Various state and federal privacy laws, including the federal Stored Communications Act, make it unlawful to obtain unauthorized access to an individual’s stored electronic communications, including postings on a personal social media account. Requesting or requiring password access to a personal social media account may be viewed as “unauthorized access.” For example, in a case involving a national restaurant chain, a jury found the company liable for obtaining unauthorized access to an employee’s personal online communications on a restricted MySpace group website in violation of the Stored Communications Act when a company manager accessed those communications after the employee’s co-worker gave the manager her log-in credentials to the website and later testified she felt pressured to do so.
Recently, Maryland became the first state in the nation to pass a law prohibiting employers from asking or requiring employees or applicants to provide a user name, password, or other means for accessing their personal online accounts, including social media accounts, email accounts, bank accounts, and other personal accounts accessed through computers or other electronic communication devices. Maryland’s new law, expected to be signed soon by its governor, also prohibits employers from discharging, disciplining, or otherwise penalizing an employee, or rejecting an applicant, for refusing to provide such information. For balance, the Maryland law includes several exceptions and provisions for the benefit of employers, such as cases where an employee is using a personal online account for business purposes or where an employer is investigating suspected unauthorized downloading of company proprietary information to a personal online account.
Employers also may realize additional unanticipated legal risk from requesting or requiring password access to an employee’s or applicant’s personal social media account. For example, an employer could expose itself to litigation risks if review of an applicant’s or employee’s personal online account revealed otherwise unknown information about his or her age, race, ethnic origin, religion, or disability and the individual is subsequently not hired, discharged or disciplined. If review of an applicant’s or employee’s personal social media account reveals he or she is engaging in a lawfully protected activity, the employer may face a claim of unlawful retaliation if the individual is later rejected for a job or subjected to an adverse employment action. As an example, an employee’s online complaints as Facebook “friends” may amount to “protected concerted activity” under the National Labor Relations Act if the complaints are about wages, terms of employment, or working conditions.
The risks of possible claims and litigation from an employer’s efforts to access an applicant’s or employee’s personal social media account, as well the impact such efforts can have on recruitment and employee relations, may lead many employers to consider safer alternatives, such as conducting lawful background checks and limiting their monitoring of employee communications to those occurring on company-owned computers and company email systems pursuant to a lawful policy.
We informed you in a recent alert that a District of Columbia federal court upheld the National Labor Relations Board’s rule requiring employers to post a workplace notice of employee rights under the National Labor Relations Act. Since that alert, in a separate lawsuit, a South Carolina federal court invalidated the posting rule. Soon thereafter, in an appeal of the aforementioned District of Columbia ruling, a federal court of appeals enjoined the NLRB from implementing the posting rule. In response to these rulings, the NLRB has postponed implementation of the posting rule. Based on this development, employers are not required to post the workplace notice of NLRA rights by April 30. We will keep you informed of further developments.
Administrative Law Updates, Civil Procedure Updates, Civil Remedies Updates, Labor & Employment Law Updates, Privacy Updates
DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.
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