Justia Labor & Employment Law Opinion Summaries

In a case before the United States Court of Appeals for the Third Circuit, a group of former union members alleged that their First Amendment rights were violated when their respective unions continued to deduct membership dues from their paychecks after they had resigned from the unions. The appellants had previously signed union membership applications authorizing the deduction of dues from their paychecks, with the authorizations being irrevocable for a year, regardless of membership status, unless the member provided written notice of revocation within a specified annual window. The appellants resigned from their respective unions after their annual revocation windows had passed, and the unions continued to deduct dues until the next annual revocation window. The appellants argued that the Supreme Court's decision in Janus v. American Federation of State, County, and Municipal Employees, Council 31, which held that public-sector unions charging fees to nonmembers is a form of coerced speech that violates the First Amendment, should extend to their situation. The Third Circuit disagreed, holding that Janus was focused on preventing forced speech by nonmembers who never consented to join a union, not members who voluntarily join a union and later resign. The court further rejected the appellants' due process claims, finding that they had not been deprived of any constitutional rights. The court also dismissed the appellants' contract defenses, finding that they had not alleged that the terms of their original membership agreements entitled them to membership in perpetuity. The court affirmed the District Court's orders dismissing the appellants' claims. View "Fultz v. AFSCME" on Justia Law

Two online fundraising companies, Snap! Mobile, Inc. ("Snap") and Vertical Raise, LLC ("Vertical Raise"), were involved in a dispute. Snap accused Vertical Raise and its CEO, Paul Landers, of poaching its sales representatives and customers, which violated non-compete and confidentiality provisions in the former sales representatives’ employment agreements with Snap. The trial court granted Snap a preliminary injunction to prevent further violations and partially ruled in Snap's favor on some claims. A jury trial on damages resulted in an award of $1,000,000 to Snap. However, the trial court increased the award to $2,310,021. Both parties appealed. The Supreme Court of Idaho affirmed the trial court's award of discretionary costs for expert witness fees but reversed the trial court’s order granting an additur or new trial. The Supreme Court ordered the trial court to enter a judgment consistent with the original jury award. The Supreme Court also reversed the trial court’s decision granting Snap a permanent injunction. In a separate contempt proceeding, the Supreme Court affirmed the contempt court's decision to dismiss contempt charges against Vertical Raise and Paul Croghan, a former Snap employee. The contempt court had determined the preliminary injunction was vague, overbroad, and unenforceable. View "Snap! Mobile v. Vertical Raise" on Justia Law

The case concerns Sandra Selden, an employee at the Des Moines Area Community College (DMACC), who alleged that she was a victim of illegal wage discrimination based on sex and wrongful retaliation. Selden discovered that a male colleague was receiving a higher salary for the same job. When her employer did not act on her complaint, attributing the pay gap to the male employee's greater seniority and initial higher salary because of his relevant experience, Selden filed a civil rights complaint. She also applied for a supervisory position, but her application was screened out due to her lack of required educational qualifications. The case went to trial and the jury awarded damages to Selden on both claims. DMACC appealed the decision.The Supreme Court of Iowa reversed the lower court's decision, holding that the record did not contain substantial evidence of an illegal pay practice. The court found that the pay gap was due to gender-neutral factors, specifically a neutral seniority system, and the decision to hire the male employee at a higher rate due to market conditions and his significant experience. The court also found that the retaliation claim was not supported by substantial evidence, as the employer consistently screened out all applicants who lacked the required qualifications. The court concluded that the lower court should have directed a verdict in favor of the defendants and remanded the case for that purpose. View "Selden v. Des Moines Area Community College" on Justia Law

In the case between Jennifer Harris and FedEx Corporate Services, Inc., Harris alleged race discrimination and retaliation under 42 U.S.C. § 1981 and Title VII of the Civil Rights Act of 1964. The United States Court of Appeals for the Fifth Circuit found that Harris's § 1981 claims were time-barred under her employment contract, making them fail as a matter of law. However, the court found sufficient evidence to support the jury’s verdict for Harris on her Title VII retaliation claim. In view of Title VII’s $300,000 cap on damages and the evidence presented at trial, the court remitted Harris’s compensatory damages to $248,619.57 and concluded she was not entitled to punitive damages. FedEx was not entitled to a new trial because of the court’s evidentiary ruling. View "Harris v. FedEx Corporate Services" on Justia Law

Clare Mundell worked as a licensed clinical psychologist for Acadia Hospital in Maine. She discovered that her male colleagues were paid significantly more than her for comparable work. Mundell brought a sex discrimination action against Acadia under federal and state law, specifically the Maine Equal Pay Law ("MEPL"). The district court found Acadia liable under the MEPL and awarded Mundell treble damages. On appeal, Acadia argued that the district court erred in holding that Mundell could prevail without establishing Acadia's discriminatory intent and because Acadia claimed a reasonable-factor-other-than-sex defense to explain the pay difference. The United States Court of Appeals for the First Circuit affirmed the district court's decision. The court held that the MEPL does not impose an intent requirement on a plaintiff, nor does it permit a defendant to rely on a catch-all affirmative defense such as market factors to explain pay disparity. The court also concluded that treble damages are available for MEPL violations. View "Mundell v. Acadia Hospital Corp." on Justia Law

In this case, the appellant, Bjay Nagel, who was employed as a caretaker by Sand Creek Country Club, broke his ankle while working. He had been drinking alcohol prior to the accident. The Wyoming Department of Workforce Services, Workers' Compensation Division initially awarded benefits but later denied further benefits after discovering that Nagel was intoxicated at the time of his injury. The Wyoming Office of Administrative Hearings (OAH) upheld the Division's denial of benefits, finding that Nagel's intoxication was a substantial factor causing his injury. Nagel appealed the decision, claiming that the OAH's decision was contrary to substantial evidence, arbitrary, capricious, or otherwise not in accordance with the law.The Supreme Court of Wyoming affirmed the decision of the lower court. The Court found that there was substantial evidence supporting the OAH's decision that Nagel's intoxication was a substantial factor causing his injury. The Court also found that the decision was not arbitrary or capricious because there was a rational basis for it, and the decision was in accordance with the law. Nagel's intoxication at the time of his injury was established by a blood alcohol content test which showed a level of .183%. Furthermore, an expert opinion was provided which stated that it was more likely than not that Nagel's intoxication was a substantial factor causing his injury. View "Nagel v. State of Wyoming, Ex Rel. Department of Workforce Services" on Justia Law

The Supreme Court of Missouri reversed a lower court's dismissal of a lawsuit brought by workers against Harley-Davidson Motor Company Operations, Inc., and Syncreon.US. The workers, who are Black or People of Color, alleged that the companies created a hostile work environment and aided and abetted racial discrimination in violation of the Missouri Human Rights Act. The workers detailed numerous racially charged incidents at a manufacturing and assembly facility operated by Harley-Davidson and staffed by workers provided by Syncreon.US. The incidents included frequent racial insults, physical division of workers based on race, and multiple instances of hate symbols and threats found in the facility. The court found that the workers' allegations, if true, could establish the elements of a hostile work environment claim and aiding and abetting claims. The case was remanded back to the lower court for further proceedings. View "Matthews vs. Harley Davidson" on Justia Law

In this case, the petitioner, Gary Stricklen, filed a claim for permanent total disability with the Workers' Compensation Commission, which was dismissed by an administrative law judge. The Multiple Injury Trust Fund (MITF) argued it was not liable because all of Stricklen's injuries occurred while he was employed by the same employer. The Supreme Court of the State of Oklahoma held that the phrase "subsequent employer" in 85A O.S.Supp.2019 § 32 refers to the employer at the time of the employee's "subsequent injury" referenced in the same statute, which is used for the purpose of that statute for a claim against the MITF. The court reversed the Commission's order that was based on the erroneous view of the statutory language and remanded the case for further proceedings. The petitioner's constitutional issue was not addressed because the court's interpretation of the statutory language did not require it. View "STRICKLEN v. MULTIPLE INJURY TRUST FUND" on Justia Law

Chinyere Ogbonna-McGruder, an African American professor, alleged that her employer, Austin Peay State University (APSU), and her supervisors engaged in racial discrimination and created a hostile work environment, and retaliated against her when she opposed their unlawful conduct. She also claimed that her supervisors violated her constitutional rights under 42 U.S.C. § 1983. The United States Court of Appeals for the Sixth Circuit affirmed the district court's decision to dismiss all counts for failure to state a claim. The court ruled that Ogbonna-McGruder failed to sufficiently allege that the harassment she experienced was severe or pervasive, a necessary element of a hostile work environment claim. The court also found that she did not sufficiently allege that any adverse employment actions were motivated by discriminatory animus, and that she did not adequately assert that the conduct forming the basis of her §1983 claim violated a specific constitutional provision. View "Ogbonna-McGruder v. Austin Peay State Univ." on Justia Law

In a case heard before the Court of Appeal of the State of California Second Appellate District Division Five, Omar Kader, the plaintiff, sued his employer, Southern California Medical Center, Inc., and other defendants due to allegations of sexual harassment and assault. Kader had signed an arbitration agreement with his employer, but this was without disclosure of the ongoing sexual harassment and assault. After the enactment of the Ending Forced Arbitration of Sexual Assault and Sexual Harassment Act (the Act), which invalidates predispute arbitration agreements under certain circumstances, Kader brought his suit.The defendants filed a motion to compel arbitration, arguing that the Act does not invalidate the arbitration agreement in this case since the alleged sexual conduct constituted a “dispute” which preexisted the arbitration agreement and the effective date of the Act.The court concluded that a dispute for the purposes of the Act does not arise merely from the fact of injury. Instead, for a dispute to arise, a party must first assert a right, claim, or demand. In this case, there was no evidence of a disagreement or controversy until after the date of the arbitration agreement and the effective date of the Act, when Kader filed charges with the Department of Fair Employment and Housing in May 2022. Therefore, the court held that the predispute arbitration agreement is invalid, and the order denying the motion to compel arbitration was affirmed. View "Kader v. Southern California Medical Center, Inc." on Justia Law