Justia Labor & Employment Law Opinion Summaries

Taiwo Ayorinde sued his former employer, Team Industrial Services Incorporated, alleging various employment discrimination claims. Ayorinde was initially employed by Team from 2016 to 2018 and rehired in 2022. During his second tenure, his supervisor expressed concerns about his work quality and demoted him, resulting in a pay cut. While on bereavement leave, Ayorinde discovered the pay cut, which was later reversed by Team. Ayorinde resigned, citing a hostile work environment and discrimination, and subsequently filed a discrimination charge with the EEOC.The United States District Court for the Western District of Texas granted summary judgment in favor of Team on all claims and denied Ayorinde’s motion for partial summary judgment. The court found that Ayorinde failed to establish a prima facie case for his claims, including race discrimination, retaliation, constructive discharge, and hostile work environment. Ayorinde appealed the decision.The United States Court of Appeals for the Fifth Circuit reviewed the case de novo and affirmed the district court’s decision. The appellate court agreed that Ayorinde did not provide sufficient evidence to support his claims. Specifically, Ayorinde failed to show that he was treated less favorably than similarly situated employees outside his protected group, which is necessary to establish a prima facie case of race discrimination. Additionally, the court found no evidence of retaliatory adverse employment action based on protected activity, and Ayorinde did not exhaust his administrative remedies regarding his constructive discharge and hostile work environment claims. The court also noted that Ayorinde abandoned his claims under the Lilly Ledbetter Fair Pay Act and the Age Discrimination in Employment Act by not adequately briefing them on appeal. View "Ayorinde v. Team Industrial" on Justia Law

A union representing over 9,000 pilots employed by an airline alleged that the airline violated the Railway Labor Act (RLA) by intimidating and disciplining pilots who affiliated with the union. The union claimed that the airline had a history of isolating a special category of pilots known as "check pilots" and "standards check pilots," who are responsible for training and evaluating other pilots. The union alleged that the airline unilaterally established working conditions for check pilots without bargaining and that check pilots were threatened with losing their qualifications if they affiliated with the union. The union also claimed that the airline retaliated against a pilot, Captain Timothy Roebling, by stripping him of his check-pilot qualifications after he joined a union committee.The United States District Court for the Northern District of Texas dismissed the union's complaint, concluding that the dispute was subject to arbitration under the RLA and that no exception applied to vest the court with jurisdiction. The district court found that the airline had an arguable basis for its actions under the collective bargaining agreement, making the dispute a "minor" one subject to arbitration.The United States Court of Appeals for the Fifth Circuit reviewed the case and concluded that the union had sufficiently pleaded the anti-union animus exception to the RLA's arbitration requirement. The court found that the union's allegations, including threats and retaliatory actions against check pilots, supported the claim that the airline's actions were intended to weaken or destroy the union. The court reversed the district court's dismissal and remanded the case for further proceedings, holding that the union's complaint sufficiently alleged anti-union animus to warrant judicial intervention. View "Southwest Airlines Pilots Assn v. Southwest Airlines" on Justia Law

Armando P. Ibanez, a Mexican-American male, was employed by Texas A&M University–Kingsville (TAMUK) as an Assistant Professor of Communications/Radio-Television-Film. After five years, he applied for tenure and promotion to associate professor. TAMUK's requirements included the completion of at least two juried creative activities. Ibanez produced several creative works, but only one, a film titled "Men of Steel," was labeled as juried. His application for tenure and promotion was initially recommended by his departmental committee but was subsequently denied by the department chair, college committee, college dean, and provost, who cited his failure to meet the minimum requirements for juried creative activities.Ibanez appealed the decision, and an advisory committee found a prima facie case for reconsideration. The tenure appeals committee supported him, but the promotion appeals committee did not. Ultimately, the university president denied his tenure and promotion based on the negative recommendations and perceived lack of scholarship. Ibanez then sued TAMUK, alleging racial and national origin discrimination under Title VII of the Civil Rights Act of 1964. The United States District Court for the Southern District of Texas granted summary judgment in favor of TAMUK, dismissing Ibanez’s claims.The United States Court of Appeals for the Fifth Circuit reviewed the case de novo. The court found that Ibanez failed to establish a prima facie case of discrimination because he did not meet TAMUK’s baseline tenure requirements of two juried creative activities. Additionally, the court found no genuine dispute of material fact suggesting that Ibanez was denied tenure under circumstances permitting an inference of discrimination. The court affirmed the district court’s grant of summary judgment in favor of TAMUK. View "Ibanez v. Texas A&M" on Justia Law

Kelly Dwyer sought to recover mental health benefits for his minor daughter, E.D., under his employee group benefit health plan issued by United Healthcare Insurance Company. E.D. suffered from severe anorexia nervosa, leading her parents to admit her to a residential treatment facility, Avalon Hills. Initially, United approved full hospitalization benefits, but later reduced the coverage to partial hospitalization and eventually denied further hospitalization benefits, suggesting outpatient treatment instead. Despite E.D.'s doctors' objections and evidence of her ongoing severe symptoms, United maintained its decision.The United States District Court for the Western District of Texas conducted a bench trial and ruled in favor of United, finding that the insurer had not improperly withheld benefits. The court's decision was based on the administrative record and the arguments presented during the trial.The United States Court of Appeals for the Fifth Circuit reviewed the case and reversed the district court's judgment. The appellate court found that United's denial of benefits was both substantively and procedurally deficient. Substantively, the court held that United's decision was not supported by concrete evidence and contradicted the medical records. Procedurally, United failed to provide a meaningful dialogue or adequate explanation for its denial, violating ERISA requirements. Additionally, the court found that United improperly failed to process claims at the MultiPlan rate, as it did not respond to Mr. Dwyer's administrative appeal regarding this issue.The Fifth Circuit reversed the district court's judgment and remanded the case for the calculation of damages, statutory penalties, attorneys' fees, and other relief for Mr. Dwyer. View "Dwyer v. United Healthcare" on Justia Law

Three black officers, Cedric Green, Darrell Clark, and Reginald Cooper, alleged a history of racial discrimination within the Alexandria Police Department (APD). They claimed that over their decades-long careers, they faced systemic racism, including derogatory comments and unfair treatment. Clark and Cooper were eventually terminated, and Green was demoted. They argued that these actions were retaliatory, following their complaints to HR and the FBI about racial harassment and misconduct within the department.The United States District Court for the Western District of Louisiana granted summary judgment in favor of the City of Alexandria and other defendants. The court found that the plaintiffs failed to present competent evidence to support their claims. Specifically, the court noted that the plaintiffs' reliance on their complaint and unsubstantiated assertions did not meet the evidentiary standards required to survive summary judgment. The court also found that the city provided legitimate, non-retaliatory reasons for the adverse employment actions taken against the plaintiffs.The United States Court of Appeals for the Fifth Circuit reviewed the case de novo and affirmed the district court's decision. The appellate court agreed that the plaintiffs did not provide sufficient evidence to establish a hostile work environment, as the incidents cited were either not racially motivated or not severe and pervasive enough. The court also found no causal connection between the plaintiffs' protected activities (complaints to HR and the FBI) and the adverse employment actions. Additionally, the court held that the city had legitimate reasons for the terminations and demotion, which the plaintiffs failed to show were pretextual. The court also dismissed the plaintiffs' claims under Louisiana's whistleblower statute and their Monell claims against the city, citing a lack of evidence of a discriminatory policy or custom. View "Clark v. City of Alexandria" on Justia Law

In July 1, 2021, the United Electrical, Radio, and Machine Workers of America sought to represent employees of Hudson Institute of Process Research Incorporated, a legal outsourcing and staffing company. The National Labor Relations Board (NLRB) was tasked with determining the appropriate bargaining unit, excluding supervisors. Hudson and the union disagreed on whether certain personnel, including team leads and revision specialists, were supervisors. Hudson also objected to an employer-wide bargaining unit. The NLRB held a hearing in September 2021, where Hudson argued that these personnel had supervisory authority.The NLRB regional director found that Hudson failed to prove that the disputed personnel were supervisors and approved an employer-wide bargaining unit. Hudson appealed to the NLRB, which denied the request for review. An election was conducted, and the union was certified. Hudson refused to bargain, leading the NLRB to find it had committed an unfair labor practice. Hudson then petitioned for review.The United States Court of Appeals for the Fifth Circuit reviewed the case. The court found that the NLRB lacked substantial evidence to support its findings that certain personnel were not supervisors. Specifically, the court determined that I-140 team leads, team lead assistants, floating team lead assistants, RFE team leads, and I-485 team leads possessed supervisory authority, including assigning work and recommending rewards, using independent judgment. The court also upheld the NLRB’s certification of an employer-wide bargaining unit but found that the unit improperly included supervisors.The Fifth Circuit granted Hudson’s petition for review, reversed the NLRB’s bargaining order, and denied enforcement, concluding that Hudson did not violate the National Labor Relations Act by refusing to bargain with the union. View "Hudson Institute of Process Research Incorporated v. NLRB" on Justia Law

Robert Mayfield, a small-business owner operating thirteen fast-food restaurants in Austin, Texas, challenged the Department of Labor's (DOL) 2019 Minimum Salary Rule. This rule raised the minimum salary required to qualify for the White Collar Exemption under the Fair Labor Standards Act (FLSA) from $455 per week to $684 per week. Mayfield argued that the DOL exceeded its statutory authority by imposing any salary requirement and that such a requirement violated the nondelegation doctrine.The United States District Court for the Western District of Texas granted summary judgment in favor of the DOL, finding that the 2019 Minimum Salary Rule was within the DOL's authority to define and delimit the terms of the White Collar Exemption. The court also held that this delegation of authority did not violate the nondelegation doctrine.The United States Court of Appeals for the Fifth Circuit reviewed the case and affirmed the district court's decision. The Fifth Circuit held that the DOL's authority to define and delimit the terms of the White Collar Exemption included the power to set a minimum salary level. The court found that this power was explicitly delegated by Congress and was not an unconstitutional delegation of legislative power. The court also determined that the major questions doctrine did not apply, as the economic and political significance of the rule did not meet the threshold for invoking the doctrine. Additionally, the court concluded that the FLSA's purpose and the text of the exemption itself provided sufficient guidance to satisfy the nondelegation doctrine's requirements. View "Mayfield v. Department of Labor" on Justia Law

Caitlin Julia Weathers, a white woman, was hired by Houston Methodist Hospital as a Patient Transporter in May 2019 and later became a Patient Care Assistant in June 2021. She reported racial harassment and discrimination by her co-workers to her supervisor, Sunila Ali, and Human Resources (HR). HR investigated but found no evidence supporting her claims and instead received negative feedback about her performance. Weathers was placed on a performance improvement plan (PIP) and was eventually terminated on October 4, 2021, for allegedly failing to meet the PIP's expectations. Weathers claimed her termination was retaliatory.Weathers filed an online inquiry with the EEOC on February 11, 2022, but faced difficulties scheduling an interview due to the EEOC's unavailability. After several delays and cancellations, she finally had an interview on August 1, 2022, and filed her charge of discrimination on August 3, 2022, 303 days after her termination. The EEOC issued a Right to Sue letter on August 11, 2022. Weathers then sued Methodist and Ali for discrimination and retaliation under Title VII. The district court dismissed her claims against Ali, citing that employees are not personally liable under Title VII, and dismissed her claims against Methodist as time-barred for not filing within the 300-day deadline.The United States Court of Appeals for the Fifth Circuit reviewed the case. The court affirmed the dismissal of claims against Ali but found that the district court erred in not applying equitable tolling to Weathers's claims against Methodist. The court noted that the delays were partly due to the EEOC's actions and that Weathers had diligently pursued her claim. The court vacated the district court's judgment for Methodist and remanded the case for further proceedings, allowing Weathers's claims to proceed. View "Weathers v. Houston Methodist Hospital" on Justia Law

Employees of Smith International, Inc. filed a claim for unpaid overtime wages under the Fair Labor Standards Act (FLSA). The employees, known as reamers, supervised the use of Smith’s underreaming tool on offshore drilling rigs. They were paid an annual salary plus daily-rate job bonuses, with their total annual compensation exceeding $100,000. The employees argued that they were misclassified as exempt from overtime requirements and sought to recover unpaid overtime wages, liquidated damages, and attorney fees.The United States District Court for the Western District of Louisiana conditionally certified the action as a collective action. Later, the claims of some plaintiffs were severed into separate individual actions, while others continued as a collective action. The district court consolidated the five proceedings for all purposes except for trial. After discovery, both parties filed cross motions for summary judgment. The district court granted Smith’s motion for summary judgment, finding that the employees were exempt from the FLSA’s overtime pay guarantee as bona fide executives. The employees appealed the decision.The United States Court of Appeals for the Fifth Circuit reviewed the case de novo. The court held that each employee met the criteria for the bona fide executive exemption under the FLSA. Specifically, the employees satisfied the salary basis test, the salary level test, and the job duties test. The court found that the employees were paid a guaranteed annual salary, which was not subject to reduction based on the quality or quantity of work performed, and that the additional daily-rate compensation did not defeat their qualification for the exemption. The court affirmed the district court’s grant of summary judgment in favor of Smith International, Inc. View "Venable v. Smith International" on Justia Law

The plaintiff, Guillermo Gray, sued Killick Group, L.L.C. for wages and overtime pay under the Fair Labor Standards Act (FLSA). Gray, an experienced welding and coding inspector, performed inspection services for Killick on a project-by-project basis through his own company, Veritas Inspectors, Inc. He used his own equipment and submitted invoices under his business name. In a previous criminal court proceeding, Gray had sworn that he was self-employed to obtain an essential-need license after a DWI conviction.The United States District Court for the Southern District of Texas granted summary judgment to Killick, holding that Gray was judicially estopped from claiming employee status under the FLSA due to his prior sworn statement of being self-employed. The court also dismissed Gray’s breach of contract and quantum meruit claims. Gray appealed, seeking reversal only on the FLSA claim.The United States Court of Appeals for the Fifth Circuit affirmed the district court’s decision. The appellate court reviewed the use of judicial estoppel for abuse of discretion and found that Gray’s previous self-employed statement was inconsistent with his current claim of being an employee. However, the court chose to resolve the appeal by determining whether Gray was an employee under the FLSA. Applying the economic-realities test, the court concluded that Gray was an independent contractor. The court considered factors such as Gray’s control over his work, his investment in his business, his ability to profit, the skill required for his job, and the project-based nature of his work. All factors supported the conclusion that Gray was not economically dependent on Killick and was thus an independent contractor, not an employee under the FLSA. The court affirmed the summary judgment in favor of Killick. View "Gray v. Killick Group" on Justia Law