee “Retention Agreement”, a Texas court of appeals reversed that decision, ordering that Buc-ee’s take nothing on its claims against its former employee and also ordered that it pay for her legal fees as well. (Read my previous coverage of this case here.)

The employee in question, Kelly Rieves, was hired by the store as an assistant manager in Cypress, Texas for total compensation of about $55,000. She was hired as an at-will employee, meaning that the company could fire her for any reason at any time. But Buc-ee’s required her to sign an employment contract that is uncommon in the convenience store industry. It's called a "retention agreement".  

The contract Rieves signed divided her pay into two categories, regular pay and “retention pay." The amount allocated to "retention pay" accounted for approximately one-third of her total compensation. The contract allowed the store to recoup the retention pay should she fail to remain employed for a full 48-month term. The contract also required Rieves to give six months' notice before leaving. This is despite the fact that the company maintained the right to terminate Rieves prior to the end of the period. (The contract may or may not have contained notice provisions in favor of the employee that I am not privy to but it would not be required to have such provisions under Texas law.)

Three years later, Rieves decided to leave her job a year or so before her contract expired. We don't know her reasons but we do know she tried to work it out with the company first but her boss refused to let her out from under the contract. So she quit.

In response, Buc-ee’s sued her for the full amount of the retention pay she earned during her three years with the company -- an amount over $67,000.00. The trial court found against Rieves and awarded the company nearly $100,000.00 in damages and attorney’s fees.

Last week the court of appeals took that verdict back, ordering that Buc-ee’s take nothing on its claims against Rieves and that it pay for her legal fees as well. The court reasoned that the requirement that Rieves pay back such a large sum of money should she leave the company acted as a restraint of free trade and violated Texas’ employment-at-will doctrine. As a result, it could only be valid if it met the requirements of an actual noncompete agreement, which in Texas is controlled by statute. Because this agreement did not meet those requirements, it was not enforceable. 

Download a copy of the opinion.

 Buc-ee’s will now have to decide whether to appeal the matter further.

Click here to learn more about employment agreement cases from San Antonio employment attorney Chris McKinney.

$1.1 Million Verdict to Woman in Gender Identity Case

The Case

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Rachel Tudor, a transgender professor whose tenure and promotion was denied at Southeastern Oklahoma State University, was awarded $1.1 million by a federal jury on Monday in a landmark Title VII case.

Tudor was hired by the university in 2004 as a tenure-track assistant professor in the English department and presented as male at the time. She began transitioning in 2007, becoming the university's first openly transgender professor.

According to the lawsuit, after notifying the university that she would be presenting as a woman at work for the 2007-2008 academic year, Tudor received a phone call from an unnamed human resources staffer who told her the school's vice president for academic affairs, Douglas McMillan, had inquired about firing her because her identity as a transgender woman offended his religious beliefs.

The lawsuit also states the director of the university's counseling center, Jane McMillan, Douglas McMillan's sister, told Tudor to take safety precautions, because some people were openly hostile to transgender people. She also reiterated to Tudor that her brother considered transgender people to be a "grave offense to his [religious] sensibilities."

In October 2009, Tudor applied for tenure and a promotion to an associate professor position. Her application was denied, while the application of a similarly qualified male coworker was approved, the lawsuit claims. After Tudor asked for an explanation as to why her application was rejected, according to the suit, Douglas McMillan and another dean refused to provide her with one. Tudor then filed a federal discrimination complaint in 2010.

In March 2015, the Justice Department, then under the Obama administration, sued the university, with former Attorney General Eric Holder declaring that federal prohibitions against sex discrimination include protections based on gender identity.

On Monday, an eight-person jury voted in favor of Tudor on three counts: that she was "denied tenure in 2009-10 because of her gender," that she was denied "the opportunity to apply for tenure in the 2010-11 cycle ... because of her gender" and that the university retaliated against her after she complained about workplace discrimination. The jury then awarded her $1.165 million in damages.

Why Is This Case Important

This case is important because it is one of the first times that a federal court has explicitly found that a plaintiff whose gender identity is transgender is a protected class under federal anti-discrimination laws. In the past, many courts have held that gender identities are not protected in and of themselves. Plaintiffs could only seek protection of federal anti-discrimination laws by arguing they were covered under traditional sexual discrimination statutes because they were mistreated due to application of a sexual stereotype. This argument has worked with varying degrees of success across the country but it is more convoluted and difficult to apply than it should be. 

The issue will certainly have to be decided by the US Supreme Court eventually but this court decision is a good start.

Person of the Year 2017: #MeToo

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Time Person of the Year 2017: The Silence Breakers
Discussions of sexual harassment in polite company tend to rely on euphemisms: harassment becomes "inappropriate behavior," assault becomes "misconduct," rape becomes "abuse." We're accustomed to hearing those softened words, which downplay the pain of the experience. 

It wasn't so long ago that the boss chasing his secretary around the desk was a comic trope, a staple from vaudeville to prime-time sitcoms. There wasn't even a name for sexual harassment until just over 40 years ago; the term was coined in 1975 by a group of women at Cornell University after an employee there, Carmita Wood, filed for unemployment benefits after she had resigned because a supervisor touched her. The university denied her claim, arguing that she left the job for "personal reasons."

In 1980 the Equal Employment Opportunity Commission (EEOC), the federal agency tasked with enforcing civil rights laws in the workplace, issued guidelines declaring sexual harassment a violation of Title VII of the Civil Rights Act. It was a victory, but with caveats: even after sexual harassment became explicitly illegal, it remained difficult to lodge a complaint that stuck—in part because acts of harassment are often difficult to define. What separates an illegal act of sexual harassment from a merely annoying interaction between a boss and his subordinate? When does a boss stop just being a jerk and become a criminal? Because the Civil Rights Act offered no solid legal definition, interpretation has evolved slowly, shaped by judges and the EEOC over the past 37 years.

And then...2017 and #MeToo happened. Read Time Magazine's Cover Article Here

#MeToo - Reporting Sexual Harassment In Today's Workplace

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While headlines focus on famous men who lead prominent organizations, the majority of sexual harassment happens in ordinary office buildings by ordinary managers or workers who are insecure about their status in life, feel a need to rattle or dominate others to make themselves feel better, or see their colleague as a potential sexual gratifier. They don't love their victims. In fact, they may want to hurt them through embarrassment, discomfort and humiliation.

Most harassers are men, although women also have been reported. The targets are usually women. However, men filed approximately 17 percent of the sexual harassment charges filed with the Equal Employment Opportunity Commission (EEOC) in 2016. 

Most employees try to ignore the behavior, at least at first, waiting to see if it will go away. Some clearly ask the harasser to stop. Others try to play along or laugh it off, unwittingly sending mixed signals of encouragement to the harasser.

The correct response, of course, is to report harassing behavior to a supervisor or human resources. A responsible employer will listen to the description of the events and then speak to the instigator. However, reporting sexual harassment is a difficult thing to do. Employees who are being harassed at work often feel alone and powerless. Will the report do any good? Will HR stand up for me? Will I be retaliated against? Will I lose my job?  

 

We have put together an article discussing some important tips to consider when you need to oppose or report sexual harassment in the workplace. If you or someone you know is facing this issue, the information in this article could help.