Just when you thought it was safe to go back in the water (or stop sheltering in place anyway), a wave of COVID-19-related employment lawsuits are being filed across the country.  At our last count, nearly 50 labor and employment-specific cases have been filed.  The first in Oregon was filed earlier this month by a former assisted living facility employee who seeks $950,000 in damages for alleged whistleblower and sick leave retaliation.  Although the types of claims being brought by employees are typical—wage/hour, whistleblower, contract, wrongful termination, protected leave and discrimination claims, WARN Act violations—employers now face a perfect storm: defending real-time decisions made to keep their businesses afloat against the backdrop of a global pandemic that has completely disrupted business operations.  (And as we all know, “You can’t just call time out and stroll on into the beach if you don’t like the way things are going.”)

As we have mentioned during several COVID-19-related client briefings, courts will now have to wade into murky waters and provide clarity on how newly enacted or amended local, state and federal leave laws such as the Family First Coronavirus Response Act (“FFCRA”) operate, especially where statutory and regulatory guidance has not always been clear.  Courts will also need to provide direction on how well-settled legal schemes, such as disability and contract law, apply in the face of a pandemic.

Of particular concern for employers right now are trends in wage and hour class actions suits, which can pose significant risk of crippling wage penalties and plaintiffs’ attorney fees, as well as leave discrimination and whistleblower retaliation claims. These kinds of claims could draw sympathy from jurors and sink a business.  Here are a few of examples of employment cases recently filed across the country, and trust us, “You’re gonna need a bigger boat.”
Continue Reading COVID-19 Litigation: The Next Wave

Employers facing changes in their business or broader economic downturns must find ways to respond and weather the storm.  Typically, this means cutting expenses, while maintaining their ability to operate.  For many (if not most) businesses, payroll is the single largest expense item.  And when business slows, employees are left with excess capacity and are

Thank you to everyone who attended our webinar on Taming the COVID-19 Chaos, Part 6—Bringing Employees Back to Work.  If you missed it, be on the lookout for details on future webinars to help employers navigate these challenging times.

We received some questions about whether employees can continue to use FFCRA leave after the end

On April 23, 2020, Idaho’s Governor Little adopted “Guidelines” that constitute a “data-driven approach to opening up Idaho’s economy.”  The proposed approach is intended to reduce the risk of COVID-19 to the State’s most vulnerable population and preserve capacity in the healthcare system, while opening up businesses safely.  The Governor’s action readily acknowledges that employee

Oregon Governor Kate Brown announced this week that Oregon is developing a multifaceted, step-by-step plan for reopening businesses and relaxing its “stay at home” measures.  In accordance with federal guidance, Oregon’s plan has three phases, with gating criteria and core preparedness requirements that must be met before moving to the next phase. Between each phase,

On April 22, Governor Dunleavy announced Health Mandate 016, reflecting Phase 1 of the Governor’s Reopen Alaska Responsibly Plan.  The Governor anticipates issuing information on Phases 2 through 5 of the Plan in the near future.

Phase 1 of the Plan permits limited openings of businesses, including restaurants, retail businesses, personal services businesses, and both

On April 21, Washington’s Governor Inslee remarked that the eventual reopening of Washington will “look more like turning a dial than flipping a switch.” But the timing of that dial turning is still unknown. Governor Inslee did not comment on whether his Stay Home, Stay Healthy order will be lifted on its current end date

Most employers are aware of the Paycheck Protection Program (“PPP”) created by the CARES Act that could provide assistance with meeting payroll, but the program quickly ran out of money, leaving many without funding.  To address that and other issues, the Senate passed the Paycheck Protection Program and Health Care Enhancement Act, see here,

Many Washington employers are looking for ways to retain skilled labor until businesses reopen.  The Washington Employment Security Department’s (“ESD”) emergency rules may help during the COVID-19 crisis.  Employers who plan to rehire employees when businesses reopen may request “standby” status for laid off employees, which has been expanded under the emergency rules.

Standby status