Staffing Agencies

News & Analysis as of

EEOC Roundup: October 2014

Employment is heavily regulated in the U.S., where it is illegal to discriminate against a job applicant or an employee because of the person's race, color, religion, sex (including pregnancy), national origin, age (40 or...more

AB 1897: California’s New Labor Contracting and Client Liability Law

California Governor Jerry Brown recently signed AB 1897 thereby creating new liability for businesses that engage in labor contracting. Current California law prohibits employers from entering into labor or services...more

New Law Makes It Easier to Pursue Claims Against Employers that Use Contracted or Leased Employees

The California Legislature recently passed AB 1897, effective January 1, 2015, which adds Section 2810.3 to the Labor Code. This new law makes “client employers” jointly liable with “labor contractors” for the payment of...more

Shift Worker Rules Warrant Special Attention

The long-term-care industry depends on shift workers to provide patient care 24 hours per day, seven days per week. But even experienced and sophisticated employers can find the application of state and federal labor and...more

New California Law Imposes Joint Liability on Businesses and Contract Vendors for Wage Violations and Workers’ Compensation...

For companies using independent contractors in California, 2014 has been a difficult year, with several significant court decisions threatening the contractor model. In June, the Ninth Circuit rejected the parties’ choice of...more

California Legislation 2014

California Governor Jerry Brown has signed into law a number of bills that will impact the employer community. Healthy Workplaces, Healthy Families Act of 2014—Paid Sick Leave (AB 1522) - On September 10, 2014,...more

The Affordable Care Act—Countdown to Compliance for Employers, Week 9: Misunderstanding “Offer[s] of Coverage on Behalf of Another...

Applicable large employers faced with the prospect of complying with the Affordable Care Act’s employer shared responsibility rules must grapple with and understand what is means to make an offer of minimum essential coverage...more

New Law Makes Employers Liable for Temp Agency Violations

A new law that will soon go into effect in California will significantly change the legal relationship between temporary staffing agencies and the companies (“client employers”) that contract with them to use temporary...more

Fail to Pay Wages in D.C. and Get Sued With Some of Your Closest Friends (and Contractors)

If you are a D.C. employer, temporary staffing agency, contractor or subcontractor, you have yet another wage and hour law to contend with: The Wage Theft Prevention Amendment Act of 2014. Among other things, the law...more

New California Law Holds Employers Liable for Labor Contractor’s Wage Violations

California Governor Jerry Brown recently signed into law A.B. 1897, significantly expanding the potential liability of employers who use labor contractors, subcontractors, or staffing agencies for workers. Effective January...more

California Companies Liable for Subcontractor Wage Violations Beginning 2015

Companies that rely on labor provided by third-party contractors may be held jointly liable for wages owed to the contractor’s workers under a new California law that goes into effect on January 1, 2015. The legislation...more

Brown Signs AB 1897 Meaning Greater Liability For Employers Who Use Labor Contractors

The new law targets businesses that obtain or are provided “workers to perform labor within its usual course of business from a labor contractor.” The statute’s definition of “labor contractor” excludes bona fide nonprofits,...more

Seven Key Supreme Court Cases for Retailers to Watch

The Supreme Court of the United States is ending its summer recess and will start hearing oral arguments next week. There are seven key cases on the Court’s docket for the current term that could affect retailers. Here is a...more

EEOC Sues Resource Employment Solutions for Race and National Origin Discrimination

Staffing Agency Placed Hispanic Workers in Preference to African-American Employees, Then Retaliated Against an Employee Who Complained of Discrimination - OXFORD, Miss. - Resource Employment Solutions, LLC, a...more

American Arbitration Association Panel Distinguishes Third Circuit’s Holding in Opalinski

The intersection of class actions and arbitration continues to raise issues for parties to consider in evaluating whether arbitration clauses do or do not permit class actions in arbitration. One such issue involves who gets...more

New California Law Imposes Liability On Companies Where Labor Contractors Fail To Pay Wages Or Provide Workers’ Compensation...

On Sunday, September 28, 2014, California Governor Jerry Brown signed into law AB 1897 (D-Hernandez), which imposes liability on companies who use subcontracted temporary labor if the temp company fails to pay wages or...more

EEOC Charges Strategic Legal Solutions with Age Discrimination and Retaliation

Company Rescinds Job Offer After Learning Attorney's Age And Bans Her for Complaining About Ageism, Federal Agency Says - NEW YORK - Strategic Legal Solutions, a national legal staffing and legal project management...more

Immigration Alert: September 2014

Sixth Circuit Expands the Liability of Health Care Employers for Sponsorship Costs - On August 20, 2014, the U.S. Court of Appeals for the Sixth Circuit issued its decision in Kutty v. U.S. Department of Labor, No....more

NLRB Will Charge McDonald’s as “Joint Employer” For Franchisee Labor Violations

In a move with far-reaching ramifications for all businesses that license their brands to independent contractors including franchisees, the National Labor Relations Board (“NLRB”) announced on July 29, 2014 that it has...more

OSHA Issues Policy Background on the Temporary Worker Initiative

On July 15, 2014, the Occupational Safety and Health Administration (“OSHA”) issued a policy memorandum to its Regional Administrators, explaining in greater detail the agency’s Temporary Worker Initiative (“TWI”). The TWI,...more

NLRB Lawyers Declare Franchisor to be Joint Employer

Last week, the National Labor Relations Board’s general counsel announced its position that McDonald’s Corporation can be considered a joint employer with its franchisees for purposes of unfair labor practice claims. This...more

The Potential Impact of the NLRB’s Position that McDonald’s and its Franchisees are “Joint Employers”

The National Labor Relations Board created a stir last week when it announced that it intends to hold McDonald’s USA responsible for its franchisees’ violations of employment law. The announcement has created concern and...more

Joint Employment Finding Leads to Unexpected $3 Million Liability in Hospital Malpractice Case

When Washington Hospital obtained an insurance policy in 2003 to cover medical claims arising from acts by its employees, its insurer probably did not consider whether hospital employees included workers supplied by a...more

Shatto v. Mcleod: The “Specifics” (Or Lack Thereof) In Circumstantial Evidence

The South Carolina Court of Appeals recently had its second go-around with a workers’ compensation claim filed by a nurse anesthetist against a temporary medical staffing agency and against the hospital where that agency...more

OSHA and Temporary Workers

For a variety of reasons, both economic and non-economic, employers have relied more and more heavily on independent contractors and temporary workers. Temporary workers being employees of temporary agencies, staffing...more

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