On August 1, 2016, the U.S. Department of Labor and Doctors Associates Inc. (Subway Restaurants) announced a voluntary agreement formalizing their ongoing collaboration. This agreement is a first of its kind and seeks to ensure that franchise owners have the tools necessary to comply with wage and hour laws. Since 2012, Subway has made available a platform for the DOL to provide training and resources to franchisees. Despite the DOL’s efforts, other companies have reportedly been reluctant to enter into similar agreements due to fears that other government agencies will use such an agreement as evidence of a joint employer relationship. Interestingly, Subway has been collaborating with the DOL for over three years and although this collaboration has been very much in the public eye, no agency has indicated that such a relationship would make them a joint employer. The DOL hopes the fact that Subway, the world’s largest franchisor, entered into the compliance agreement will encourage other companies to follow suit. Given the various government agencies’ joint employer efforts, all companies, whether franchisors or not, should analyze their own specific circumstances before entering into a similar agreement. Continue Reading Does Subway’s Compliance Agreement with the DOL Really Raise Joint Employer Concerns?
Pokémon Whoa – Reality Game App Creates Unprecedented Risks for Employers
Catch ’em all! Pokémon Go is a mobile game that uses “augmented” reality to create a virtual scavenger hunt. In the quest to catch ’em all, over 15 million people have downloaded the Pokémon Go game since its recent release. Employers have grappled with employees’ personal use of electronic devices during work hours since gaming fads such as Candy Crush and Draw Something were released. However, beyond creating a simple distraction in the workplace, the explosion of Pokémon Go subjects employers to potentially costly risks, including worker safety issues, lost productivity, data breach possibilities, and misuse of company resources.
Our Toronto office colleague, Mark Mendl, recently authored an article that examines the various employment issues and considerations implicated with Pokémon Go. The article may be accessed here.
Does Your Corporate Wellness Program Need a Check-Up: EEOC Issues Two New Final Rules
On May 16, 2016, the EEOC issued two final rules that describe how the Americans with Disabilities Act (ADA) and the Genetic Information Nondiscrimination Act (GINA) apply to corporate wellness programs offered by employers. These two rules address incentives that employers may offer, as well as related confidentiality issues. How healthy is your company’s wellness program in light of these new rules? Continue Reading Does Your Corporate Wellness Program Need a Check-Up: EEOC Issues Two New Final Rules
DOL Issues Final Overtime Rule—Are Your Exempt Employees Still Exempt?
On May 18, 2016, the Department of Labor finalized its highly anticipated overtime rule that updates the Fair Labor Standards Act’s “white collar” exemptions (including the executive, administrative, and professional exemptions) and the highly compensated employee exemption. Most notably, the Final Rule significantly increases the minimum salary an employee must earn to qualify for these exemptions. With an effective date of December 1, 2016, companies must understand the new Final Rule and take the appropriate steps to comply. Continue Reading DOL Issues Final Overtime Rule—Are Your Exempt Employees Still Exempt?
The Defend Trade Secrets Act – Making a Federal Case of It
President Obama signed the Defend Trade Secrets Act into law on Wednesday, adding another layer of protection for companies’ trade secrets and garnering near-unanimous support in Congress. So what’s in this legislation that managed to bring the parties together, and more importantly, what does it mean for employers? Here are 5 key takeaways from the DTSA. Continue Reading The Defend Trade Secrets Act – Making a Federal Case of It
Look Out Texas Employers — “Ban-the-Box” Laws Come to Austin
For any Texas companies that have not been paying close attention to the nation-wide trend of “ban-the box” laws, this is your wake up call. On March 24, 2016, the Austin City Council, by an 8-2 vote, approved the Fair Chance Hiring Ordinance, which prevents employers from inquiring about applicants’ criminal backgrounds until after a conditional offer of employment has been made. With this Ordinance, Austin has joined numerous other cities and states (Chicago, New York City, New Jersey, and Massachusetts, to name a few) in restricting private employers’ ability to ask about criminal history. Continue Reading Look Out Texas Employers — “Ban-the-Box” Laws Come to Austin
DOL Becomes Latest Agency to Target Joint Employment
The Department of Labor’s Wage and Hour Division recently released Administrator’s Interpretation No. 2016-1, examining joint employment relationships under the Fair Labor Standards Act and the Migrant and Seasonal Agricultural Worker Protection Act. This comes shortly after the National Labor Relations Board issued its well-publicized decision in Browning-Ferris Industries that dramatically broadened the “joint employer” concept under the National Labor Relations Act. So where does the law now stand under the FLSA?
Continue Reading DOL Becomes Latest Agency to Target Joint Employment
EEOC to Release Employer Position Statements to All Claimants
At some point, an employer may face the unpleasant task of responding to an EEOC Notice of Charge of Discrimination from an employee or former employee. Until recently, however, a well-drafted position statement often could stop a discrimination charge in its tracks. A new EEOC policy may change all that. Continue Reading EEOC to Release Employer Position Statements to All Claimants
OFCCP Pay Transparency Rule Takes Effect
Following President Obama’s 2014 Executive Order, the Office of Federal Contract Compliance Programs’ final rule on pay transparency took effect January 11, 2016. Some highlights of the final rule include the following: Continue Reading OFCCP Pay Transparency Rule Takes Effect
Corporate Wellness Programs: How Far Can Employers Go to Make Employees Healthy?
It’s a new year, and some of your employees may have resolved to lose weight, eat more healthfully, or even give up smoking in 2016. But employees aren’t the only ones interested in their own health and wellness. Corporate wellness programs can be an effective way for employers to encourage healthy behavior from their workforce while saving costs on health care premiums.
Continue Reading Corporate Wellness Programs: How Far Can Employers Go to Make Employees Healthy?