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The Sheppard Mullin Labor & Employment Law Blog
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The Sheppard Mullin Labor & Employment Law Blog is designed to provide employers breaking news, insights & legal analysis on issues facing employers today. Key topics covered are Antitrust, Cannabis Law, Corporate Governance, Employee Benefits, FEHA, Immigration, Retaliation, and Workers Compensation.
The Sheppard Mullin Labor & Employment Law Blog
16h ago
California’s new “Heat Illness Prevention in Indoor Places of Employment” standard is now in effect as of July 23, 2024. The new regulation applies to most California workplaces where the indoor temperature reaches 82°F or higher (e.g., warehouses, distribution centers, manufacturing plants, and restaurants). The standard requires those employers to implement a written indoor heat illness ..read more
The Sheppard Mullin Labor & Employment Law Blog
2w ago
On March 12, 2024, the Ninth Circuit published a decision in Ortiz v. Randstad Inhouse Services, LLC, holding that the Plaintiff Adan Ortiz (“Plaintiff”) qualified as a “transportation worker” under the Federal Arbitration Act, and was thus exempted from mandatory arbitration under the FAA. The district court rejected the employer’s arguments that Plaintiff was bound by the arbitration mandate under the FAA because he performed duties on a purely local basis. This case continues to establish that the scope of the “transportation worker” exemption under the FAA is broader than only those w ..read more
The Sheppard Mullin Labor & Employment Law Blog
2w ago
On July 3, District Judge Ada Brown of the Northern District of Texas issued an order enjoining the Federal Trade Commission (“FTC”) from enforcing its “Final Rule” against plaintiffs Ryan, LLC (“Ryan”) and the U.S. Chamber of Commerce (the “Chamber”). If implemented, the Final Rule would effectively render nearly all non-compete agreements unlawful. Accordingly, this opinion was one of the most highly anticipated judicial decisions in antitrust and labor and employment law in recent memory.
Judge Brown declined to issue a nationwide injunction at preliminary injunction stage. So, for now, the ..read more
The Sheppard Mullin Labor & Employment Law Blog
2w ago
As previously discussed, on June 18, 2024, California’s political leaders announced a tentative deal to reform a number of aspects of California’s Private Attorneys General Act (“PAGA”). On June 27, 2024, the PAGA reform bills, Senate Bill 92 and Assembly Bill 2288, were approved by the California Legislature and on July 1, 2024, Governor Newsom signed both bills into law. The PAGA reform bills contain urgency clauses such that the bills take effect upon signing. Both bills explicitly apply only to PAGA claims filed on or after June 19, 2024, or those PAGA claims for which the required no ..read more
The Sheppard Mullin Labor & Employment Law Blog
3w ago
The Supreme Court will soon hear a wage and hour case with massive implications for employers defending claims under the Fair Labor Standards Act (“FLSA”). Depending on the outcome, the high court’s decision could make it far more difficult for employers to prove a plaintiff/employee is exempt from the FLSA’s minimum wage and overtime requirements.
On June 17, 2024, the United States Supreme Court granted certiorari in E.M.D. Sales, Inc. v. Carrera, which asks the Court to determine the standard of proof employers must meet to show an employee is exempt from the FLSA. Specifically, the Court w ..read more
The Sheppard Mullin Labor & Employment Law Blog
1M ago
California’s Medicinal and Adult-Use Cannabis Regulation and Safety Act (“MAUCRSA”) requires commercial cannabis entities to obtain a license from California’s Department of Cannabis Control (“DCC”) to cultivate, distribute, transport, store, manufacture, process, and sell cannabis in the state of California. Since its enactment, MAUCRSA required licensees with 20 or more employees to enter into Labor Peace Agreements (“LPAs”) with “bona fide” labor organizations to receive and renew a license from the DCC, as previously outlined here. LPAs require commercial cannabis licensees and labor ..read more
The Sheppard Mullin Labor & Employment Law Blog
2M ago
On November 2, 2023, the New York City Council passed a bill[1] requiring the New York City Department of Consumer and Worker Protection (“DCWP”), in coordination with the Mayor’s Office of Immigrant Affairs (“MOIA”), the New York City Commission on Human Rights (“NYCCHR”), and community and labor organizations, to create and publish a workers’ bill of rights.
After months of anticipation, the Workers’ Bill of Rights went live on the DCWP website in March 2024, and provides a comprehensive summary of the rights of employees, applicants, and independent contractors in New York City. It also off ..read more
The Sheppard Mullin Labor & Employment Law Blog
2M ago
On March 8, 2024, a federal judge in the United States District Court for the Eastern District of Texas dealt a serious blow to the National Labor Relations Board’s (the “Board”) efforts to further increase the reach of the National Labor Relations Act (“the NLRA”). Judge J. Campbell Barker struck down a final rule issued by the Board that would have drastically broadened the standard the Board applies to determine when employers are joint-employers for the purposes of federal labor law. The blow was delivered three days before the rule was set to take effect on March 11, 2024 follow ..read more
The Sheppard Mullin Labor & Employment Law Blog
2M ago
In Naranjo v. Spectrum Security Services, the case’s second appearance before the California Supreme Court in two years, the Supreme Court confirmed that an employer does not incur civil penalties for failing to report unpaid wages, or any other required information on a wage statement, if the employer reasonably believed that it was providing a complete accurate wage statement.
Naranjo’s Odyssey
Naranjo was filed as a class action approximately fifteen years ago, and has navigated through the California court system since. As relevant here, a jury found Spectrum liable on a meal break claim f ..read more
The Sheppard Mullin Labor & Employment Law Blog
2M ago
On April 1, 2024, the U.S. Department of Labor’s Occupational Safety and Health Administration (“OSHA”) published its Final Rule clarifying the rights of employees to designate a non-employee representative to be present during workplace inspections. Notably, the designated non-employee representative may “accompany” the OSHA investigator during the physical walkaround portion of the inspection but may not “participate” in the inspection. The Final Rule will become effective May 31, 2024.
Background
The Final Rule amends OSHA’s regulation on employer and employee representatives, 29 C.F.R. § 1 ..read more