California Governor Jerry Brown recently signed AB 1897 thereby creating new liability for businesses that engage in labor contracting. Current California law prohibits employers from entering into labor or services contracts with a construction, farm labor, garment, janitorial, security guard, or warehouse contractor, if the employer knows or should know that the agreement does not
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Obama NLRB Presents Employers With Several Lumps Of Coal
We continue our recent end-of-year postings (on new California employment laws and things every employer should resolve to do in 2013) with an update on recent cases by the National Labor Relations Board ("NLRB" or "Board"). In late December, 2012, the NLRB issued a series of controversial decisions which from an employer’s perspective cannot be considered Christmas presents. While some of these cases impact only narrow circumstances, each of the decisions dramatically changes the law, always in ways adverse to employers.
The Board’s December 2012 Decisions
In Alan Ritchey, Inc., the Board created an entirely new obligation for employers operating a workplace where a union has been recognized or certified, but no collective bargaining agreement has yet been agreed to. In this setting, the Board concluded, an employer must notify the union and provide it with an opportunity to bargain over individual discretionary discipline before the discipline is imposed. The Board made clear that this obligation requires sufficient advance notice for meaningful bargaining. Moreover, the employer must respond to union requests for information regarding the discipline before such meaningful bargaining can occur. The Board dismissed concerns that the new obligation it had created would be unduly burdensome for employers, suggesting that there may be circumstances in which an employee could be removed from a job prior to bargaining, when leaving employee on the job might present “a serious imminent danger to the employer’s business or personnel.”Continue Reading Obama NLRB Presents Employers With Several Lumps Of Coal
California: New Requirements For Commission Agreements To Take Effect
Companies with employees in California who are paid on commission should be aware of a new law requiring commission agreements to be in writing. As we’ve blogged about previously, California AB 1396 was enacted last year with a deferred effective date of January 1, 2013. That deadline is now coming up quickly, and affected employers…
Reality Show Contestants Win Overtime Case; SAG Signs Contract
A French court recently awarded 11,000 euros (about $15,000) in damages to three contestants in a reality television show, finding that the contestants were entitled to overtime and other benefits. The three plaintiffs appeared in L’Ile de la Tentation (Temptation Island), a show that follows couples separated on a tropical island, where single people attempted…
Former Employee Wins $4.1 Billion, Dr. Evil Award
An arbitrator recently awarded $4.1 billion in favor of the former chief marketing officer of iFreedom Communications Inc., finding that iFreedom breached his employment contract by firing him without cause. You read that right: $4.1 billion, with a "b." U.S. Dollars, not Zimbabwean. Don’t believe us? You can read the opinion yourself: Chester v. iFreedom…
Supreme Court: Arbitration Provisions in Collective Bargaining Agreements Enforceable on Statutory Claims
Today the United States Supreme Court issued a decision of paramount importance to union employers, holding that arbitration clauses in collective bargaining agreements (CBAs) are enforceable as to statutory claims. Click here to read the decision in 14 Penn Plaza LLC v. Pyett.
In Penn Plaza, several union members asserted claims against their employer under the…
AFTRA Ratifies Three-Year Contract
Good news for us consumers of entertainment: members of the American Federation of Television and Radio Artists just ratified a new three-year prime-time television agreement with major Hollywood studios and networks. AFTRA represents about 70,000 radio and television performers. Negotiations between the studios and the Screen Actors Guild, however, continue, threatening the continued production…