Justia Labor & Employment Law Opinion Summaries

The First Circuit answered two questions of first impression regarding the Federal Arbitration Act (FAA) by holding (1) in a case where a federal district court is confronted with a motion to compel arbitration under the FAA and the parties have delegated questions of arbitrability to the arbitrator, the applicability of the FAA is a threshold question for the court to determine before compelling arbitration under the FAA; and (2) a provision of the FAA that exempts contracts of employment of transportation workers from the FAA’s coverage applies to a transportation-worker agreement that purports to establish an independent-contractor relationship. Accordingly, the First Circuit affirmed the district court’s order denying the motion to compel arbitration and dismissed this appeal for lack of appellate jurisdiction. View "Oliveira v. New Prime, Inc." on Justia Law

Plaintiff appealed the district court’s grant of summary judgment in favor of her former employer, AstraZeneca Pharmaceutical LP, on Plaintiff’s claims that AstraZeneca violated the Americans with Disabilities Act (ADA) and several provisions of Puerto Rico law. Plaintiff attempted to persuade the First Circuit that there existed several material factual disputes in this case. The First Circuit affirmed the summary judgment, holding (1) AstraZeneca was entitled to summary judgment on both Plaintiff’s ADA disability discrimination claim and her ADA retaliation claim; and (2) Plaintiff failed to shoulder her burden to proceed to trial on her claims sounding in Puerto Rico law. View "Delgado-Echevarria v. AstraZeneca Pharmaceutical LP" on Justia Law

Pan Am Railways, Inc. brought charges of dishonesty and insubordination and threats of dismissal against Jason Raye, an injured employee who had filed a complaint with the Occupational Safety and Health Administration (OSHA) under the Federal Railroad Safety Act (FRSA). Raye then filed an amended complaint to OSHA accusing Pan Am of violating the FRSA for filing his original OSHA complaint. OSHA concluded that Pan Am had unlawfully retaliated against Raye for bringing charges after Raye had filed his original OSHA complaint. An administrative law judge (ALJ) rejected Pan Am’s affirmative defense and awarded $250,000 in punitive damages, the maximum amount that the FRSA allows. The Department of Labor’s Administrative Review Board affirmed. The First Circuit denied Pan Am’s petition for review, holding (1) the ALJ did not err in rejecting Pan Am’s affirmative defense that it would have charged Raye with dishonesty even absent his protected activity; and (2) there was no abuse of discretion in the ALJ’s punitive damages award. View "Pan Am Railways, Inc. v. U.S. Department of Labor" on Justia Law

Plaintiff filed a complaint against Defendants, her former employer and the Commonwealth of Massachusetts, alleging that Defendants violated her rights under the Family and Medical Leave Act (FMLA), discriminated against her on the basis of a covered impairment, illegally required her to participate in prohibited political activity, and wrongfully terminated her with actual malice. The district court granted Defendants’ motion to dismiss the case under Fed. R. Civ. P. 12(b)(1) and 12(b)(6). Plaintiff appealed the portion of the district court’s order dismissing certain FMLA claims against her former employer under Rule 12(b)(6). The First Circuit affirmed, holding that the facts pleaded in Plaintiff’s complaint did not plausibly allege that her supervisor fired her because she sought leave protected by the FMLA. View "Germanowski v. Harris" on Justia Law

Appellant was employed by Appellees as a social worker when she suffered a work-related injury. Appellant sued Appellees, alleging that they failed to accommodate her disability in violation of the American with Disabilities Act (ADA). The district court granted summary judgment in favor of Appellees, concluding that Appellant did not qualify as a disabled individual under the ADA and that she was one responsible for the breakdown in communications concerning her accommodations. The First Circuit affirmed, holding that the district court correctly found that Appellees could not be held liable for their failure to accommodate because Appellant was responsible for the breakdown in communications. View "Ortiz-Martinez v. Fresenius Health Partners PR, LLC" on Justia Law

Pumpernickel Express, Inc. carried automotive parts from warehouses in Mansfield, Massachusetts to Toyota dealerships in the region. Pumpernickel’s drivers were represented by a Union. Lily Transportation Corporation later obtained the portion of Pumpernickel’s business that involved distributing parts for Toyota. Lily hired many of Pumpernickel’s former employees, including drivers. The Union demanded that Lily recognize it as the drivers’ bargaining representative. Lily refused. Thereafter, the Union filed an unfair labor practice charge, alleging that Lily’s refusal to bargain violated the National Labor Relations Act. The administrative law judge found that, in distributing for Toyota, Lily was a “successor employer” to Pumpernickel, and therefore, Lily was required to recognize and bargain with the Union. The National Labor Relations Board affirmed and ordered Lily to recognize and bargain with the Union. The Board then asked the First Circuit to enforce its order over Lily’s objection. The First Circuit granted the Board’s application for enforcement of its bargaining order, holding that the Board did not err in relying on UGL-UNICCO Service Co.’s successor bar doctrine. View "NLRB v. Lily Transportation Corp" on Justia Law

Plaintiffs were a group of current and former federal employees working in non-foreign areas located outside the contiguous United States. In addition to their normal salaries, federal employees working in these areas receive cost-of-living allowances (COLAs). Plaintiff filed a complaint challenging the Office of Personnel Management’s (OPM) regulations that exclude COLAs from the calculation of retirement and other benefits, alleging that these regulations are discriminatory under Title VII of the Civil Rights Act and are arbitrary, capricious, and contrary to law under the Administrative Procedure Act (APA). The district court dismissed the complaint. The First Circuit affirmed, holding that the district court properly concluded (1) that Plaintiffs’ disparate impact claim was barred by the location-based safe harbor provision of 24 U.S.C. 2000e-2(h); (2) that Plaintiffs did not exhaust their administrative remedies as to their disparate treatment claim; and (3) that Plaintiffs’ non-discrimination claims were precluded by the Civil Service Reform Act. View "Rodriguez v. United States" on Justia Law

At issue in this case was whether the delivery drivers for a Maine dairy company fell within the scope of an exemption from Maine’s overtime law. Specifically at issue was an exemption to the overtime law that covers employees whose work involves the “packing for shipment or distribution of” enumerated food products. The drivers argued that these words referred to the single activity of “packing,” whether the packing was for “shipment” or for “distribution.” The district court granted summary judgment to the dairy company, concluding that “distribution” was a stand-alone exempt activity. The First Circuit reversed, holding that the exemption at issue is ambiguous, and, under Maine law, must be construed in the narrow manner that the drivers favor in order to accomplish the overtime law’s remedial purposes. Remanded. View "O'Connor v. Oakhurst Dairy" on Justia Law

After James Walsh’s (Plaintiff) employment with Zurich American Insurance Company (Defendant) was terminated, he filed a complaint against Defendant, alleging breach of contract, willful violation of New Hampshire’s wage and hour law, and other claims based on Defendant’s substantial reduction of his incentive pay for a lucrative deal and failure to pay incentive on another deal. A jury found that Defendant willfully and without good cause withheld the compensation owed to Plaintiff and awarded him double damages and attorney’s fees. The First Circuit vacated the district court’s judgment insofar as it incorporated the jury’s verdict on one deal (the Great American Insurance Company, or GAIC, deal) and affirmed the judgment with respect to the other deal (the Automobile Protection Corp., or APCO, deal), holding (1) Defendant was not entitled to judgment as a matter of law on the breach of contract and wage claims; (2) the jury’s breach and willfulness findings stemming from Defendant’s withholding of incentive compensation for a deal made with GAIC were not in error; but (3) the district court erred in concluding that, if Plaintiff had an enforceable incentive plan when the deal was struck with APCO, Defendant lacked discretion as a matter of law to change Plaintiff’s incentive formula for that deal. Remanded. View "Walsh v. Zurich American Insurance Co." on Justia Law

This appeal concerned a dispute between employees represented by a Union and their successor employer. The parties agreed to arbitrate this dispute regarding change in the terms of pension provision in a collective bargaining agreement. The district court refused to compel arbitration on the grounds that ERISA preempted the Union’s claims, and this, in turn, presented an issue of arbitrability properly decided by a judge, not an arbitrator. The First Circuit vacated the order of the district court and remanded with instructions to grant the Union’s motion to compel arbitration, holding that the issue of ERISA preemption in this case was not an issue of arbitrability but, rather, one that was squarely for the arbitrator to decide. View "Prime Healthcare Services - Landmark LLC v. United Nurses & Allied Professionals, Local 5067" on Justia Law