Washington Passes New Domestic Violence and Military Family Leave Laws
On April 1, 2008, Governor Christine Gregoire signed new laws requiring Washington employers of any size to provide two kinds of leave to Washington employees: domestic violence leave for victims and family members, and military family leave. To learn more, check out Stoel Rives’ update.
Make Mine a "Venti": Starbucks Ordered to Pay Baristas $105 Million
A California Superior Court ordered Starbucks Corp. to pay $105 million in restitution to baristas who were required to pool their tips with supervisors. Chou v. Starbucks Corp., Cal. Super. Ct. No. GIC836925 (Mar. 19, 2008). The class action case was brought on behalf of all baristas who worked at any California Starbucks going back to October 8, 2000: an estimated 100,000 workers. That’s a little over $1,000 per barista—or approximately 420 tall lattes each.
Bada Bing! Executives Subject to RICO Suit for Hiring Undocumented Workers
A federal judge in Ohio ruled that an employer’s top executives are subject to a RICO lawsuit for hiring undocumented alien employees. Hager v. ABX Air, Inc., No.2:07-CV-317 (S.D. Ohio Mar. 25, 2008). RICO, the "Racketeer Influenced and Corrupt Organizations Act," is usually associated with attempts to bring down mob bosses and the "legitimate businesses" they use to launder money. Here, an employee is using the statute to sue his bosses, alleging that the CEO and other top corporate executives hired undocumented aliens in an effort to depress wages. Even though the judge noted that the claims are "novel," he found that the plaintiff sufficiently pleaded the requisite "criminal enterprise." Bad news if the plaintiff wins: RICO allows for triple damages.
No Individual Liability for Retaliation Under California FEHA
In a ruling that could simplify the defense of retaliation claims in California, the California Supreme Court recently held that there exists no individual liability for retaliation under California's Fair Employment and Housing Act (FEHA). Jones v. The Lodge at Torrey Pines P’ship, (Cal. Mar. 3, 2008). Although the FEHA prohibits discrimination by "an employer," in contrast, it prohibits retaliation by "any employer, labor organization, employment agency, or person." Based on the legislative history, the court determined that the legislature did not intend to provide for personal liability when it added the word "person."
