In Ruiz Mattei v. Commercial Equipment Finance, Inc.,¹ the Supreme Court of Puerto Rico determined that claims under the Unjustified Dismissal Act² and the Workplace Discrimination Act³ are transferable to the employee’s heirs following the employee’s death.

Robert W. Pritchard comments on the dismissal of a longstanding dispute between Uber and its former drivers.

The Legal Intelligencer

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On March 11, 2021, President Biden signed into law the American Rescue Plan Act (ARPA) that contains a new, temporary COBRA subsidy.

On March 11, 2021, President Biden signed into law the American Rescue Plan Act (ARPA) that contains a new, temporary COBRA subsidy. The ARPA COBRA subsidy requires employers to cover 100% of an employee’s cost of continuing group health coverage under COBRA from April 1, 2021 through September 30, 2021 for those who lost their health care coverage on account of a reduction of hours or an involuntary termination.

Over the past few years, cities have started to implement workplace regulation, an area previously reserved to federal and state governments.  The hotel industry, which often is one of the primary drivers of a local economy, has been a particular focus.

In addition to the information and consultation obligations linked to their general responsibilities,¹ Social and Economic Committees (“Comité Social et Economique” or "CSE") in French workplaces, which replace and merge all the employee representative bodies, staff representatives, works council, and health, safety and working conditions committee, must be informed and consulted in the event of a “restructuring and downsizing.”² What is their scope of intervention?

Cases Requiring Consultation

In a recent case issued by the Supreme Court of Puerto Rico (“the Court”), the Court addressed the standard and level of proof that must be presented by employers when raising as an affirmative defense a corporate reorganization. In Segarra Rivera vs. International Shipping Agency, 2022 T.S.P.R. 33, 208 D.P.R. ____ (Mar.

In the first such decision from a federal appellate court, the U.S. Court of Appeals for the Fifth Circuit has ruled the COVID-19 pandemic is not a “natural disaster” that exempts employers from providing advance notice of mass layoffs and plant closures under the WARN Act. The court also opined that the natural-disaster exception requires proof of proximate causation, not but-for causation.¹

In late January 2023, the UK Government published a draft Code of Practice on Dismissal and Re-engagement. The trigger for the draft Code was the increased attention on the use of dismissal and re-engagement (also known as “fire and rehire”) by employers during the COVID-19 pandemic.

Survey of more than 450 employers reveals critical insights on layoffs, hiring practices and more

(March 8, 2023) – Littler, the world’s largest employment and labor law practice representing management, has released the results of its latest Employer Pulse Survey Report: 2023 Economic Outlook, based on responses from more than 450 in-house lawyers, C-suite executives and human resources professionals across the United States.

In Pham v.

Dear Littler,

 We are a professional services company with employees in various states. During the pandemic we shifted to fully remote work. As the pandemic subsided, we still leaned into remote work to attract and retain talent who preferred remote work. We also shifted our focus almost exclusively to digital services that did not require an in-person presence since our clients were also remote. We kept most of our physical offices intact but downsized some square footage to reduce our overhead.

Javier Thibault weighs in on the Spanish parliament’s recent labor reform agreement and its effects on the recovery and the labor market. 

Confilegal

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Lisa (Lee) Schreter weighs in on employers paying employees in cryptocurrencies and the legal questions that may raise.

Bloomberg Law

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Jeanine Conley Daves discusses the fact that women still, in the year 2022, are rarely compensated on par with their male counterparts and suggests solutions for workplace parity.

Philadelphia Business Journal

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William Foster and Katie Towery share the changes in the legal landscape and how it could result in manufacturers’ increased liability for workplace accidents. 

Industry Today

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Lee Schreter and Justin Brown suggest four practical recommendations for companies that opt to issue crypto outright in connection with employees’ wages.

The Fashion Law

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Iván López García de la Riva discusses Spain’s plan to raise severance payments in certain situations. 

CincoDías

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Lee Schreter comments on the U.S. Department of Labor’s proposed overtime rule, which is tentatively slated to be released in October, and the Fair Labor Standards Act’s independent contractor rule.

SHRM Online

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Shannon Meade talks about states implementing minimum wage increases, increases in employers’ total compensation packages and the trend in “unretirements.”

HR Dive

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Paul Piccigallo talks about considerations for employers when raising minimum wage in the midst of rising inflation.

SHRM Online

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Melissa Cee and Erin Webber discuss hiring the sixth shareholder at Littler – Noah Garber – since July as part of Littler’s new talent strategy that the firm began developing last year. 

The Recorder

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Michael Lotito weighs in on the U.S. Department of Labor's Wage and Hour Division’s key proposals and nominations.

Law360 Employment Authority

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Sebastian Chilco and Wendy Buckingham discuss a new San Francisco law that aims to increase income and employment security for private-sector employees when they perform military service.

SHRM Online

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Joy Rosenquist offers employers tips to manage compliance challenges that may arise from California’s new regulations that are designed to increase pay transparency.

WorldatWork

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While significant bills impacting Connecticut employers were signed into law, proposed employer mandates on pay transparency, paid sick leave, and predictive scheduling failed to gain the necessary votes for passage in 2023. Here are some of the year’s notable legislative developments.

What Passed . . .

Effective October 1, 2023, unless otherwise noted:

On August 8, 2023, the Governor of Puerto Rico signed into law Act No. 85-2023, effective immediately. The statute amends Puerto Rico’s Workers’ Compensation Act by further incentivizing safe workplaces.

With 2023 in the rearview mirror, Connecticut employers may want to confirm they have implemented the necessary changes to address legislative developments that became effective January 1, 2024.

Connecticut Minimum Wage

Stephen T. Melnick discusses the Massachusetts Department of Industrial Accidents (DIA)’s revised workers’ compensation notice for employees, which Massachusetts employers will start using Sept. 16, 2024.

SHRM

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On March 11, 2021, President Biden signed into law the $1.9 trillion American Rescue Plan Act of 2021, which includes the Butch Lewis Emergency Pension Plan Relief Act of 2021.  This law is designed to forestall the insolvency of approximately 100 multiemployer pension plans that were expected to run out of money necessary to pay vested benefits over the next 20 years.  Included among these funds is a particularly large fund that – absent congressional intervention – would have gone insolvent by 2025, leaving millions of retirees without their expected monthly pension. 

Sarah Bryan Fask explains how the special financial assistance will affect union-brokered pensions.

Bloomberg Law

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The Colorado Court of Appeals recently decided an issue of first impression regarding the Employee Retirement Income Security Act’s (ERISA) preemptive power over Colorado’s divorce-revocation statute. The decision in Ragan v. Ragan, 2021 COA 75, settled an open question in Colorado regarding whether ERISA preempts “post-distribution” lawsuits under Colorado’s divorce-revocation statute. Specifically, the court held that ERISA preempts lawsuits against a former spouse to recover plan benefits that were distributed to the former spouse as the named beneficiary.

The U.S. Supreme Court declined to review the Second Circuit’s decision in Laurent v. PricewaterhouseCoopers LLP, which held that retirees could receive money damages in the form of recalculated benefits in a class action over how the company’s cash balance pension plan calculated lump-sum benefits.

On Monday, January 24, 2022, the U.S. Supreme Court issued an opinion in a case of critical interest to employers offering 401(k) or other defined-contribution retirement plans.  In Hughes v. Northwestern University, Case No. 19-1401, the Court voted unanimously to vacate a decision from the U.S. Court of Appeals for the Seventh Circuit, temporarily reinstating allegations by employees of Northwestern University that the fiduciaries of Northwestern’s retirement plans had violated the duty of prudence required by ERISA.

On January 27, 2022, in New York State Teamsters Conference Pension and Retirement Fund v. C&S Wholesale Grocers, Inc., the Second Circuit joined the Third, Seventh, and Ninth Circuits in applying the doctrine of successor liability to claims for withdrawal liability under the Employee Retirement Income Security Act (ERISA). The court did not, however, find successor liability in this case because the acquiring company specifically did not acquire the facility or employees that triggered the liability.

Employers offering 401(k) and similar retirement plans should familiarize themselves with a new rule published by the Employee Benefits Security Administration of the U.S. Department of Labor, Prudence and Loyalty in Selecting Plan Investments and Exercising Shareholder Rights, which takes effect on January 30, 2023.

A recent federal appeals court case clarifies that, under ERISA, the regulations governing disability plans’ claims review procedures apply to claims that predate the 2018 changes to the regulations. The decision also serves as a reminder for plan administrators to review their claims review procedures to ensure compliance with the current requirements for a “full and fair review” benefits appeal process.

The Claims Review Regulations

Fiduciaries of retirement plans continue to be plagued by class actions brought under the Employee Retirement Income Security Act (ERISA) challenging their fiduciary management of investment options and participant fees. A recent federal court decision, however, shows that fiduciaries of ERISA retirement plans may be able to attack and defeat complaints alleging breaches of ERISA fiduciary duties at the pleading stage if the right arguments are made and if certain fact patterns are present. 

Littler, the world’s largest employment and labor law practice representing management, was named “Law Firm of the Year” for Labor Law - Management in the 14th edition of Best Law Firms^®, ranked by Best Lawyers^®. The firm also earned “National Tier 1” rankings for the 14th consecutive year in the following practice areas:

On February 9, 2024, the U.S. Court of Appeals for the D.C. Circuit issued its decision in Trustees of IAM Nat'l Pension Fund v. M & K Emp. Sols., LLC, No. 22-7157 (D.C. Cir. Feb. 9, 2024), affirming the district court’s decision to vacate an arbitration award for the employer in a pension fund withdrawal liability case.  The D.C.

In the weeks leading up to and during the historic confirmation hearings of Judge Ketanji Brown Jackson to the Supreme Court, the first Black female justice was repeatedly recognized by a number of senators for being so “articulate” while being questioned. The “compliment” resonated at the same frequency as fingernails screeching across a chalkboard for many listeners.

Littler Principal Cindy-Ann Thomas and her special guest, Professor Inte’a DeShields:

In honor and celebration of Asian American and Pacific Islander Heritage Month, Littler attorneys William Ng (Long Island), Hinna Upal (Rochester) and Gregory Iskander (Walnut Creek) discuss how their journeys to leadership were built on promoting collaboration, finding community and creating opportunities for other diverse attorneys.
 

Jasper Hoffstedde and Eric van Dam of Littler’s Amsterdam office discuss non-compete clauses in Dutch employment agreements. A non-compete clause may be agreed upon in writing in indefinite-term employment agreements with a person of age (18+). For fixed-term employment agreements, additional conditions apply. Such conditions are strict, which more often than not lead to invalidity or voidability of the clause.

In this episode, Jasper Hoffstedde and Dennis Veldhuizen shed light on the works council’s purpose and added value in the decision-making process. For U.S.-based listeners, Dennis’ quick side-by-side comparison of union vs works council rights may be of interest. Furthermore, all of the basics are explained:

An increasing number of employers, especially those in the tech industry, are conducting layoffs or reductions in force. What happens to foreign workers in these situations, whose work visas are often tied to their jobs? What options are available to foreign nationals who are in the process of obtaining permanent residency or are seeking to retain employment so as not to jeopardize their visa status? What notification requirements do employers have in these situations?

As February comes to a close, Littler is capping off our celebration of Black History Month with a special podcast highlighting the voices of some of our Black attorneys. Kimberly Dobson (Long Island, NY) talks with fellow Littler attorneys, Kim Carter (San Diego, CA), Jason Byrd (New York City, NY), and Taylor Lawson (Memphis, TN) about how they’ve experienced – and seen the impact of – Black resistance in their personal and professional lives.