News & Analysis as of

A Legislative El Niño for California?: New 2016 Employment Laws for the State’s Private Sector Employers

Experts are predicting a 95% chance of heavier-than-usual seasonal rainfall this year in Southern California based on the phenomenon known as “El Niño.”  Did the California Legislature and its Governor produce a comparable...more

Supreme Court Agrees to Review California Rule Invalidating Contractor Arbitration Agreements

On October 1, the U.S. Supreme Court agreed to hear the appeal of a company whose mandatory arbitration agreements with its contractors were deemed invalid by California state courts. Once again, the Court will determine...more

[Event] Labor & Employment Law Update & Happy Hour - Oct. 22nd, San Diego, CA

Please join us for Sheppard Mullin's bi-annual Labor & Employment Law Update & Happy Hour. There have been significant developments in California labor and employment law this year. We will explain how these new developments...more

CLIENT ALERT: Worker Misclassification

Continuing its focus on combating worker misclassification, the U.S. Department of Labor has awarded nearly $40 million in federal grants to 45 states and territories. The grants are designed to enhance unemployment insurance...more

Justices Take On Another California Rule – When an Arbitration Agreement Is Too Flawed to Enforce

The U.S. Supreme Court has agreed to review whether the Federal Arbitration Act (FAA) preempts a California state court rule on unconscionable provisions that is purportedly applied more stringently to arbitration agreements...more

Don’t Throw the Class Waiver Baby Out with the Arbitration Agreement Bathwater

Sound advice that the world has lived with since 1512…until recently flushed by the Ninth Circuit. Not so quick to discard 500 years of wisdom, however, the Supreme Court has agreed to consider whether this idiom will rest in...more

[Event] Labor & Employment Law Update & Happy Hour - Oct. 15th, Los Angeles, CA

Please join us for Sheppard Mullin's bi-annual Labor & Employment Law Update & Happy Hour. There have been significant developments in California labor and employment law this year. We will explain how these new developments...more

In Battle Over Employment Compensation, Second Circuit Affirms District Court Decision To Deny Arbitration

On interlocutory appeal, the Second Circuit affirmed a district court decision denying arbitration because a later-signed compensation agreement did not retroactively apply as it contravened the intent of a prior independent...more

What Employers Must Know About Wage and Hour Law

This year, according to a recent Syracuse University study, federal courts are on track to handle a record number of wage-and-hour lawsuits stemming from violations of the Fair Labor Standards Act (FLSA), which establishes...more

SCOTUS Selects Second Arbitration Case For 2015 Term

2015 was a dry spell in arbitration decisions from the U.S. Supreme Court, but 2016 promises to be much more interesting. In addition to the California case being heard next week, SCOTUS just granted certiorari over another...more

Hot Topics: Worker Classification Issues

Worker classification issues are popping up in the news a lot again. This is because the National Labor Relations Board (NLRB) is taking a more aggressive view on joint-employer standards under the National Labor Relations...more

The North Carolina Employee Fair Classification Act

During the 2015 legislative session, North Carolina devoted a great deal of attention to the employment classifications of independent contractors. After working its way through several revisions in the House and Senate, The...more

9th Circuit Rejects Representative Action Waivers for PAGA Claims

If you read one thing... - With 9th Circuit ruling, California federal courts no longer a potential channel for employers to enforce representative action waivers for PAGA claims...more

Special Note for Illinois Employers Regarding Tracking Hours

Tracking of hours for salaried/exempt employees has always been a questionable practice. In fact, the U.S. Department of Labor (“US DOL”) could arguably use such tracking as a factor suggesting that the individuals are really...more

Employee vs. Independent Contractor — A Decision Not To Be Taken Lightly

Most employers know that workers may be either employees or independent contractors. What many employers do not know is that misclassifying a worker into the wrong category could have significant financial consequences....more

DOL penalized for ‘bad faith’ conduct

The Department of Labor recently agreed to pay an employer $1.5 million for costs and attorneys’ fees it had incurred in a lawsuit filed by the DOL. The 5th Circuit Court of Appeals determined that the employer was entitled...more

Eleventh Circuit Joins Second Circuit in Holding the Unpaid Intern FLSA Classification Analysis Depends on the “Primary...

The Eleventh Circuit recently joined the Second Circuit in adopting the employer-friendly “primary beneficiary” test to determine whether unpaid interns are properly classified as employees under the FLSA. The Second...more

The U.S. Department of Labor Strikes Again – Worker Misclassification is (Still) a Hot Topic

Continuing the trend of exposing companies who have misclassified workers, the U.S. Department of Labor (DOL) has persuaded its latest target, Halliburton Co., to pay $18.3 million to compensate employees for unpaid overtime....more

DOL Gets Reined In - Fifth Circuit Court of Appeals says the agency pushed too far in worker misclassification case

As most employers know, the United States Department of Labor (DOL), along with many other federal and state agencies such as the Equal Employment Opportunity Commission, has focused on pursuing employers for misclassifying...more

Combating Employee Misclassification under the FLSA

Correctly classifying a worker as an employee or an independent contractor is critical. Misclassification of employees as independent contractors has been occurring in an increasing number of workplaces, and the Department of...more

[Event] Labor & Employment Law Update & Happy Hour - Oct. 7, Palo Alto, CA

Please join us for Sheppard Mullin's bi-annual Labor & Employment Law Update & Happy Hour. There have been significant developments in California labor and employment law this year. We will explain how these new developments...more

Eleventh Circuit Rejects DOL Test in Internship Collective Action

It is almost an axiom that the Fair Labor Standards Act, 29 U.S.C. §§ 201 et seq., passed in 1938, is out of date. Despite modest tweaks since the time it was enacted, a particularly dark time in the Great Depression, it is...more

DOL to Pay $1.5 Million to Employer for Bad Faith Investigation

In an interesting turn of events and what I’m sure will be gratifying for some employers, the Department of Labor has agreed to pay Gate Guard Services $1.5 million to settle claims involving the DOL’s overly aggressive and...more

Many Home Companionship Workers No Longer Exempt

Agencies and other third-party employers of live-in household employees and home companionship providers, take note: the long-delayed regulations reclassifying many of these workers as non-exempt employees entitled to minimum...more

North Carolina Legislative Report

The General Assembly convened for the 2015 legislative session on January 14. Lawmakers returned to Raleigh on January 28 to begin the session in earnest. The MVA Public Affairs Legislative Report on North Carolina will be...more

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