Independent Contractor Misclassification
A few days ago, Uber agreed to pay up to $100 million to settle class-action lawsuits in California and Massachusetts claiming that its drivers are employees not independent contractors. Paying out $100 million is by no means the end of this story. The settlement does not affect other drivers’ ability to sue on the same grounds nor does it preclude the Labor Commissioner from determining that individual drivers are in fact employees (which it has done in at least one case). The U.S. Department of Labor also recently issued a formal interpretation of the federal Fair Labor Standards Act as it pertains to the classification of independent contractors. This advisory opinion signaled the intention of federal regulators to scrutinize independent contractor classifications and treat most workers as employees. Most companies do not have enough independent contractors to be subject to class action lawsuits worth $100 million, but how will a $1 million lawsuit or even a $100,000 lawsuit affect your business? If your company uses independent contractors, here are some steps you could take to minimize your exposure: Closely examine … Continue reading
Holiday Party Checklist for Employers
When you host a holiday party, how do you walk the tightrope of wanting your employees to have a great time without getting sued for sexual harassment, wage and hour claims, or workers’ compensation liability? Each company has its own work culture, which generally defines their party culture as well. I’ve attended holiday lunches sans alcohol as well as those where alcohol was free flowing. Although the presence of alcohol tends to make the event more festive and the conversation free-flowing, it’s usually at those parties that I’ve looked over and asked myself “did I really just see that?” Here are 10 Things to help your company host a holiday party without getting sued. 1. Skip the Mistletoe This one is self-explanatory. 2. Address employer-sponsored social functions in your handbook Your harassment policy should specifically address company-sponsored social events. In particular, consider providing specific examples of unacceptable behavior at these functions. If you do gift exchanges, remind employees that risqué or adult-themed gifts should not be exchanged with co-workers. 3. Host the holiday party at a restaurant or other off-site location … Continue reading
Hiring an Employee – “Have You Ever Been Convicted?”
I received a lot of questions from employers who have read my post on job application questions related to arrests and criminal records. The main concerns that businesses have are related to managing risks in hiring an employee and the desire to ensure that they do not engage in negligent hiring. Most wanted to know whether they could ask about criminal convictions. The answer is yes, but . . . Inquiries into criminal convictions must: Come after you’ve determined that the applicant meets the qualifications for the job; Not be related to marijuana convictions two years or older; Be accompanied by a statement that a conviction will not automatically prohibit employment (unless it is for a position that where federal or state law prohibits one with a criminal conviction from holding); Be job related and consistent with business necessity. There are 3 factors to consider when making the determination: The nature and gravity of the offense or conduct Careful consideration of the nature and gravity of the offense or conduct is the first step in determining whether a specific crime may be relevant to concerns about risks … Continue reading
California Paid Sick Leave Law Clarified
The new California paid sick leave law went into effect on July 1, 2015. The law was so confusing that it was clarified with a new bill soon after. Is your policy in compliance? Here are the basics: Who gets leave: Employees who work for an employer for more than 30 days within a year is entitled to paid sick days. Accrual: At least 1 hour for every 30 hours worked. Accrual may be at a different rate if it is accrued regularly and the employee accrues 24 hours or 3 days of leave by the 120th day of work. Employers may cap accrual at 48 hours or 6 days per year. Carry-over: Accrued but unused sick days must carry over into the next year, unless you give the employees 3 days of paid sick leave at the beginning of each year. Use: Employee may start using accrued paid sick days beginning on the 90th day of employment. Employers may limit use to 24 hours or 3 days in each year of employment, calendar year, or 12 month period. Written notice: Employers … Continue reading
Do I need to file in small claims court? – Anatomy of a Lawsuit Part II
This series applies to California lawsuits only. For rules regarding your state’s small claims procedure, visit the website for your state’s judicial branch. So you’ve figured out the Statute of Limitations issue. Now where to file your lawsuit – small claims or civil court? What is small claims court? Small claims court is a civil court lite to deal with dispute amounts (claims) that are relatively small. The disputes are resolved quickly, informally, without a jury or lawyers. However, even though you are not allowed to have a lawyer represent you at the small claims hearing, you could get a lawyer’s help before or after the hearing. What is the claim limit in small claims? Individuals – Generally, you may not ask for more than $7,500. Corporations or other entities – Generally, you may not ask for more than $5,000 What are the types of Claims you can file in small claims? Some common types of small claims cases are related to: • Property damage or personal injury from a car accident; • Landlord/tenant security deposits; • Damage to your … Continue reading