Justia Labor & Employment Law Opinion Summaries

Datalink and its president appealed the district court's grant of summary judgment in favor of the Government on its claim to collect back wages on behalf of a native of Iceland and former Datalink employee. The back wages were owing to the employee under federal law governing the H-1B visa program. On appeal, defendants contend that the Government may not use the procedures of the Fair Debt Collection Procedures Act (FDCPA) to collect the unpaid wages.The Second Circuit reversed the district court's judgment, holding that the Government may not rely on the FDCPA to collect back wages on the employee's behalf. The court agreed with defendants that an administrative award of back wages is not an amount "owing to the United States" under the FDCPA, and overruled NLRB v. E.D.P. Medical Computer Systems, Inc., 6 F.3d 951 (2d Cir. 1993), as wrongly decided and inconsistent with the ordinary meaning of the FDCPA. View "United States v. Bedi" on Justia Law

The Supreme Court affirmed in part and remanded in part the judgment of the trial court upholding the decision of the Retirement Systems's Administrative Review Board affirming the decision of the Kentucky Retirement Systems applying the Ky. Rev. Stat. 61.598, the pension-spiking statute, to assess actuarial costs to the Jefferson County Sheriff's Office (JCSO), holding that the Retirement Systems erred in part.The Kentucky Retirement Systems assessed the costs because it found a JCSO employee took unpaid leave for two months, causing a temporary decrease in gross compensation in that year, but then returned to his earlier pay. The circuit court agreement with the Retirement Systems, finding that section 61.598 as applied was not arbitrary. The Supreme Court affirmed in part and reversed in part, holding (1) the Retirement Systems improperly applied section 61.598 to the pay spikes to the extent the changes in compensation were caused by an isolated transition in JCSO's new accounting method but properly assessed the increased actuarial costs to the extent it was caused by regular overtime work; and (2) different aspects of the circuit court's decision were erroneous. View "Kentucky Retirement Systems v. Jefferson County Sheriff's Office" on Justia Law

The Supreme Court affirmed the decision of the court of appeals affirming the decision of the Workers' Compensation Board reversing the decision of the administrative law judge (ALJ) granting permanent partial disability benefits (PPD) to Richard Russell but finding that certain medical expenses were submitted untimely and were therefore non-compensable, holding that there was no error.Russell sustained a work-related injury to his right arm and sought workers' compensation benefits. The ALJ found that Russell did not timely submit his medical bills, so they were not compensable, but otherwise granted PPD benefits. The Board reversed, concluding that the medical bills were not submitted untimely. The court of appeals affirmed. The Supreme Court affirmed, holding that Russell timely submitted his medical expenses. View "Wonderfoil, Inc. v. Russell" on Justia Law

The Supreme Court reversed the judgment of the court of appeals affirming the decision of the trial court issuing a writ of mandamus to compel the City of Cincinnati to promote Jay Johnstone to the rank of captain, with backpay, holding that the trial court erred.Johnstone requested to be allowed to participate in a process to be promoted to the position of captain in the City's police department. After an examination, Johnstone was not promoted. Johnstone filed a petition seeking a writ of mandamus, which the trial court issued. The court of appeals affirmed. At issue before the Supreme Court was whether a municipal civil service commission may require that a police officer other than a patrol officer serve more than twelve months in the officer's current rank as a condition for being promoted to a higher rank. The Supreme Court reversed, holding that Ohio Rev. Code 124.44 does not allow a municipal civil service commission to require that a police officer other than a patrol officer serve more than twelve months in the officer's current rank as a condition for promotion. View "State ex rel. Johnstone v. Cincinnati" on Justia Law

Plaintiff Irean Amaro filed this wage and hour class action and Private Attorneys General Act (PAGA) lawsuit against defendant Anaheim Arena Management (AAM) in 2017. At the time, there were already two existing class actions asserting the same claims: one in 2014, and the other in 2016. About a month after filing her lawsuit, Amaro and AAM reached a global settlement that covered the claims asserted in the two prior class actions. The plaintiffs from the prior actions, which included intervener Rhiannon Aller, were not involved in those settlement discussions. Aller intervened in this lawsuit and objected to the settlement. Initially, the trial court denied preliminary approval of the settlement on grounds Amaro had not given the court enough information to determine the adequacy of the settlement. Amaro then engaged in extensive informal discovery and entered into an amended settlement with AAM. The court approved the amended settlement over Aller’s objections and entered judgment per the settlement’s terms. Aller appealed, claiming the court’s approval of the settlement was erroneous for two reasons: (1) the class members’ release in the settlement was improper because it extended to claims outside the scope of Amaro’s complaint, waived class members’ (from all class actions) claims under the Fair Labor Standards Act (FLSA) without obtaining their written consent, and released PAGA claims beyond the limitations period of Amaro’s own PAGA claim; and (2) the court abused its discretion in finding the settlement was not the product of a collusive reverse auction. The Court of Appeal agreed the release was overbroad, but there was nothing inherently wrong with AAM's bypassing the other class action plaintiffs and undercutting their claims by negotiating a settlement with Amaro that extinguished the other suits. Though the Court rejected most of Aller’s arguments, it reversed the judgment and remanded with directions due to the overbreadth of the release. View "Amaro v. Anaheim Arena Management" on Justia Law

Hawkins, a Navy veteran, suffered a mental breakdown at work. She was escorted from her workplace in handcuffs and hospitalized for observation. She sought follow-up psychiatric care at a VA hospital. According to Hawkins, the VA doctors who treated her negligently failed to prescribe medication to address severe insomnia and anxiety, despite her complaints that the antidepressant she had been prescribed was not helping. Hawkins suffered another psychotic break during which she attacked and seriously wounded her mother. Hawkins spent a year in jail, lost her job as an RN, and has been unable to return to work.Hawkins sued under the Federal Tort Claims Act (FTCA), alleging medical malpractice. Hawkins claimed that her mental breakdown, which prompted her to seek medical care, was caused by years of workplace bullying and harassment by her supervisor. The Ninth Circuit reversed the dismissal of the suit. The Federal Employees’ Compensation Act, 5 U.S.C. 8101(1), bars a suit against the government for damages under any other law, including the FTCA. Before filing this action, Hawkins pursued a claim under FECA; the Office of Workers’ Compensation Programs determined that the alleged workplace bullying and harassment did not occur. If the OWCP had determined that the injury for which Hawkins sought medical care was sustained during the course of her employment, her FTCA action would have been barred. View "Hawkins v. United States" on Justia Law

Ballou filed suit, 42 U.S.C. 1983, asserting that Police Chief McElvain discriminated against her because of her gender by intentionally subjecting her to internal affairs investigations to preclude her eligibility for promotion and then declining to promote her to sergeant even though she was the most qualified candidate.The Ninth Circuit affirmed the denial of McElvain’s qualified immunity summary judgment motion. Ballou sufficiently alleged unconstitutional sex discrimination in violation of the Equal Protection Clause and established a prima facie claim for disparate treatment. McElvain’s articulated reasons for not promoting Ballou were pretextual. The court rejected, as “profoundly mistaken,” McElvain’s argument that to state an equal protection claim, proof of discriminatory animus alone was insufficient. The existence of a comparator is not a prerequisite to stating a disparate treatment claim under the Fourteenth Amendment. Based on Circuit precedent, any reasonable officer would recognize that discriminatorily conducting an investigation to stall a promotion is unconstitutional. The court held that it lacked jurisdiction to consider whether McElvain was entitled to qualified immunity on the Equal Protection claim that she suffered retaliation for opposing sex discrimination. The court affirmed the denial of qualified immunity on Ballou’s First Amendment retaliation claim. Ballou’s speech opposing sex discrimination in the workplace was inherently speech on a matter of public concern, protected by the First Amendment. View "Ballou v. McElvain" on Justia Law

Sofco terminated its collective bargaining agreement (CBA) with a local union. The Ohio Operating Engineers Pension Fund then assessed almost a million dollars in withdrawal liability against Sofco under the Employee Retirement Income Security Act (ERISA), 29 U.S.C. 1002(41. Sofco challenged the assessment in ERISA-mandated arbitration. The arbitrator upheld the assessment. The district court affirmed in part and reversed in part.The Sixth Circuit affirmed in part. The Fund’s actuary used a 7.25% growth rate on assets for minimum funding purposes but for withdrawal-liability purposes, used the “Segal Blend,” which violated ERISA’s mandate that the interest rate for withdrawal liability calculations be based on the “anticipated experience under the plan.” The court vacated the district court’s decision upholding the Fund’s assessment of partial-withdrawal liability for 2011-2013 and remanded. A construction-industry employer is liable for a partial withdrawal when its contributions decline to an “insubstantial portion of its work in the craft and area jurisdiction of the collective bargaining agreement of the type for which contributions are required.” The CBA clearly establishes the union’s jurisdiction over forklift work and Sofco’s obligations to contribute to the fund for that work. The district court did not err by concluding that the Fund properly included forklift work in the withdrawal liability calculation. View "Sofco Erectors, Inc. v. Trustees of the Ohio Operating Engineers Pension Fund" on Justia Law

The Department filed suit against M&N, alleging numerous causes of action stemming from defendants' operation of a business that purchased retail installment sales contracts from used car dealerships where defendants used a formula that considered the gender of the car purchaser in deciding how much to pay for the contracts. The trial court entered judgment in favor of the Department on the first and second causes of action, which alleged violations of the Unruh Civil Rights Act (Civ. Code, 51) and Civil Code section 51.5, and assessed over $6 million in statutory damages pursuant to Civil Code section 52, subdivision (a). The trial court dismissed the fifth, sixth, and seventh causes of action, which alleged violations of Government Code section 12940, subdivisions (i) and (k) of the Fair Employment and Housing Act (FEHA).In the published portion of the opinion, the Court of Appeal held that the trial court erred in dismissing the fifth cause of action and otherwise affirmed the trial court's judgment. In the fifth cause of action, the Department alleged that M&N "knowingly compelled and coerced its employees to engage in practices that violated" FEHA and Civil Code sections 51 and 51.5, in violation of section 12940, subdivision (i). The court held that employees who are coerced by their employer to violate Civil Code sections 51 and 51.5 are "aggrieved" within the meaning of section 12965, subdivision (a) and have standing to sue their employer pursuant to section 12940, subdivision (i). Therefore, the employees of M&N who were coerced by M&N into violating Civil Code sections 51 and 51.5 could be individually liable for sex discrimination. The court explained that these employees would necessarily be "aggrieved" by their employer's unlawful employment practice as their personal interests would be affected by their employer's misconduct. Therefore, the Department was authorized to file a civil action on behalf of these employees and the trial court erred by dismissing the fifth cause of action. View "Department of Fair Employment and Housing v. M&N Financing Corp." on Justia Law

Plaintiff filed suit against his former employer, CSX, for unlawful retaliation under the Federal Railroad Safety Act (FRSA), alleging that he was terminated because he engaged in protected activity by "reporting, in good faith, a hazardous safety or security condition."The Second Circuit vacated the district court's grant of summary judgment in favor of CSX, concluding that the district court erred in determining that plaintiff's belief that the subject of his report – pressure from supervisors to make false entries in work reports causing employees undue stress and distraction from their duties – concerned a "hazardous safety or security condition" was objectively unreasonable. Rather, the court concluded that the FRSA's protection of reports made "in good faith" requires only that the reporting employee subjectively believe that the matter being reported constitutes a hazardous safety or security condition, regardless of whether that belief is objectively reasonable. The district court also erred in determining that, in any event, only physical conditions subject to the railroad's control could constitute such a condition. The court explained that the statutory text suggests no reason to confine the meaning of "hazardous safety or security condition" to encompass only physical conditions. Accordingly, the court remanded for further proceedings. View "Ziparo v. CSX Transportation, Inc." on Justia Law