Justia Labor & Employment Law Opinion Summaries

While at his job as a correctional officer at the Lancaster State Prison in August 2002, respondent Michael Ayala was severely injured in a preplanned attack by inmates. He filed a workers’ compensation claim and alleged that the injury was caused by the serious and willful misconduct of his employer, petitioner California Department of Corrections and Rehabilitation (CDCR). Such an allegation was significant because Labor Code section 4553 provided that “[t]he amount of compensation otherwise recoverable shall be increased one-half . . . where the employee is injured by reason of serious and willful misconduct” by the employer. Ayala and CDCR agreed that the injury caused Ayala 85 percent permanent disability, but they could not agree whether CDCR engaged in serious and willful misconduct. Over a dissent, a Board majority found that CDCR “failed to act on a credible threat of inmate violence that was specifically reported to be planned for the day of the attack and took the facility off lockdown despite this threat even though it possessed additional information . . . that this had long been planned.” Ayala contended that, for the period before his permanent disability, his base compensation was his full salary. He was paid his full salary because he was on industrial disability leave and enhanced industrial disability leave, which were alternatives to temporary disability. CDCR contended the base compensation was only what Ayala would have been entitled to on temporary disability. Assuming that Ayala would have been entitled to temporary total disability, the base compensation would have been two-thirds of his salary, subject to statutory limits. The workers’ compensation judge agreed with CDCR and found that the base compensation was what Ayala would have been paid in temporary disability. But on reconsideration, the Board again rescinded and reversed the workers’ compensation judge’s decision, this time finding that the base compensation was what Ayala was paid on industrial disability leave and enhanced industrial disability leave. The Court of Appeal held that industrial disability leave and enhanced industrial disability leave were not “compensation” as that term was used in section 4553 and annuled the Board’s contrary decision. View "Cal. Dept. Corrections & Rehabilitation v. Workers' Comp. App. Bd." on Justia Law

The Supreme Court answered three questions certified by the United States District Court for the District of Maryland in this suit brought against Catholic Relief Services-United States Conference of Catholic Bishops (CRS), which follows the teaching that marriage is between one man and one woman.The district court ruled (1) CRS violated Title VII of the Civil Rights Act of 1964 by revoking Plaintiff's dependent health insurance because he was a man married to another man; and (2) Plaintiff was entitled to summary judgment on his federal Equal Pay Act claim. The court then ordered the parties to confer and file proposed questions of law with respect to the Maryland Fair Employment Practices Act (MFEPA), Md. Code Ann., State Gov't 20-606, and the Maryland Equal Pay for Equal Work Act (MEPEWA), Md. Code Ann., Lab. & Empl. 3-304. The Supreme Court answered (1) the prohibition against discrimination on the basis of sex in MFEPA does not itself also prohibit sexual orientation discrimination, which is separately covered under MFEPA; (2) MEPEWA does not prohibit sexual orientation discrimination; and (3) MFEPA's religious entity exemption applies with respect to claims by employees who perform duties that directly future the core mission of the religious entity. View "Doe v. Catholic Relief Services" on Justia Law

The Supreme Court held that the Maryland Tort Claims Act's (MTCA), Md. Code Ann. State Gov't (SG) 12-104(a)(1), waiver of sovereign immunity as to a "tort action" does not extend to federal statutory claims.Plaintiff brought this action against Defendants, her former employer and supervisor, regarding her termination from Morgan State University (MSU). Because Plaintiff included claims of retaliation in violation of the National Defense Authorization Act (NDAA), 41 U.S.C. 4712, and the American Recovery and Reinvestment (ARRA), Pub. L. No. 11-5, 1553 Defendants removed the suit to federal district court. The district court dismissed the action with prejudice. The United States Court of Appeals for the Fourth Circuit vacated the district court's order and remanded the matter with directions to address whether Maryland has waived state sovereign immunity against federal whistleblower claims by enacting the MTCA. The district court answered the question in the negative. The Supreme Court answered an ensuing certified question by holding that "a tort action" under the MTCA does not include federal statutory claims. View "Williams v. Morgan State University" on Justia Law

Two companies filed a lawsuit in federal court against two of their former employees, who had served in executive positions. The former executives responded by suing the companies in Florida state court. They later moved for summary judgment in the federal action. While that motion was pending, the companies moved for a voluntary dismissal without prejudice of their federal action, which the executives opposed. The district court granted the companies’ motion for voluntary dismissal, and it denied the executives’ request for attorney’s fees and costs incurred in defending the federal lawsuit to that point. On remand, the district court again granted the voluntary dismissal. The executives moved to alter or amend that judgment and be awarded fees and costs immediately, which the court denied. The executives appealed.   The Eleventh Circuit affirmed. The court explained that the district court sufficiently protected the executives from the prejudice of duplicative litigation by essentially inviting them to move for payment of their costs and fees if the companies ever refiled their federal lawsuit. The court adequately explained its reasoning for granting the dismissal without prejudice on that condition. In all aspects of the decision, the court acted within its discretion. View "Emergency Recovery, Inc., et al v. Bryan Hufnagle, et al" on Justia Law

Plaintiff worked for the City of Clarendon, Arkansas, as a full-time police officer. After he was terminated, he sued the City, then-Chief of Police Laura Rash, and then-Clarendon Mayor James L. Stinson, alleging a violation of the Arkansas Whistle-Blower Act and retaliation for the exercise of his free speech rights. The district court granted summary judgment to the defendants on the free speech claim, and the case proceeded to trial on the whistleblower claim. The jury returned a verdict for Defendants. Plaintiff appealed, arguing the district court erred in its pre-trial discovery rulings, its grant of summary judgment to the defendants, and its denial of his motion for a new trial.   The Eighth Circuit affirmed. The court explained that at summary judgment, there was no evidence that Plaintiff sought to convey that message when he gave the video to Deputy Thorne. Instead, the record showed that Plaintiff asserted the opposite, telling Whitcomb and Times that he was trying to “protect” them and expressly denying any intent to give the video to Thorne for investigatory purposes. The district court did not err in granting summary judgment on Plaintiff’s free speech claim. View "John Marlow v. City of Clarendon" on Justia Law

The Church of St. Theresa (St. Theresa’s) owned and operated the St. Theresa School. St. Theresa’s terminated art teacher and toddler room caregiver Victoria Crisitello for violating the terms of her employment agreement. That agreement required employees to abide by the teachings of the Catholic Church and forbade employees from engaging in premarital sex; Crisitello, who was unmarried, had become pregnant. In response to her firing, Crisitello filed a complaint against St. Theresa’s alleging employment discrimination in violation of the Law Against Discrimination (LAD), based on pregnancy and marital status. St. Theresa’s countered that its decision to terminate Crisitello was protected by both the First Amendment and the LAD. The New Jersey Supreme Court held: (1) the “religious tenets” exception of N.J.S.A. 10:5-12(a) was an affirmative defense available to a religious entity when confronted with a claim of employment discrimination; and (2) the uncontroverted fact was that St. Theresa’s followed the religious tenets of the Catholic Church in terminating Crisitello. The Court thus concluded St. Theresa’s was entitled to summary judgment and that the trial court correctly dismissed the complaint with prejudice. View "Crisitello v. St. Theresa School" on Justia Law

Petitioner is a former employee of International Business Machines Corporation (“IBM”) who signed a separation agreement requiring confidential arbitration of any claims arising from her termination. Petitioner arbitrated an age-discrimination claim against IBM and won. She then filed a petition in federal court under the Federal Arbitration Act (“FAA”) to confirm the award, attaching it to the petition under seal but simultaneously moving to unseal it. Shortly after she filed the petition, IBM paid the award in full. The district court granted Petitioner’s petition to confirm the award and her motion to unseal. On appeal, IBM argued that (1) the petition to confirm became moot once IBM paid the award, and (2) the district court erred in unsealing the confidential award.   The Second Circuit vacated the district court’s confirmation of the award and remanded with instructions to dismiss the petition as moot. The court reversed the district court’s grant of the motion to unseal. The court explained that Petitioner’s petition to confirm her purely monetary award became moot when IBM paid the award in full because there remained no “concrete” interest in enforcement of the award to maintain a case or controversy under Article III. Second, any presumption of public access to judicial documents is outweighed by the importance of confidentiality under the FAA and the impropriety of Petitioner’s effort to evade the confidentiality provision in her arbitration agreement. View "Stafford v. Int'l Bus. Machs. Corp." on Justia Law

Heriberto Chavez, Evangelina Escarcega (representing her son, Jose Escarcega), and Jorge Moreno (collectively “Plaintiffs”) sought to represent a class in a lawsuit against Plan Benefit Services, Fringe Insurance Benefits, and Fringe Benefit Group (collectively “FBG”) for the alleged mismanagement t of funds that Plaintiffs contributed to benefit plans through their employers.   The Fifth Circuit affirmed the district court’s determination that the litigation may proceed as a class-action lawsuit. The court held that Plaintiffs have standing and certification is appropriate under Rule 23(b)(1)(B) or (b)(3). The court explained that here, Plaintiffs have established their standing to sue FBG. First, they have demonstrated injury in fact by alleging that FBG abused its authority under the Master Trust Agreement by hiring itself to perform services paid with funds from the CERT and CPT trusts, effectively devaluing the trusts and retirement benefits that Plaintiffs otherwise would have accrued with their employer. Second, they have established that their injury is traceable to FBG’s conduct by providing evidence of FBG’s direct control over the CERT and CPT trusts and the underlying contractual agreement with their employer. Finally, their injury is redressable in this court by awarding monetary damages or other relief. View "Chavez v. Plan Benefit Services" on Justia Law

Plaintiff, a former employee, sued on behalf of herself and similarly situated employees, claiming that St. Luke’s violated the Fair Labor Standards Act’s (“FLSA”) overtime provisions by failing to fully compensate employees for work performed. She also brought an unjust-enrichment claim under state law. The district court certified two classes with different lookback periods: (1) an FLSA collective comprised of employees who worked for St. Luke’s between September 2016 and September 2018, 1 and (2) an unjust-enrichment class comprised of all employees who worked for St. Luke’s in Missouri between April 2012 and September 2018. Houston also asserted individual claims, one under the Missouri Minimum Wage Law, and one for breach of her employment contract. The district court granted summary judgment to St. Luke’s on all claims.   The Eighth Circuit vacated and remanded. The court explained that Plaintiff has raised a genuine dispute that the rounding policy does not average out over time. The court explained that no matter how one slices the data, most employees and the employees as a whole fared worse under the rounding policy than had they been paid according to their exact time worked. Here, the rounding policy did both. It resulted in lost time for nearly two-thirds of employees, and those employees lost more time than was gained by their coworkers who benefited from rounding. The court concluded that the employees have raised a genuine dispute that the rounding policy, as applied, did not average out over time. The district court, therefore, erred in granting summary judgment on the FLSA and Missouri wage claims. View "Torri Houston v. St. Luke's Health System, Inc." on Justia Law

Plaintiff filed a Title VII action against her employer, the Federal Bureau of Investigation (“FBI” or the “Bureau”) for allegedly taking retaliatory actions against her after she reported discrimination to the Bureau’s Equal Employment Office (“EEO”). The district court granted summary judgment in favor of the FBI on several of Ramos’s allegations, finding that the FBI’s actions were not materially adverse in violation of Title VII’s antiretaliation provision. The district court also denied Plaintiff’s  motion for leave to amend her complaint to add new allegations of retaliation.   The DC Circuit reversed the district court’s grant of summary judgment with regard to the 2011 rescission of the offer to transfer to Unit 1B, but affirmed on all other grounds. The court explained that the Bureau provided a legitimate, nonretaliatory reason for the Unit Chief’s decision to make Plaintiff Backup Program Manager: concern for her well-being when she returned to work following medical leave and was still recovering from injuries. The Chief noted that the motive in looking to bring someone in was to give Plaintiff “a break” while she was on medical leave so that he would not “keep harassing her while she was on leave with work.” Then, when the Chief announced the reassignment after Plaintiff had returned from medical leave, he explained that he did not want to burden Plaintiff with a heavy workload as she was recovering from her injuries. As such, the court concluded that Plaintiff did not provide sufficient evidence for a reasonable jury to conclude that her reassignments were retaliatory. View "Laura Ramos v. Merrick Garland (PUBLIC OPINION)" on Justia Law