On August 19, 2009, in response to the current economic downturn, the California Labor Commissioner published an Opinion Letter which provides employers with an option to laying off their exempt employees; furloughs.
Under the Labor Commissioner’s Opinion Letter, it is now lawful for California employers to reduce the work hours of their exempt staff, with…
In Nein v. HostPro, Inc., a Court of Appeal held that the language of the employee’s employment agreement precluded him from recovering commissions following his termination of employment. Plaintiff worked as a sales representative for HostPro for a period of 2 years. He signed an employment agreement that expressly provided that Plaintiff would be eligible for commission pay “so long as [he] remains employed with the Company as a Sales Representative.”
Continue Reading EMPLOYEE HAS NO RIGHT TO POST-TERMINATION COMMISSIONS
On January 6, 2009 the Department of Labor (DOL) issued Opinion Letter FMLA2009-1-A to respond to a request for clarification regarding employee notification procedures under the Family and Medical Leave Act (FMLA) as discussed in the DOL’s previous Wage and Hour Opinion Letter FMLA-101 (January 15, 1999). The DOL indicated that it was brought to its attention that some employers had interpreted Opinion Letter FMLA-101 to stand for the proposition that under the FMLA, employers were not permitted to apply their internal call-in policies or discipline employees under their no call/no show policies, provided the employees provide notice within two (2) business days that the leave was FMLA-qualifying, regardless of whether the employee could have practicably provided notice sooner.
Continue Reading DEPARTMENT OF LABOR ISSUES AN OPINION LETTER CLARIFYING AN EMPLOYER’S RIGHT TO ENFORCE ITS CALL-IN POLICIES UNDER THE FMLA
On February 17, 2009 President Obama signed the American Recovery and Reinvestment Act of 2009 (“ARRA” or “Recovery Act”) which contains a number of entitlements and obligations affecting the workplace. In order to comply with their new obligations and understand the benefits available to employees or former employees, employers should familiarize themselves with the ARRA promptly. Below is a summary of some of the various employment-related provisions from the ARRA
1. COBRA Subsidy.
a. What is it?
The ARRA provides for a 65% COBRA premium subsidy for certain “assistance eligible individuals.” An “assistance eligible individual” is a COBRA “qualified beneficiary” who meets all of the following requirements:
a. Is eligible for COBRA continuation coverage at any time during the period between September 1, 2008 and December 31, 2009;
b. Elects COBRA coverage (when first offered or during the additional election period provided for under the ARRA); and
c. Has a qualifying event for COBRA coverage that is the employee’s involuntary termination during the period of September 1, 2008 and December 31, 2009.Continue Reading THE AMERICAN RECOVERY AND REINVESTMENT ACT OF 2009 AND ITS IMPACT ON THE WORKPLACE
In his first significant act as President in the labor and employment arena, President Obama effectively overturned the United States Supreme Court’s decision in Ledbetter v. Goodyear Tire & Rubber Co. by signing the Lilly Ledbetter Fair Pay Act (“Ledbetter Act”) into law this Thursday. The main thrust of the Ledbetter Act is that it…
