Beltway Buzz, September 1, 2023
The Beltway Buzz is a weekly update summarizing labor and employment news from inside the Beltway and clarifying how what’s happening in Washington, D.C., could impact your business.
Blog
DOL Proposes Substantial Increase to Salary Threshold for FLSA’s White Collar Exemptions
On August 30, 2023, the U.S. Department of Labor (DOL) released a Notice of Proposed Rulemaking (NPRM) that would significantly raise the minimum weekly salary to qualify for one of the Fair Labor Standards Act’s (FLSA) three white-collar exemptions. If the changes go into effect, they would have a significant impact on how employers pay their employees and who is or is not entitled to overtime pay.
Is It Compensable? Federally Recognized Holidays
February 20, 2023, was Presidents’ Day, one of several federal holidays occurring throughout the year in the United States. Private-sector employers are not required by federal law to give employees any federal holidays off. Nevertheless, many private companies provide at least some federal holidays off for their employees. Are those private-sector employers that choose to provide their employees with holidays off required to pay employees for that time?
Is It Compensable? Missing Work Due to Inclement Weather
Is the time during which employees were scheduled to be at work but could not be due to poor weather conditions compensable? That depends.
Employee’s Poor Performance Trumps FMLA Claim
On March 9, 2022, the U.S. Court of Appeals for the Seventh Circuit issued an employer-friendly decision in Anderson v. Nations Lending Corporation. Despite some facially bad facts—including that the employee was discharged only four days after returning from leave under the Family and Medical Leave Act (FMLA) and subject to a supervisor’s comments about her being “sick a lot”—the court affirmed summary judgment in favor of the employer.
Wisconsin Legislature Expressly Authorizes Electronic Tip Declarations
Like the federal Fair Labor Standards Act, Wisconsin law allows hospitality employers to pay certain tipped employees less than the minimum wage with the understanding that the tips they receive will cover the difference. More specifically, Wisconsin law allows employers to claim a tip credit of up to $4.92 per hour for employees who “customarily and regularly receive tips.” Among other things, Wisconsin law requires employers to have a “signed tip declaration” in order to claim the credit.
DOL’s New Outreach Initiative and Guidance on Application of the FLSA to Pandemic Scenarios, Including the Compensability of COVID-19 Screening Activities
On April 26, 2021, the U.S. Department of Labor (DOL) posted an update on its blog regarding its new Essential Workers, Essential Protections initiative, which is designed to “ensure that workers know about the wage and hour laws that protect them – and how to contact [the DOL] to get help if they need it.”
Wisconsin Joins States Providing Civil Immunity Related to COVID-19 Exposure
On February 25, 2021, Wisconsin joined Alabama, Georgia, Indiana, Iowa, Louisiana, Michigan, Mississippi, Missouri, Montana, North Carolina, Ohio, Oklahoma, South Carolina, South Dakota, Tennessee, Utah, and Wyoming in enacting a COVID-19 litigation shield law. Governor Tony Evers signed a bill providing entities broad immunity from “civil liability for the death of or injury to any individual or [for] damages caused by an act or omission resulting in or relating to exposure, directly or indirectly, to … COVID-19.”
Madison Takes ‘Pot’shot at Wisconsin, Joins Growing List of Municipalities to Decriminalize Cannabis
In November 2020, the Common Council for the City of Madison, Wisconsin, passed ordinances decriminalizing the possession and use of small amounts of cannabis or cannabis derivatives within city limits.
Wage and Hour Roundup: Using “Relief” Workers During the COVID-19 Crisis
As COVID-19 continues to remain a critical issue across the country, an increasing number of employers that are allowed to remain open despite shelter-in-place orders may be experiencing staffing shortages. This is because employees may be increasingly absent due to mandatory or voluntary quarantines. To maintain operations, many of these employers are turning to areas of their businesses or enterprises that may have a staffing surplus, and temporarily reassigning those employees to the more essential roles vacated by employees who are absent as a result of the COVID-19 crisis.
You Need to Cut Costs, but Don’t Want a RIF: Alternatives to Terminations in the Age of COVID-19
During this season of COVID-19, in which the duration of the crisis is unknown, employers across the country are seeking to implement cost-cutting measures which avoid full-blown reductions in force (RIFs). Many employers are opting instead for cost-saving measures that are designed to be temporary and reversible placeholders in the event the economy snaps back sooner rather than later. Employers have several tools in their toolkits.
EEOC’s Proposed Changes May Lead to Increased Charge Activity and Subsequent Litigation
On February 22, 2019, the U.S. Equal Employment Opportunity Commission (EEOC) issued a notice of proposed rulemaking (NPRM) to update and amend procedural regulations to fully digitize the EEOC’s charge processing and records systems, clarify the meaning and significance of a “no cause” determination, and delegate the issuance of dismissals to lower-level EEOC employees.
No Snow Days for Wage and Hour Issues
With winter on the way, it is a good time for employers to review the relevant wage and hour laws that can be triggered by inclement weather. Likewise, it is also a good time for employers to ensure their policies comply with these laws when weather causes a temporary workplace interruption.
Wisconsin Judge Rules That HR’s Assurances Before Employee’s One-Year Anniversary May Give Rise to FMLA Claim
Employees are not eligible for leave under the federal Family and Medical Leave Act (FMLA) unless, among other things, they have worked for a covered employer for at least 12 months. It is also a matter of common sense that only employees who are actually eligible for FMLA leave can assert a claim for interference with those rights. Or is it?
Wisconsin Law Prohibits Local Regulation of Several Employment Issues, Does Not Preempt Discrimination Ordinances
On April 16, 2018, Wisconsin Governor Scott Walker signed an amended version of 2017 Assembly Bill 748, thereby declaring a number of employment issues to be matters of statewide concern and therefore beyond the scope of municipal regulation.
Wisconsin Legislature Poised to Prohibit Local Employment Ordinances and Exempt Certain Employers From WFMLA
While all eyes have rightfully been focused on Washington, D.C., during the recent and ongoing drama surrounding the government shutdown, in Madison, the Wisconsin Legislature is poised to take action on two measures that may have a significant impact on Wisconsin employers. In the first bill, the Wisconsin Legislature seeks to prohibit local governments from enacting or enforcing certain employment regulations at the local level. If passed, this bill could summarily put an end to the Madison Equal Opportunity Ordinance. In the second bill, the Wisconsin Legislature would exempt from the Wisconsin Family and Medical Leave Act (WFMLA) any employer that is also covered by the federal Family and Medical Leave Act (FMLA). These significant proposals are in keeping with other employer initiatives enacted during Governor Walker’s tenure.
Wave of the Future or a Step Too Far? Wisconsin Company Offers Employees Microchip Implants, Employment Issues Abound
The Wisconsin-based employer is reportedly the first in the United States to offer microchips (at a cost to the employer of $300 each) to employees on a voluntary basis.
Work Permits in Wisconsin: New Requirements and Modernized Statutory Language
Recently signed by Governor Walker, 2017 Wisconsin Act 11 went into effect on June 23, 2017. The act has two objectives.
Be a Donor … and Qualify for Unpaid Leave: New Wisconsin Law Goes Into Effect Soon
Effective July 1, 2016, Wisconsin law will require covered employers to provide eligible employees with up to 6 weeks of unpaid leave in a 12-month period to undergo and recover from bone marrow or organ donation procedures. Previously, only employees of the Wisconsin state government were entitled to leave for such donations.
Independent Contractor . . . or Not? DOL and Wisconsin DWD Team Up to Reduce Employee Misclassification
On January 20, 2015, the U.S. Department of Labor (DOL) announced that Wisconsin had become the latest state to join the “Misclassification Initiative,” which is designed to protect the rights of employees “by preventing their misclassification as independent contractors or other nonemployee statuses.” Wisconsin is the 19th state to sign…..