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Employment Law

Good news if you’re facing class action: Courts balk at letting classes snowball

05/14/2010

It’s one of the worst HR nightmares possible: One disgruntled employee claims she represents hundreds or thousands of employees who have allegedly suffered discrimination. What was a single case suddenly grows into a huge, companywide class-action lawsuit—with a price tag that has suddenly grown exponentially. Fortunately, federal courts handling Minnesota cases seem to be stepping back from the brink. They’re not approving as many class-action requests.

Stick with termination decision–and don’t hint that you’re open to reconsidering

05/14/2010
Once you’ve made the tough decision to terminate an employee, stick to it. If you let the employee talk you into reconsidering, you may end up with a lawsuit over whether a contract had been created.

Employee thinks he has you over a barrel? If it sounds like extortion, fire him!

05/14/2010

You know that you can’t retaliate against an employee who, in good faith, complains about alleged discrimination. That’s true even if it turns out that he was wrong and no discrimination actually occurred. The key there is “good faith.” It’s not retaliation to fire someone who is simply trying to extort a benefit by making a frivolous complaint.

DOL stops issuing wage-and-hour opinion letters

05/14/2010
For the past 50 years, employers could ask the U.S. Department of Labor to issue an “opinion letter” to provide guidance on fact-specific questions about overtime, FLSA or wage-and-hour issues. But the DOL stopped the practice last month, replacing the letters with “administrator interpretations.”

Must we give extra pay for extra duties?

05/13/2010
Q. We are short-staffed and some of our employees have been assigned tasks beyond what they were hired to do. Some have said they want more money because of this. Do we have to increase their pay?

OK to use deductions to collect from employees?

05/11/2010
Q. If an employee owes us money, can we collect it through deductions from his wages?

Can subcontractor’s employee sue prime contractor for work site negligence after injury?

05/11/2010
Q. Our company was a general contractor on a construction job. A subcontractor performed the electrical work. One of the subcontractor’s workers was injured while leaving the construction site. The subcontractor has denied compensability of the workers’ compensation claim, saying that the accident wasn’t within the course and scope of employment. The worker is now threatening to sue us for negligence. Can he do that?

Beware the cat’s paw: How innocent decisions create liability

05/11/2010

It comes as a bolt out of the blue: The Florida Commission on Human Relations notifies you that there’s “reasonable cause” to believe retaliation was the reason a female employee lost out on a promotion to a male co-worker. But it was a clean promotion process! How did this happen? As it turns out, this is the “cat’s paw” doctrine at work.

BofA, Merrill face sex bias lawsuit following merger

05/11/2010

Bank of America took control of a lot of toxic assets when it purchased brokerage house Merrill Lynch in 2008. Part of the poison was apparently a litigious workforce that couldn’t wait to meet its new co-workers. Two Florida women are part of a sex discrimination lawsuit claiming that the combined companies treat their female financial advisors like “second-class citizens.”

Former USF football coach sues university over firing

05/11/2010
Former University of South Florida football coach Jim Leavitt has sued the university and its foundation, claiming his contract was improperly terminated. Leavitt lost his job last January after allegedly grabbing a football player by the throat and hitting him.