Hunton Profile

Pay and Promotions Task Force

Now more than ever, pay and promotion issues are tremendously important to employers.  Fair pay and equal work opportunities to all employees, regardless of gender, race, national origin or any other protected characteristic, is a top priority of the new administration.  Signing the Lilly Ledbetter Fair Pay Act, which extended the statute of limitations for filing alleged discriminatory pay and promotion claims, was President Obama’s first legislative act as President.  Recent events in Congress, including the introduction of additional legislation aimed at ensuring equal pay and advancement opportunities, paired with aggressive regulatory initiatives, are strong signals that the question is not “if” pay and promotion discrimination claims will rise, but when and how high.  Our attorneys are fully prepared to help employers maneuver through the special challenges these cases present.
 
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Renewed Attention To Paycheck Fairness Act Puts Employers On Notice

For those who thought the proposed Paycheck Fairness Act had faded away, here is a wake-up call.  After more than a year since the bill was passed by the House of Representatives and introduced in the Senate, the Senate Committee on Health, Education, Labor and Pensions is holding a new hearing on March 11 to focus on equal pay issues.

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EEOC Stung by $5 Million Fee Award For Failing to Adequately Investigate or Engage in Good Faith Conciliation

In an order issued on February 9, 2010, a United States District Judge in Iowa sent a stark reminder to the EEOC that its statutory obligations to investigate and conciliate Title VII claims are not to be ignored.  More than three years after the EEOC filed its complaint alleging systemic sex harassment, the court, in its February 9 order, awarded Defendant CRST Van Expedited, Inc. ("CRST") $4.5 million in attorneys' fees and $460,000.00 in expenses as a prevailing party, following a finding that the EEOC abandoned its statutory obligations under Title VII.

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Obama Announces Major Budget Increases for EEOC and DOJ Civil Rights Division

The Obama Administration announced on February 1, 2010, that it requested $385.3 million for the Equal Employment Opportunity Commission for fiscal year 2011.  In addition, the administration requested $162 million for the Civil Rights Division of the Department of Justice.  Significantly, the requests represent an $18 million dollar budget increase for the EEOC and a $17 million dollar budget increase for the DOJ Civil Rights Division.

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EEOC's Near-Record Number of Discrimination and Retaliation Charges in 2009 Foretells Increased Liability Concerns for Employers

The EEOC reported that workplace discrimination charges reached near-record highs in 2009.  According to the EEOC, there were 93,277 charges filed in fiscal year 2009 -- the second-highest level in its history. 

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Too Much Information: Social Media Pose Risks For Employers And Employees Alike

Recently a woman found out just how serious social media can be when she lost her benefits as a result of photos she had uploaded to her Facebook page.  She posted photos on her Facebook page that showed her having fun on vacation and also enjoying a “Chippendales” show.  The problem was that she was on extended sick leave from her job at the time, purportedly because she was suffering from depression.  Her employer’s insurance company saw the photos and discontinued her benefit payments, concluding that she was not unable to work due to depression.  She argued her doctor recommended that she try to have fun to help her forget about her problems.

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New OFCCP Director Named

In August 2009, the Obama administration named Patricia A. Shiu the new Director of the Office of Federal Contract Compliance Programs (OFCCP).  The OFCCP, part of the Department of Labor (DOL), enforces the non-discrimination and affirmative action obligations of federal contractors under Executive Order 11246, the Vietnam Era Veterans’ Readjustment Assistance Act, and the Rehabilitation Act.

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David Lopez Selected as General Counsel of EEOC

President Obama recently announced his intent to nominate P. David Lopez for the position of General Counsel of the Equal Employment Opportunity Commission (EEOC).  Lopez currently holds the position of Supervisory Trial Attorney for the EEOC’s Phoenix District Office.

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Three New EEOC Commissioners Recently Nominated

President Obama recently nominated Victoria A. Lipnic for a seat on the five-member Equal Employment Opportunity Commission (EEOC).  Lipnic is Republican, with an extensive background in employment law.  During the prior Administration, she served as Assistant Secretary of Labor for Employment Standards from 2002-2009.  In that capacity, Lipnic oversaw the Department of Labor’s largest agency, and led the teams that revised the Part 541 overtime regulations under the Fair Labor Standards Act (FLSA), and the Family and Medical Leave Act (FMLA) regulations.
 

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EEOC Guidance re: Waiver and Release Agreements

On July 15, 2009, the EEOC issued guidance entitled "Understanding Waivers of Discrimination Claims in Employee Severance Agreements." In this guidance, the EEOC generally explains the waiver of discrimination claims through release agreements and answers questions employees may have about the effect of those agreements on the filing of charges of discrimination and on severance pay. These questions include the following: "May I still file a charge with the EEOC if I believe I have been discriminated against based on my age, race, sex or disability, even if I signed a waiver releasing my employer from all claims?" and "If I file a charge with the EEOC after signing a waiver, will I have to return my severance pay?"  (The EEOC’s answers to these questions are “yes,” and “no,” respectively.)  The EEOC also explains its position on what constitutes a "knowing and voluntary" waiver under Title VII, the Americans with Disabilities Act and the Equal Pay Act, and what is required for a waiver to be effective under the Age Discrimination in Employment Act. In view of the fact that the EEOC has taken the effort to publish this guidance, and considering that the current administration has served notice that federal agencies like the EEOC will continue to vigorously enforce the nation's labor and employment laws, employers should have their current release agreements reviewed by labor and employment counsel.