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Read need-to-know updates, commentary, and analysis on Labor & Employment issues written by leading professionals.

Department of Labor withdraws joint employer guidance

by McAfee & Taft on

A joint employer relationship can arise in circumstances where an individual performs work for two entities that share control over how that individual performs his/her work. Although joint employment relationships are most...more

Executive Order and Legislation on Apprenticeship Aim to Give Employers More Flexibility

by Littler on

The day after Senators introduced bipartisan legislation to promote apprenticeships, President Trump signed an executive order to achieve the same end. On June 15, the president signed an executive order (EO): Expanding...more

Putative Class and Collective Action Under Enjoined U.S. DOL Overtime Rule Appears to Face Strong Argument for Dismissal

by Littler on

On June 7, 2107, a plaintiff brought a putative class and collective action against Chipotle for alleged violations of the Fair Labor Standards Act and New Jersey’s Wage and Hour Law. The plaintiff asserts the company...more

NYC Enacts "Fair Work Week" Laws for Retail and Fast Food Employees

by FordHarrison on

New York City’s new package of “Fair Work Week” laws, which go into effect on November 27, 2017, will create new and burdensome scheduling and record-keeping requirements for retailers and fast food establishments, including...more

Franchise Law: Burden of Joint Employer Just Got a Little Lighter

by Lewitt Hackman on

Direct control, indirect control…these are the employment litigation phrases that had franchisors cowering in duck-and-cover positions over the last few years. But the Department of Labor just issued a statement to breathe...more

Kentucky Fried Chicken Sued By EEOC For Disability Discrimination

Owner Fired Employee for Taking Prescribed Medications for Bipolar Disorder, Federal Agency Charges - ATLANTA - Hester Foods, Inc., the operator of a Kentucky Fried Chicken restaurant franchise in Dublin, Ga., violated...more

USDOL Withdraws Joint Employment and Independent Contractor Guidance

by FordHarrison on

The recent announcement by Secretary of Labor Alexander Acosta to rescind Administrator’s Interpretation Nos. 2015-1 and 2016-1 should allow employers more latitude to hire independent contractors by removing the restrictive...more

May 2017 Independent Contractor Misclassification and Compliance News Update

by Pepper Hamilton LLP on

This update of May 2017 developments in the area of independent contractor misclassification and compliance highlights three key legislative developments: the enactment of two new laws (one in New York City and the other in...more

U.S. Secretary of Labor Withdraws Informal Guidance on Joint Employment and Independent Contractors

by Ballard Spahr LLP on

The U.S. Department of Labor (DOL) has withdrawn its 2015 and 2016 controversial informal guidance on joint employment and independent contractors. Those two guidance letters, issued during the Obama administration, greatly...more

DOL Trashes Obama-Era “Guidance”

by Sherman & Howard L.L.C. on

Wednesday the DOL announced that it was withdrawing two critical pieces of “guidance” issued under the Obama administration. The first piece addressed the DOL’s rather narrow view of who is an independent contractor (S&H...more

The U.S. Department of Labor Withdraws Obama-Era Guidance Regarding Independent Contractor versus Employee Classification

by Hirschfeld Kraemer LLP on

As we previously blogged here and here, the Obama Administration, through the U.S. Department of Labor (“DOL”) as well as the National Labor Relations Board (“NLRB”), made it clear early and often that it was going to take an...more

New Requirements for Fast Food Employers and Retail Corporations in NYC

by Hodgson Russ LLP on

On Tuesday, May 30, 2017, New York City Mayor Bill de Blasio signed into law the “Fair Workweek” legislative package that is designed to ensure predictability of schedules and paychecks for workers in the in New York City...more

Shifty Business: NYC Restricts Shift Scheduling for Retailers and Fast Food Chains

by Seyfarth Shaw LLP on

Seyfarth Synopsis: Five new laws in New York City will impose strict limits on shift scheduling for fast food and retail industry employees. The laws will be effective 180 days after their signing, on November 26, 2017....more

New York City Enacts Laws Limiting Employers' Flexibility To Staff Employees

by Littler on

On May 24, 2017, the New York City Council passed five bills – collectively called the “Fair Workplace” legislative package – four of which significantly restrict the ability of fast food and retail employers to schedule...more

Jan-Pro International Is Not The “Employer” Of Its Franchisees And Did Not Commit Wrongdoing, Court Finds

On May 24, a federal judge in California polished off a three-state win by master franchisor, Jan-Pro Franchising International, Inc., finding that under California law, unit franchisees (subfranchisees) who had franchise...more

Off-Duty Employees Had Right to "Hang Out" on Employer's Property to Publicize Dispute

by FordHarrison on

An administrative law judge recently ruled that a Pacific Northwest fast food chain violated the National Labor Relations Act (NLRA) by maintaining a policy that prohibited off-duty employees from loitering or “hanging out”...more

New Arizona Law Releases Chokehold on Franchise Employment Status Dilemma

by Dickinson Wright on

On March 21, 2017, Arizona Governor Doug Ducey signed into law House Bill 2322 which is Arizona’s response to the legal controversy plaguing many franchisors relative to imputed joint employment. The law holds that no...more

What State’s Law Applies To A Non-Compete Agreement And Why Does It Matter?

by Fox Rothschild LLP on

Employers frequently require employees to sign confidentiality and non-competition agreements. In most jurisdictions, these agreements are both lawful and prudent provided that they are carefully drafted. In my...more

Franchising Update

by K&L Gates LLP on

Many franchisors and other participants in the franchising sector are anticipating with concern the outcome of The Fair Work Amendment (Protecting Vulnerable Workers) Bill 2017 (Bill) which was introduced into the Federal...more

Black Car Drivers in New York City Held Independent Contractors By Federal Court of Appeals

by Pepper Hamilton LLP on

While Uber has dominated the headlines when it comes to whether drivers on their on-demand, ride-sharing platforms are independent contractors or employees, similar battles are being waged elsewhere in the car service...more

Sheppard Mullin Secures Major Victory for Chipotle in Nationwide Misclassification Action By Demonstrating Variations Among...

The Court’s opinion in Scott v. Chipotle Mexican Grill demonstrates how employers can successfully combat class action claims that employees were misclassified as exempt. The successful defense of the class certification...more

McDonald’s Corp. Dismissed from Suit Over Wage Violations at Franchises - Ostensible Agency Theory Rejected by Court

by Best Best & Krieger LLP on

A class action attempt to establish joint employer liability between franchisor McDonald’s Corporation and its franchisee for allegedly unpaid wages through an ostensible agency theory was brought to an end recently by a...more

New York Court Delivers Denial Of Certification In Papa John’s Drivers’ Class Action

by Seyfarth Shaw LLP on

Seyfarth Synopsis: A New York federal court in Durling, et al. v. Papa John’s International, Inc., Case No. 7:16-CV-03592 (CS) (JCM) (S.D.N.Y. Mar. 29, 2017), recently denied Plaintiffs’ motion for conditional certification...more

FRANCHISOR 101: Ostensible Agency Victory

by Lewitt Hackman on

A California federal judge dealt a major blow to employees of a Bay Area McDonald's in their effort to hold the franchisor responsible for its franchisee's alleged failure to pay wages and provide meal and rest breaks. The...more

Federal Court Serves Up Satisfying Seconds For California Franchisors: No Ostensible Agency Liability For Franchisees’ Alleged...

by Seyfarth Shaw LLP on

Seyfarth Synopsis: A federal court in California recently held that a franchisor cannot be held liable for labor code claims where it did not exercise control directly, or through an actual agency relationship with the...more

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