Business Law Chapter 34

Exceptions to the lie detector test

◦Federal, state and local governments employers ◦Certain security services firms

Employee Polygraph Protection Act prohibits employers from:

1)requiring or causing employees or applicants to take a lie-detector test; 2)using, accepting, or referring to the results of any lie-detector test taken by an employee or applicant; and 3)taking or threatening any negative employment action based on an employee's or applicant's lie-detector test results or her refusal to take a lie-detector test.

An employer that violates the FMLA can be required to provide various remedies, including the following:

1. Damages to compensate the employee for lost wages and benefits, denied compensation, and actual monetary losses (such as the cost of providing care for a family member). Compensatory damages are available up to an amount equivalent to the employee's wages for twelve weeks. 2. Job reinstatement. 3. Promotion, if a promotion has been denied.

The NLRA specifically defined a number of employer practices as unfair to labor:

1. Interference with the efforts of employees to form, join, or assist labor organizations or to engage in concerted activities for their mutual aid or protection. 2. An employer's domination of a labor organization or contribution of financial or other support to it. 3. Discrimination in the hiring of or the awarding of tenure to employees for reason of union affiliation. 4. Discrimination against employees for filing charges under the act or giving testimony under the act. 5. Refusal to bargain collectively with the duly designated representative of the employees.

In the 1930s, Congress enacted several laws to regulate the wages and working hours of employees, including the following:

1. The Davis-Bacon Act requires contractors and subcontractors working on federal government construction projects to pay "prevailing wages" to their employees. 2. The Walsh-Healey Act applies to U.S. government contracts. It requires that a minimum wage, as well as overtime pay at 1.5 times regular pay rates, be paid to employees of manufacturers or suppliers entering into contracts with agencies of the federal government. 3. The Fair Labor Standards Act (FLSA) extended wage-hour requirements to cover all employers engaged in interstate commerce or in producing goods for interstate commerce. Certain other types of businesses were included as well. The FLSA, as amended, provides the most comprehensive federal regulation of wages and hours today.

During the leave period:

1. The employer must continue to provide benefits on same terms to the employee 2. However, the employer is not required to pay the employee while on leave

In general, the only requirements to recover benefits under state workers' compensation laws are:

1. The existence of an employment relationship. 2.An accidental injury that occurred on the job or in the course of employment, regardless of fault. (An injury that occurs while an employee is commuting to or from work usually is not covered because it did not occur on the job or in the course of employment.)

(Family and Medical Leave Act) An eligible employee may take up to twelve weeks of leave within a twelve-month period for any of the following reasons:

1. To care for a newborn baby within one year of birth. 2. To care for an adopted or foster child within one year of the time the child is placed with the employee. 3. To care for the employee's spouse, child, or parent who has a serious health condition. 4. If the employee suffers from a serious health condition and is unable to perform the essential functions of her or his job. 5. For any qualifying exigency (nonmedical emergency) arising out of the fact that the employee's spouse, son, daughter, or parent is a covered military member on active duty. For instance, an employee can take leave to arrange for child care or to deal with financial or legal matters when a spouse is being deployed overseas.

In the following situations, the conduct of the strikers may cause the strikes to be illegal:

1. Violent strikes. The use of violence (including the threat of violence) against management employees or substitute workers is illegal. 2. Massed picketing. If the strikers form a barrier and deny management or other nonunion workers access to the plant, the strike is illegal. 3. Sit-down strikes. Strikes in which employees simply stay in the plant without working are illegal. 4. No-strike clause. A strike may be illegal if it contravenes a no-strike clause that was in the previous collective bargaining agreement between the employer and the union. 5. Secondary boycotts. A secondary boycott is an illegal strike that is directed against someone other than the strikers' employer, such as companies that sell materials to the employer. 6. Wildcat strikes. A wildcat strike occurs when a small number of workers, perhaps dissatisfied with a union's representation, call their own strike. The union is the exclusive bargaining representative of a group of workers, and only the union can call a strike. Therefore, a wildcat strike, unauthorized by the certified union, is illegal.

Immigration Act of 1990

An employer may hire a "self-authorized" non-citizen who (a) is a lawful permanent resident (as proved by an I-551 Alien Registration Receipt, or "green card") or (b) has a temporary Employment Authorization Document To obtain a "green card" for an immigrant, an employer must show that no U.S. worker is qualified, willing, and able to take the job (which must be permanent and full-time)

Labor Management Relations Act (Taft-Hartley Act) (1947):

Closed shops: Act prohibits certain unfair union practices such as closed shops, i.e., firms that require union membership as condition (prerequisite) of employment. Union shops: Acts does allow union shops, i.e., practice under which employees must join union after a period of time

There are two basic forms of strikes:

Economic Strikes These are strikes over wages. Workers can be replaced by permanent replacements hired during strike. Unfair Labor Practice Strikes These are strikes alleging that the employer has committed an unfair labor practice.

Liger vs. New Orleans Hornets

Facts: Plaintiffs are former employees of the Hornets and are seeking compensation for allegedly unpaid overtime The Plaintiffs' motion was filed on June 3, 2008 and seeks to exclude two bases on which Defendant rests its defense Issue: Whether the Hornets are an amusement or recreational establishment that operates for fewer than eight months per year and thus exempt from the FLSA (Fair Labor Standards Act) Rule: The FSLA exempts "amusement or recreational establishments that operate for fewer than eight months per year from its requirements." Analysis: The Hornets rely on Jeffrey v. Sarasota White Sox to argue that they only operate for seven months of the year In Jeffrey, the 11th Circuit found that the minor league baseball team did not operate for seven months out of the year, thus exempting them from the FLSA. However, the Plaintiffs' reliance on Bridewell case is more appropriate. In Bridewell, the 6th Circuit found that a major league baseball team was a year-round operation, despite the fact that they did not provide "amusement and recreation" year-round. "The fact that the Reds employ 120 year-round workers compels the conclusion that they operate 'year-round'." Hornets admit that they employ over 100 personnel in year round positions In addition, the NBA regular season typically begins in October and ends in April In combination with pre-season and post-season games, the Hornets have the opportunity to participate in games for nine months each year Finally, the NBA draft occurs each June; thus, the Hornets operate in the summer even when they do not make the playoffs. Conclusion: Following oral argument on this issue, the Court adopts its previous determination: the Hornets operate for at least eight months each year And thus, they are not exempt as an amusement or recreational establishment under the FLSA Having considered the record, the memoranda and argument of counsel, and the law, the Court has determined that summary judgement should be granted in favor of the Plaintiffs.

Fair Labor Standards Act (FLSA)

Fair Labor Standards Act (FLSA) Hours and Wages Federal minimum wage: $7.25 in 2009 Overtime: Employees who agree to work more than forty hours per week must be paid no less than one and a half times their regular pay for all hours over Overtime Exemptions: certain employees, e.g., executive, professional, administrative, are exempt from overtime (generally speaking, 'white collar' workers)

Homework Question #1

George signs a contract to serve as the Assistant to the Traveling Secretary of the New York Yankees for one year, from July 1 to July 30. The contract states in bold type that the employment is "at-will." The contract also states that it will renew automatically unless the Yankees act by April 15. On May 1, the Yankees terminate the agreement. Questions abound, including: Is George an at-will employee? Yes, George is an at-will employee. Unless a contract, a statute, or a court declares otherwise, employer-employee relationships are considered to be "at-will" May the Yankees terminate the agreement? Under George's contract, he was to serve as the Assistant to the Traveling Secretary for one year from July 1 to June 30 with the position to automatically renew for one year unless the Yankees took action by April 15 But also under the contract, his employment was at will because the agreement stipulated, in boldface, that it was an "at will" agreement. And thus, the Yankees could terminate him

Labor-Management Reporting and Disclosure Act

Sets forth an "employee bill of rights," regulating internal union procedures (e.g., regular elections, no convicts may hold office) Prohibits all hot-cargo agreements, in which employers agree not to handle, use, or deal in non-union goods Holds union officials to high ethical standards

City of Ontario vs. Quon

U.S. Supreme Court held that the City of Ontario's review of Jeff Quon's, and others', text messages sent on City-issues pagers did not constitute an unreasonable search and did not violate the Fourth Amendment to the Constitution Decision was unanimous, with the Court's opinion written by Justice Kennedy. Justices Stevens and Scalia filed separate concurring opinions.