Thursday, December 9, 2010
DREAM Act Passes House, Awaits Fait in Senate
Coles Corner Winning Wine: December 2010 (Archive)
Hip Chicks Do Wine 2007 Whole Berry Cabernet Sauvignon - Their labels are creative and their wine names are whimsical. Their 2007 Cabernet Sauvignon starts smoothly and finishes well while delivering excellent spice. The name “Whole Berry” suggests fruit and this Cabernet delivers with fruit forward flavors.
Coles Corner Winning Wine: November 2010 (Archive)
Thursday, December 2, 2010
‘Tis a Season to Be Mindful
As an eclectic nation of varying religious and non-religious people, the United States ever is evolving its customs to include, or more importantly to ensure it does not exclude, the varying religious beliefs found here. Not long ago, public school students received a “Christmas vacation.” Then, not to exclude other religious holidays around this time period, public school students instead received a “Holiday vacation.” Now, to ensure no one is excluded, public school students simply receive a “Winter vacation.”
Your workplace likely went through a similar change in designating office closures this time of year. The point of highlighting this change is not to debate whether we as a society are or are not overly politically correct or whether the distinction in names is or is not trivial. Instead, the point is that generally accepted customs, ideas, and thoughts change and evolve over time. Whether you are an employer, manager, supervisor, or co-worker, we all must be mindful that what once was generally acceptable in the workplace may now be considered discriminatory or harassing.
Under both Federal and Texas law it is unlawful for an employer to discriminate against a person based on that person’s religious beliefs. This means an employer cannot discriminate based on someone’s particular religious practice or lack thereof. These employment laws, however, do not preclude individuals from expressing their personal religious beliefs. As an employer or supervisor, though, you must be mindful about your religious beliefs and ensure your employees and/or subordinates do not believe they are treated differently because of their religious beliefs or because their religious beliefs do not align with yours.
With that said, celebrate the season as you wish. Just remember your obligations and responsibilities as an employer.
Tuesday, November 30, 2010
E-Waste Recycling Update
Monday, November 15, 2010
Dustin Paschal and Paul Simon Elected to DAYL Board
Tuesday, November 9, 2010
The Coles Firm Hosts E-Waste Recycling Event
Wednesday, November 3, 2010
Coles Corner Winning Wine: October 2010 (Archive)
Ferrari-Carano 2009 Fumé Blanc – This non-traditional Sauvignon Blanc provides a nice balance between a classic buttery Chardonnay and a characteristic crisp and citrus-flavored Sauvignon Blanc. For those that do not like the extreme of either varietal, this wine is a perfect choice. It pairs well with traditional white wine pairings, but we enjoyed this wine by itself.
Monday, October 18, 2010
Mama's secret family recipe might not be so secret
Wednesday, October 6, 2010
Coles Corner Winning Wine: September 2010 (Archive)
Wednesday, September 15, 2010
Supreme Court Considers "Cat's Paw" Theory
The Supreme Court recently granted certiorari in Staub v. Proctor Hospital (09-400). It will hear and decide the case during its term opening in early October. The central question the Supreme Court will address is in what circumstances an employer may be held liable for unlawful discriminatory motives and actions by someone other than the decision maker. This theory of recovery is known as the “cat’s paw theory” and is taken from the 17th Century fable by French poet Jean de La Fontaine. In Fontaine’s fable, a shrewd monkey convinces a cat to steal chestnuts from a fire. While the cat burns her paw in the process, the monkey enjoys the fruits of the cat’s labor by eating all the chestnuts.
In employment law, “cat’s paw” typically arises under Title VII, the primary law related to workplace discrimination. In the Staub case, however, the theory arose under the Uniformed Services Employment and Reemployment Rights Act (USERRA). After an amicus brief by then Solicitor General Elena Kagan, and now, interestingly, a Supreme Court justice, the Court decided the Staub case is an ideal vehicle to address the lower courts’ inconsistent application of the law in “cat’s paw” cases.
Vincent Staub, a member of the Army Reserves, worked as an angiogram technician at Proctor Hospital in Peoria, Illinois. As a member of the Reserves, he attended required occasional weekend training in addition to two-week training during the summer. Staub’s supervisor, Janice Mulally, grew annoyed with Staub’s Reserve commitments. She frequently criticized the Reserves and intentionally scheduled him on weekends when he had training. In the weeks preceding his termination, Mulally disciplined Staub for “insubordinate behavior.” Considering Mulally’s dislike of Staub, the allegations were questionable. Despite this, the Vice President of Human Resources terminated Staub.
At the trial court, Staub asserted the decision maker adopted Mulally’s animus and, therefore, the decision would not have been made if not for Mulally’s discriminatory animus. The jury returned a verdict favoring Staub and awarded him $57,640. On appeal, the Seventh Circuit reversed and remanded the decision and held the “cat’s paw” theory only attributes the discriminatory animus of the non-decision maker to the decision maker when the non-decision maker is the only influence on the decision-maker. The Seventh Circuit ruled that evidence of “singular influence” of the non-decision maker and “blind reliance” by the decision-maker is necessary in “cat’s paw” cases. The Seventh Circuit found clear evidence showed while Mulally did influence the decision-maker, the decision-maker also relied on other information including Staub’s reputation for being a difficult employee and his history of discipline prior to Mulally’s supervision. Furthermore, the Seventh Circuit found the trial court erred in allowing the case to proceed to trial because the trial court should have determined whether the non-decision maker was the singular influence on the decision maker before determining whether the non-decision maker held discriminatory animus. Staub’s attorney contested this decision on the basis that it fails to hold employers accountable when several factors lead to the adverse employment action, including discriminatory opinions from those the decision-maker consults before making the ultimate decision.
The Seventh Circuit essentially articulated a very narrow interpretation of the “cat’s paw” theory by requiring singular influence by the non-decision maker. We do not know how the Supreme Court will decide the case but some speculate that, given its ideological composition, the Supreme Court likely will affirm the Seventh Circuit opinion. Check back here for regular updates.
Friday, September 3, 2010
Sue the Bully?
Recent studies indicate that bullying in the workplace is on the rise. Zogby International’s 2007 study found that 37% of workers had been bullied at some time throughout their career. Furthermore, a recent University of Phoenix study asserts that the recession is to blame: so-called serial bullies have more justification for bullying, and normal managers now have the sense that they need to extract as much output from as few employees as possible – leading to more instances of workplace bullying. Just days ago, the New York Times reported that The Virginia Quarterly Review has suspended publication for a period following the suicide of its Managing Editor. According to press reports, the Managing Editor’s family claims he had been repeatedly bullied by the top editor of the magazine.
While legal protections exist under existing laws for workers who suffer abuse due to their membership in a protected class (race, ethnicity, sex, age, religious persuasion), ordinary workers who undergo malicious treatment from their superiors have no recourse.
Sixteen states are now considering laws to change this. The New York State Senate passed legislation in May, entitled The Healthy Workplace Bill, which would enable workers to sue for physical, psychological, or economic harm due to abusive treatment at work. The New York state assembly will consider the bill next year and, if the bill passes, employees demonstrating they faced a hostile environment due to a workplace bully could win lost wages, medical expenses, compensation for emotional distress, and punitive damages. In order to recover, the employee must prove that the bullying was done with malice and usually that it occurred repeatedly. Companies who investigate in a timely manner and take measures to correct the problem will have access to affirmative defenses.
This legislation no doubt will add a higher regulatory burden and increase (perhaps dramatically) the number of employment lawsuits. We want to know what you think about this. Do you think this kind of legislation is helpful or problematic? Let us know with your comments below.
Thursday, September 2, 2010
Coles Corner Winning Wine: August 2010 (Archive)
Thursday, August 26, 2010
Update: Wal-Mart Appeals Million Plaintiffs' Class Action
You may remember our May 13th post here about the Ninth Circuit ruling that a class action lawsuit against Wal-Mart, involving over 1 million plaintiffs, could proceed to trial. As predicted, Wal-Mart has appealed to the Supreme Court to overturn the ruling. As a brief refresher, the class action lawsuit, Dukes v. Wal-Mart, claims that Wal-Mart and Sam’s Club systematically discriminated against their female employees by paying them less than male employees, and offering females fewer and less frequent promotional opportunities. At issue is not whether the discrimination occurred, but whether over a million people will be allowed to make this collective claim through a class-action lawsuit, rather than individually or in smaller groups.
Wal-Mart’s main argument is based on the grounds that the proposed class of plaintiffs is far too large and individualized to qualify. In its petition to the Supreme Court, Wal-Mart argued, “the class is larger than the active-duty personnel in the Army, Navy, Air Force, Marines and Coast Guard combined – making it the largest employment class action in history by several orders of magnitude.” It also argued that the Ninth Circuit contradicted earlier Supreme Court and appeals courts’ decisions, and that it improperly frees the plaintiffs of the burden to prove each individual plaintiff had been directly injured by Wal-Mart’s practices.
Some legal experts suggest that if the Supreme Court sides with the plaintiffs and lets the lawsuit proceed as is, it could cost Wal-Mart over $1 billion in damages. Furthermore, the implications for future class action certification procedures will be very far reaching. It is unknown whether the Supreme Court will decide to hear the case, but we will keep you updated. Check back in late Fall for more information.
Wednesday, August 11, 2010
Coles Corner Winning Wine: July 2010 (Archive)
Friday, July 9, 2010
Coles Corner Winning Wine: June 2010 (Archive)
Friday, June 25, 2010
Texas Supreme Court Hands Employers a Big Win
Thursday, June 24, 2010
Update: U.S. Supreme Court Decides Texting Case
Tuesday, June 8, 2010
Coles Corner Winning Wine: May 2010 (Archive)
2009 Chukker – Happy Canyon Vineyard’s 2009 Chukker is a delightful blend of cabernet fran, merlot, and cabernet sauvignon. This Summer red has rich fruit flavors, with a spicy finish. With its smoky notes, an excellent wine to bring to your next bar-b-que.
Friday, June 4, 2010
Recent 5th Circuit Decision Sheds More Light on FLSA Requirements
On May 27, 2010, the 5th Circuit Court of Appeals issued a decision interpreting the Fair Labor Standards Act’s (FLSA) differentiation between “regular rate” and “per diem” payments. In Gagnon v. United Technisource Inc; AIS Tech Services Inc., the 5th Circuit determined the employer deliberately violated the FLSA by paying a low hourly rate with an offsetting “per diem.” The employer in Gagnon agreed to pay the employee $5.50 per hour (approximately minimum wage at that time) for “straight time” and $20.00 per hour for overtime. In addition, the employer agreed to pay the employee $12.50 for every hour he worked each week up to 40 hours per week or a maximum of $500. The employer referred to this as “per diem.”
The Court determined that pursuant to the FLSA, the employee's hourly regular rate was $18.00 ($5.50 “straight time” plus $12.50 “per diem”). As such, the employer owed the employee $27.00 per hour for overtime. Particularly important in the Court's finding that the $12.50 per hour “per diem” should be considered regular rate was the fact the “per diem” was an hourly calculation as opposed to a flat rate based on travel expenses, living expenses, etc. The Court also looked at the hourly rate of pay for similar jobs at other companies and found the hourly rate varied from $18.32 to $24.00, well above the $5.50 the employer in Gagnon paid.
Whether the employer deliberately circumvented the FLSA requirements or not, the lesson all employers should learn from Gagnon is the FLSA’s payment requirements are complicated. Many terms we commonly hear such as “salary,” “overtime,” “exempt,” and “non-exempt” have different meanings under the FLSA. A mistake in properly paying employees can cost an employer greatly down the road, especially because the FLSA permits attorney’s fees and doubling the amount the employee is owed in certain circumstances. It is always best to consult with your attorney on any and all pay practices and employee classifications (especially when you have complicated and/or unique pay practices).
Friday, May 28, 2010
Arbitration Agreements: Common Place in Sports World, But Are They Good for the Common Employer?
Tuesday, May 25, 2010
United States Supreme Court Issues Key Disparate Impact Ruling
Wednesday, May 19, 2010
The Forgotten Side Effect of a Troubled Economy - Lower Employee Morale
Friday, May 14, 2010
Wal-Mart Takes a Hit on the Legal Front
If you have followed business news in the past week, you may have noticed some major developments in a class-action lawsuit against the world’s largest employer, Wal-Mart. On Monday, the 9th Circuit Court of Appeals voted 6-5, allowing a class-action lawsuit go to trial in what may potentially be the largest employment discrimination class-action suit ever. The crux of the lawsuit is whether Wal-Mart discriminates against its female employees by paying them less and limiting their opportunities for advancement. While the lawsuit began in 2001 with allegations from six women who worked in 13 of Wal-Mart’s 3,400 stores, the final class of litigants may well include every woman who has worked at Wal-Mart since 2001 – over 1.5 million women. Now that the appeals court has certified the class, Wal-Mart will likely challenge the decision at the Supreme Court. Let us know your thoughts on the potential impact of the 9th Circuit’s decision. Do you support a class-action lawsuit involving 1.5 million plaintiffs (as the plaintiffs’ attorneys have argued) or do you think plaintiffs should individually pursue claims at the specific Wal-Mart locations that employed them (as Wal-Mart has argued)? Is there a middle ground? We welcome your comments below.