The Ninth Circuit Court of Appeals recently clarified that a named plaintiff gives up his or her right to represent a class if, in an individual settlement, he or she does not carve out from the settlement a concrete financial interest in the putative class action. 
Continue Reading Can Voluntary Individual Settlements Moot Class Actions? Yes, Depending on the Facts, According to the Ninth Circuit

On May 19, 2020, the US Department of Labor issued its final rule likely expanding the FLSA’s Section 7(i) overtime exemption for commission-based workers in retail and service industries by withdrawing the long-standing, historical list of businesses that the DOL identified as falling within or outside of what it deemed to be a retail or service establishment.
Continue Reading The DOL’s New Rule Removes Presumption Against Overtime Exemption for Possible Retail and Service Establishments, Broadening Availability to Employers

A recent Fifth Circuit opinion held that a company’s arbitration agreement did not prevent employees from pursuing their claims as a collective arbitration, rather than individual claims.  As class claims related to COVID-19 begin to surge, the opinion provides occasion for companies to review their arbitration agreements to ensure that the companies’ aims are clearly drafted.
Continue Reading As COVID-based Class Actions Loom, Fifth Circuit Provides Reminder for Arbitration Agreements and Class Action Waivers

On April 23, 2020, the EEOC updated its Technical Assistance Questions and Answers, “What You Should Know About COVID-19 and the ADA, the Rehabilitation Act, and Other EEO Laws,” to address questions that many employers are struggling with related to employee COVID-19 testing.  The EEOC’s new guidance confirms that employers are authorized to administer COVID-19 tests before allowing employees to enter the workplace, and that doing so does not violate the Americans with Disabilities Act.
Continue Reading EEOC Confirms Employer-Mandated COVID-19 Testing Does Not Violate the ADA

On February 26, 2020, the National Labor Relations Board (NLRB) finalized its rule governing joint employer status under the National Labor Relations Act. The final rule generally restores the “direct and immediate control” standard that the NLRB applied for decades prior to the 2015 Browning-Ferris decision, but provides additional guidance.
Continue Reading NLRB Issues Joint Employer Final Rule

With the age of artificial intelligence unfolding, products aimed at automating the recruiting and hiring process are hitting the market with increasing frequency.  Companies have been utilizing AI for tasks such as screening resumes, and even interviewing candidates and assessing whether they will be successful employees.
Continue Reading New York City Introduces Bill to Regulate the Use of AI in Employment Decisions

Last week, a federal judge in the Eastern District of Michigan granted Domino’s Pizza, Inc.’s motion to dismiss, holding that workers operating under the Domino’s brand must arbitrate their claims that the pizza chain made its franchises promise not to hire each other’s employees, then misled the public to believe no such agreement existed.
Continue Reading Domino’s Franchise Workers Compelled to Arbitration Through Franchisee Agreements

Recently, a California Appellate Court held that underwriters at Lloyd’s of London must defend the owner/operator of hundreds of Pizza Hut and Wing Street restaurants in a putative employee class action accusing the company of labor law violations, finding that an employment practices liability insurance policy’s “wage and hour” exclusion must be construed narrowly to bar coverage only for claims related to “laws concerning duration worked and/or remuneration received in exchange for work.” In doing so, the court made clear that “wage and hour” exclusions do not preclude coverage for claims that go beyond the employee’s actual remuneration received in exchange for work.


Continue Reading Insurance Win for Wage and Hour Defense Highlights Need to Scrutinize EPLI Coverage Denials

Earlier today, the United States Department of Labor announced a long-awaited final rule to take effect on January 1, 2020 updating the earnings threshold to $35,568 necessary for employees to qualify for the Fair Labor Standards Act’s “white collar” exemptions.   The DOL estimates that 1.2 million additional workers will be entitled to minimum wage and overtime pay as a result of this increase in the salary basis.
Continue Reading Breaking News: DOL’s Final Overtime Rule Sets Salary Threshold at $35,568 for FLSA’s White Collar Exemptions

Earlier this year, a federal court in Illinois decertified a small class of Physicians who alleged gender-based pay discrimination under the Equal Pay Act.  Although not a groundbreaking appellate court decision, the opinion does provide a roadmap for employers facing EPA collective actions, which may gain traction in the wake of increasing media attention on pay disparities.
Continue Reading Decertified Class of Physicians Provides Helpful Reminders for EPA Collective Actions