Bus law today 9th ed ch18

BUSINESS LAW TODAY Essentials 9th Ed Roger LeRoy Miller - Institute for University Studies, Arlington, Texas Gaylord A Jentz - University of Texas at Austin, Emeritus Chapter 18 Employment Law © 2011 Cengage Learning All Rights Reserved May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use Learning Objectives  What is the employment-at-will doctrine? When and why are exceptions to this doctrine made?  What federal statute governs working hours and wages?  Under the Family and Medical Leave Act of 1993, under what circumstances may an employee take family or medical leave? © 2011 Cengage Learning All Rights Reserved May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use Learning Objectives  What are the two most important federal  statutes governing immigration and employment today? Generally, what kind of conduct is prohibited by the Title VII Civil Rights Act, as amended? © 2011 Cengage Learning All Rights Reserved May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use Employment-at-Will  Historically, employment law was governed  by the common law doctrine of “employment at will” where either employer or employee could terminate the relationship at any time, for any reason Today employment law is heavily regulated by state and federal statutes © 2011 Cengage Learning All Rights Reserved May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use Employment-at-Will  The doctrine of employment-at-will allows  the employer and the employee to terminate employment at any time, for any reason, without liability Some states recognize one or more judicial exceptions to this rule, while some states recognize none  © 2011 Cengage Learning All Rights Reserved May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use Exceptions to At-Will  Contract Exceptions: An implied contract exists between employer and employee Oral agreements may become part of the implied contract  Tort Exceptions: Wrongful discharge, defamation may be actionable  Public Policy Exceptions (Whistleblowing)  Wrongful Discharge © 2011 Cengage Learning All Rights Reserved May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use Wage and Hour Laws  Child Labor Fair Labor Standards Act (1938) prohibits oppressive child labor practices Provides regulations for work, depending on the age of child © 2011 Cengage Learning All Rights Reserved May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use Wage and Hour Laws  Wages and Hours Davis-Bacon Act the prevailing wage act Walsh-Healey Act the beginning of minimum wages Fair Labor Standards Act (FLSA) an extension of wage and hour regulation to workers in interstate commerce  Overtime Exemptions Certain employees (usually executive, administrative, and professional) are exempt from overtime © 2011 Cengage Learning All Rights Reserved May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use Layoffs  Worker Adjustment and Retraining Notification Act Intended to give employees advance notice in the event of a “mass layoff.” Mass layoff: during 30 day period, loss of at least 33% full-time and 50 employees, OR Loss of 500 hundred employees Remedies for Violations: $500/day, plus back pay, medical benefits © 2011 Cengage Learning All Rights Reserved May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use Family Medical Leave Act  The FMLA requires employers with over  50 employees to provide unpaid leave to employees who need to care for a spouse, child, or parent suffering with a serious medical condition The employee cannot be terminated for taking leave under the policy, and has the right to restoration to the same or a similar position upon return to work © 2011 Cengage Learning All Rights Reserved May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use 10 Sexual Harassment Issues  Co-Workers: employer generally liable only if it knew, or should have known, about harassment and failed to take immediate action Employee notice to supervisor is notice to employer under agency law  Non-Employees: employers may also be  liable for harassment Same-Gender harassment also violates Title VII © 2011 Cengage Learning All Rights Reserved May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use 29 Remedies under Title VII  Liability may be extensive Plaintiff may receive: Reinstatement Back Pay Retroactive Promotions; and Damages © 2011 Cengage Learning All Rights Reserved May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use 30 Discrimination Based on Age  The Age Discrimination in Employment Act  (ADEA) protects individuals over the age of 40 from workplace discrimination that favors younger workers Plaintiff must show:  He was member of protected age group,  Was qualified for the position from which he was discharged, and  Was discharged under circumstances that inferred discrimination © 2011 Cengage Learning All Rights Reserved May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use 31 Discrimination Based on Age  Replacing Older Workers with Younger Workers  CASE 18.2 Sprint/United Management Co v Mendelsohn (2008) Testimony of company’s attitude towards age was not per se admissible and inadmissible  State Employees Not Covered by ADEA U.S Supreme Court cases:  Kimel v Florida Board of Regents (2000)  Tennessee v Lane (2004)  Federal Employees Explicitly Covered by the ADEA Gomez-Perez v Potter (2008) © 2011 Cengage Learning All Rights Reserved May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use 32 Discrimination Based On Disability  The Americans with Disability Act (ADA)  requires employers to offer reasonable accommodation to employees or applicants with a “disability” who are otherwise qualified for the job they hold or seek The duty of reasonable accommodation ends at the point at where it becomes an undue hardship © 2011 Cengage Learning All Rights Reserved May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use 33 Procedures under the ADA  To prevail on a claim under ADA, plaintiff must show she: Has a “disability.” Is otherwise qualified for the employment in question; and Was excluded from employment solely because of the disability Workforce must be more than 15 employees  Plaintiff must first exhaust administrative relief with EEOC © 2011 Cengage Learning All Rights Reserved May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use 34 ADA: What is a “Disability”?  ADA defines disability as: Physical or mental impairment that “substantially limits” one or more of major life activities; or A record of such impairment; or Being regarded as having such an impairment  Determination is decided on a case-by-case basis © 2011 Cengage Learning All Rights Reserved May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use 35 2008 Amendments  2008 Congressional Amendments reverse prior Supreme Court cases:  Reverse Supreme Court’s restrictive interpretations of disability, and  Prohibit employers from considering mitigating measures or medications when determining if an individual has a disability In other words, disability is now determined on a case-by-case basis  CASE 18.3 Rohr v Salt River Project Agricultural Improvement and Power District (2009) Diabetes is a disability if it significantly restricts an individual’s eating (a major life activity) © 2011 Cengage Learning All Rights Reserved May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use 36 ADA: ‘Reasonable Accommodation’  If an employee with a disability can perform the job with reasonable accommodation, without undue hardship on the employer, the accommodation must be made Examples: wheelchair ramps, flexible working hours, improved training materials (Does not include carpel tunnel syndrome.) © 2011 Cengage Learning All Rights Reserved May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use 37 ADA Issues  Reasonable Accommodation: Job Applications and Pre-Employment Physical Exams Substance Abusers (ADA only protects former users)  Association Discrimination Adverse actions based on stereotypes  Does ADA allow ‘Hostile Environment’ claims? © 2011 Cengage Learning All Rights Reserved May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use 38 Defenses to Employment Discrimination  There are four basic types of defenses to employment discrimination claims Business necessity  Bona fide occupational qualification. Seniority Systems. After-acquired evidence of employee misconduct  © 2011 Cengage Learning All Rights Reserved May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use 39 Business Necessity Defense  The business necessity defense requires  the employer to demonstrate that the imposition of a job qualification is reasonably necessary to the legitimate conduct of the employer’s business Business necessity is a defense to disparate impact discrimination © 2011 Cengage Learning All Rights Reserved May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use 40 B.F.O.Q Defense  The bona fide occupational qualification  defense requires an employer to show that an particular skill is necessary for the performance of a particular job The BFOQ defense is used in cases of disparate treatment discrimination © 2011 Cengage Learning All Rights Reserved May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use 41 Seniority System Defense  A seniority system is one that conditions  the distribution of job benefits on the length of time one has worked for an employer A seniority system can be a defense only if it is a bona fide system, not designed to evade the effects of the anti-discrimination laws © 2011 Cengage Learning All Rights Reserved May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use 42 After-Acquired Evidence of Employee Misconduct  After-acquired evidence refers to  evidence of misconduct, committed by an employee who is suing an employer for employment discrimination, that is uncovered during the process of discovery conducted in preparation for a defense against the suit While it may serve to limit employee recovery, it does not act as an absolute defense for the employer © 2011 Cengage Learning All Rights Reserved May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use 43 ... incurred without employer’s knowledge © 2011 Cengage Learning All Rights Reserved May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed... Reserved May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected... heavily regulated by state and federal statutes © 2011 Cengage Learning All Rights Reserved May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license