Thursday, March 10, 2011

EEOC to review “significant regulations”; do you smell trouble?


According to the EEOC, it is “beginning a new, periodic retrospective review of its existing significant regulations to determine whether any such regulations should be modified, streamlined, expanded, or repealed, to make the EEOC’s regulatory program more effective and/or less burdensome in achieving its regulatory objectives.” Huh? Cutting through the government-speak, I think the EEOC is trying to say that it is looking to rewrite its regulations. Given the current political tenor of this agency, does this concern you? It certainly concerns me.

Do you have suggestions for the EEOC on why a regulation should be modified, streamlined, expanded, or repealed; data on the costs and benefits of a regulation; or how the EEOC could better achieve a regulation’s objective? If so, I suggest you email them to:

Public.Comments.RegulatoryReview@eeoc.gov

You can be sure that 1) employee advocates will be submitting their thoughts, and 2) the agency has its own agenda to further. Employers, make your voice heard in what may be a significant re-writing of the EEOC’s interpretation of Title VII, the ADEA, and other civil rights laws.


Presented by Kohrman Jackson & Krantz, with offices in Cleveland and Columbus. For more information, contact Jon Hyman, a partner in our Labor & Employment group, at (216) 736-7226 or jth@kjk.com.

Wednesday, March 9, 2011

Charlie Sheen and the National Labor Relations Board


Do you remember Dawnmarie Souza? She was the employee on whose behalf the NLRB issued a complaint (which it later settled), claiming that the National Labor Relations Act protects a Facebook post a concerted activity. According to Time, the company fired Souza for “serious violations,” including “several incidents of allegedly rude behavior.” The company’s discovery of Souza’s Facebook post likening her boss to “various genital parts” was the last straw.

On Monday, CBS fired Charlie Sheen, in part because he made public disparaging comments about his boss. Charlie Sheen is a member of SAG. He also has his own “performance” problems. Should he file an unfair labor practice charge with the NLRB, based on his own protected, concerted activity—for example, calling his boss a “stupid, stupid little man and a pussy punk”; a “piece of  shit”; a “turd”; and a “clown”?

Or, is Charlie Sheen being able to sue his employer over these comments as ridiculous as Dawnmarie Souza being able to sue hers? Just saying.


Presented by Kohrman Jackson & Krantz, with offices in Cleveland and Columbus. For more information, contact Jon Hyman, a partner in our Labor & Employment group, at (216) 736-7226 or jth@kjk.com.

Tuesday, March 8, 2011

Does CBS “regard” Charlie Sheen as disabled under the ADA?


Yesterday, CBS finally pulled the plug on Charlie Sheen. I go back and forth whether he’s legitimately off his rocker, or he’s pulling off a calculated publicity stunt. Either way, CBS had enough and officially terminated him. TMZ published CBS’s 21-page termination letter [pdf].

Sheen’s agreement provides for termination in the event of “Incapacity,” including “mental disabilities, which due to the unique nature of Performer’s Obligations, are not subject to reasonable accommodation and which render Performer unable to perform the essential duties of Performer’s position.” Here’s how CBS’s lawyers discussed the touchy issue of terminating an employee with an apparent mental illness.

The facts establish that there was a serious material change in Mr. Sheen’s attributes that rendered him unwilling or unable to perform his essential duties. As the lead actor in a successful television comedy, Mr. Sheen’s essential duties encompass more than just showing up and delivering lines. One essential duty is working cooperatively and creatively with the other persons critical to the production. Mr. Sheen went from an actor who performed those duties to an individual whose self-destructive conduct resulted in his hospitalization, his inability to work at all for a period and the rapid erosion of the cooperative and creative process necessary to produce the Show. Indeed,

Mr. Sheen’s shocking behavior has continued since production was halted, further confirming such incapacity and/or a serious health condition.

CBS disposed of the contractual argument, but has it opened itself up to a claim under the ADA?

The ADA (as amended by the ADA Amendments Act), not only covers employees with actual disabilities, but also employees that an employer “regards as” disabled. There is no doubt from reading the termination letter that CBS fired Sheen because it “regarded him” as having a mental impairment. The legality of this termination under the ADA will hinge on whether Sheen is a “qualified individual”—that is, can he perform the essential functions of his position with or without reasonable accommodation. CBS clearly believes the answer is “no.”

Given the amount of money at stake, a court or arbitrator will have the final say. I suspect, however, that given Sheen’s public tirades about his boss, coupled with his public displays of incoherence (real or calculated), he is going to have a tough row to hoe in litigation.


Presented by Kohrman Jackson & Krantz, with offices in Cleveland and Columbus. For more information, contact Jon Hyman, a partner in our Labor & Employment group, at (216) 736-7226 or jth@kjk.com.

Monday, March 7, 2011

Follow these 6 easy steps to avoid harassment and retaliation liability


Do you want to avoid harassment and retaliation liability at your company? Here are six easy steps to follow:

  1. Have a sexual harassment policy, which includes procedures for employees to complain about harassment.
  2. Train all employees on the harassment policy.
  3. Make sure your human resources manager knows the definition of sexual harassment.
  4. Do not let a manager expose his genitals to female employees, and force one to place her hand on his private parts.
  5. Do not require women to participate in a “kissing” or “smooching” club to receive the sales leads and accounts necessary to earn commissions.
  6. Do not fire women who reject managers’ sexual advances and complain about them.

According to the EEOC, a Memphis company failed in each of these steps. The result—a $1.5 million verdict.


Presented by Kohrman Jackson & Krantz, with offices in Cleveland and Columbus. For more information, contact Jon Hyman, a partner in our Labor & Employment group, at (216) 736-7226 or jth@kjk.com.

Friday, March 4, 2011

WIRTW #167 (the fable-ulous edition)


Earlier this week, the Supreme Court issued what I believe will end up being one the most significant employment decisions of the last decade—Staub v. Proctor Hospital. This case has to ability to gut summary judgment in any discrimination case (except age) in which a supervisor is accused of having a discriminatory animus. (And are there any discrimination cases in which a supervisor does not have some role in the adverse action?) Many of my blogging brethren have chimed in on this case. Here’s a survey of the 10 best I’ve read:

Here’s the rest of what I read this week:

Social Media & Workplace Technology

Labor Law

Discrimination

HR & Employee Relations

Wage & Hour


Presented by Kohrman Jackson & Krantz, with offices in Cleveland and Columbus. For more information, contact Jon Hyman, a partner in our Labor & Employment group, at (216) 736-7226 or jth@kjk.com.

Thursday, March 3, 2011

Are businesses really asking for age on employment applications?


I came across an article yesterday on The Huffington Post which says that many large retailers are requiring job applicants to disclose their ages as part of the application process. Are businesses really asking for age on employment applications?

While there’s nothing per se illegal about asking for age on a job application, why ask for certain information that’s illegal to consider? Simply, you should not ask for age, or for any information that suggests age: date of birth, year of high school or college graduation, or anticipated retirement age. The only age-related questions you should ask on job application is whether the applicant is age 18 or over and eligible to work. Anything more crosses the line, and will help a rejected candidate create an inference of discrimination. Why take that risk?

For more information on illegal questions during the hiring process, see Avoid hidden interviewing traps.

Do you want to know if your job application and other hiring processes are legal? Consider KJK’s proprietary (and free) HR and employment law audit.


Presented by Kohrman Jackson & Krantz, with offices in Cleveland and Columbus. For more information, contact Jon Hyman, a partner in our Labor & Employment group, at (216) 736-7226 or jth@kjk.com.

Wednesday, March 2, 2011

Listen to your lawyer! (It might save you money)


Pure Energy sought an opinion from its labor and employment counsel whether its practice of paying its employees a day rate for all hours worked violated the Fair Labor Standards Act. Pure Energy, however, ignored the opinion of its attorney of the steps it needed to take for its date rate to pass muster under the FLSA. In Mumby v. Pure Energy Servs. (USA), Inc. (2/22/2011), the 10th Circuit concluded that the employer’s ignoring of its attorney’s advice constituted a willful violation of the FLSA:

Although consultation with an attorney may help prove that an employer lacked willfulness, such a consultation is, by itself, insufficient to require a finding in favor of the employer….

In fact, Pure Energy did not track its field employees' hours to ensure compliance with the FLSA or with the guidance provided… [A]ny overtime Pure Energy did pay was calculated using its erroneous “day rate” without regard for any weekly hours worked in excess of forty.

Pure Energy made no real changes to its compensation policy…. Indeed, without tracking the number of hours worked by each field employee, it was virtually impossible for Pure Energy to determine whether it was complying with [the] advice, let alone the requirements imposed under the FLSA.

Because the company sought, and then ignored, the advice of an attorney, the court concluded its violation was willful. The willful violation subjected the company to the FLSA’s three-year statute of limitations, as opposed to the non-willful two years, costing it an extra year of damages.

The moral of the story: If you hire an attorney, have the good sense to follow the advice you paid for.

[Hat tip: Overtime Law Blog]


Presented by Kohrman Jackson & Krantz, with offices in Cleveland and Columbus. For more information, contact Jon Hyman, a partner in our Labor & Employment group, at (216) 736-7226 or jth@kjk.com.

Tuesday, March 1, 2011

There’s No Place Like Home


After 19 days, 2 procedures, 2 N/G tubes, 1 PICC line, 3 x-rays, 3 ultrasounds, dozens of needle sticks and blood draws, 1 blood transfusion, 16 IV feedings, more than 50 trips back and forth to the Cleveland Clinic, 38 sleepless nights between me and my wife, and too many doctors, nurses, and other medical professionals to keep track of, we brought our son home yesterday. He is home, happy, and, most importantly, healthy.

Thank you to everyone who took the time to share a thought—here, via Twitter, Facebook, or by email. You might not think it was a big deal, but every message I received meant a lot, and taught me a lesson on compassion and caring that I will never forget and plan on repaying at every opportunity. For starters, I’ll be donating blood to pay back the anonymous donor that made my son’s transfusion possible.

Finally, keep an eye on the blog, my Twitter feed, and my new Facebook page. Once I collect all of our medical bills, I’ll be running a contest to see who comes closest, without going over, to the total, unadjusted cost of a 19-day hospital stay at the Cleveland Clinic. A prize of a yet to be determined nature awaits.

Back to regularly scheduled employment law programming tomorrow, with a post on why you should listen to the advice of your employment attorney.


Presented by Kohrman Jackson & Krantz, with offices in Cleveland and Columbus. For more information, contact Jon Hyman, a partner in our Labor & Employment group, at (216) 736-7226 or jth@kjk.com.

The “cat’s paw” lives: Supreme Court issues broad victory for employees in Staub v. Proctor Hospital


This morning, the Supreme Court issued its decision in Staub v. Proctor Hospital, which asked whether the “cat’s paw” is a valid theory of liability in discrimination cases. The “cat’s paw” seeks to hold an employer liable for the discriminatory animus of an employee who played no role in the decision, but nevertheless exerted some degree of influence over the ultimate decision maker.

Staub is a huge victory for employees. A unanimous opinion written by Justice Scalia whole-heartedly endorsed the “cat’s paw”:

We therefore hold that if a supervisor performs an act motivated by antimilitary animus that is intended by the supervisor to cause an adverse employment action, and if that act is a proximate cause of the ultimate employment action, then the employer is liable under USERRA.

The Court also declined to immunize employers who undertake their own independent investigation of the circumstances leading to the adverse employment action. Instead, the Court only excuses reliance on the biased report of a supervisor if the employer independently determines that the decision was entirely justified apart from the supervisor’s input:

Thus, if the employer’s investigation results in an adverse action for reasons unrelated to the supervisor’s original biased action (by the terms of USERRA it is the employer’s burden to establish that), then the employer will not be liable. But the supervisor’s biased report may remain a causal factor if the independent investigation takes it into account without determining that the adverse action was, apart from the supervisor’s recommendation, entirely justified.

While the Court limited its holding to USERRA, it pointed out that USERRA’s “motivating factor” causation standard is “very similar to Title VII.” It will be difficult for lower court’s to avoid this broad application of the cat’s paw in Title VII (and likely ADA) cases. The only hold-out will be ADEA cases, which, in light of Gross v. FBL Financial Services, Inc., requires “but for” causation.

I have two initial reactions to this opinion:

  1. Staub is a broad, sweeping win for employees, which leaves employers with little protection against the discriminatory animus of those who play no role in the decision making process.
  2. The Court’s holding hinges on ideals such as “intent” and “proximate cause,” which are almost always fact-based inquiries. Because it is very difficult for an employer to win summary judgment on these issues, the Court has turned nearly every “cat’s paw” case into a jury case—an expensive proposition for employers.

Staub v. Proctor Hospital [pdf] is available for download directly from the Supreme Court’s website via this link.

[Hat tip: Workplace Prof Blog]

Monday, February 28, 2011

Does your lawyer know Facebook?


facebook3Last week, Forbes.com’s privacy blogger, Kashmir Hill, asked her readers a very simple question, does your lawyer know how to use Facebook? Her conclusion, after scouring news stories about attorneys’ use of Facebook in jury selection: “If your lawyer isn’t Facebook and Google-search savvy, you’re at a disadvantage. So check those skills (along with doing your own online stalking) before hiring him or her.” It’s not only jury selection that clients should be concerned about, but also witness investigations, other informal background searches, and formal subpoenas and discovery requests.

Similarly last week, Gruntled Employees discussed the need for businesses looking for a social medial policy to hire lawyers who understand social media:

But more often than not, [employment lawyers] don’t know much about social media. Which is a problem. When I see an announcement for a lawyer seminar on social media, I check out the bios of the lawyers presenting to see what their social-media creds are. I look to see what their blogs are called, how many Twitter followers they have, and how active they are on LinkedIn…. And if they’re not active in social media, they're much less likely to understand what makes social media the human phenomenon that it’s become. Which means that they’re more likely to tell their corporate clients that they should fear social media, and that they need prohibitive policies….

In other words, just like you wouldn’t ask a dermatologist to perform heart surgery, you shouldn’t hire a non-tweeting lawyer to draft a social media policy.

While we’re on the subject of lawyers and social media, this is as good a time as any to mention that the Ohio Employer’s Law Blog has its very own Facebook Page. Please pop on over and give me a “like.” It will enable you to receive all of the blog’s posts on your Facebook wall, as well as other contents that supplements the blog (tweets, documents available for download, and other thoughts).


Presented by Kohrman Jackson & Krantz, with offices in Cleveland and Columbus. For more information, contact Jon Hyman, a partner in our Labor & Employment group, at (216) 736-7226 or jth@kjk.com.

Friday, February 25, 2011

WIRTW #166 (the light at the end of the tunnel edition)


172761_10150091447091130_610231129_6265589_1716009_o

You might not know what the above is a picture of, but to me it’s a picture of me sleeping in my own bed every night, and having my family together for more than a couple of hours in a hospital room every day. It’s the canister into which son’s NG tube feeds, and, if you look really closely, you will see that the goo draining into it is clear. Clear goo means the bilious goo that had been pooling in his stomach has started to go somewhere else—down through his bowel— which means that we are (hopefully) rounding the final turn towards home. We’re not home yet (still maybe as much as another week or more), but we’re the closest we’ve been in the past 16 days.

I cannot put into words how much everyone’s emails and tweets of care and support have meant to me. The compassion of strangers often outweighs that of people we’ve known for years. And for that compassion I will forever owe everyone a debt of gratitude.

Here’s what I read this week:

Social Media & Workplace Technology

Labor Relations

Discrimination

HR & Employee Relations

Wage & Hour

Competition and Trade Secrets


Presented by Kohrman Jackson & Krantz, with offices in Cleveland and Columbus. For more information, contact Jon Hyman, a partner in our Labor & Employment group, at (216) 736-7226 or jth@kjk.com.

Thursday, February 24, 2011

Can a boss’s abusive conduct qualify as retaliation?


Title VII does not require that one suffer a job loss to claim retaliation. Instead, Title VII’s anti-retaliation provision protects against any conduct that would dissuade a reasonable worker from engaging in protected activity. Thus, for example, the mere threat of a termination—depending on the circumstances—could constitute an actionable adverse employment action for retaliation purposes.

In denying summary judgment to an employer, the court in EEOC v. Chrysler Group, Inc. (E.D. Wis. 2/17/11), considered not only whether the employer threatened termination, but also how the employer threatened termination:

[T]he manner in which Young delivered his message to each woman matters. If he was screaming and pounding his fists on the table while threatening termination, as Zahn and Hobbs testified, this scenario paints a much more hostile and intimidating atmosphere than if Young delivered his message in a normal tone of voice, as he contends he did.

What does this mean for employers? It could mean nothing. Or it could mean that if courts are examining the tone of threats, courts are beginning to become receptive to notions of bullying as actionable under existing laws.

Because Title VII is not a general civility code for the workplace, it only protects significant, as opposed to trivial, harms. If, however, courts are beginning to recognize threats without any follow-through as actionable, we are not that far of a leap from courts protecting general workplace bullying without any legislative prodding. This possibility should cause employers to be very worried.


Presented by Kohrman Jackson & Krantz, with offices in Cleveland and Columbus. For more information, contact Jon Hyman, a partner in our Labor & Employment group, at (216) 736-7226 or jth@kjk.com.

Wednesday, February 23, 2011

Repeated calls from supervisor to employee on medical leave violates FMLA


What is the line between checking on a sick employee and harassing a sick employee to return to work early? Terwilliger v. Howard Mem. Hosp. (W.D. Ark. 1/27/2011) draws that line in a case that concluded that the employee was entitled to present her FMLA interference claim to a jury.

Regina Terwilliger worked as a housekeeper for Howard Memorial Hospital. On November 14, 2008, Terwilliger completed and submitted an FMLA request for leave for necessary back surgery. After the hospital approved her request, Terwilliger took her leave, underwent surgery, and returned to work after release by her doctor. During her recovery, and before her return to work, Terwilliger claimed that her supervisor, Kim Howard, contacted her weekly to inquire when she was going to return to work. During one phone call, Terwilliger claimed that she asked Howard if her job was in jeopardy, to which Howard replied that she should return to work as soon as possible. According to Terwilliger, she felt pressured by Howard’s calls to return to work early.

Terwilliger claimed that the hospital interfered with her statutory right to 12 weeks of FMLA leave by pressuring her to return to work after only 11 weeks. The district court agreed that a jury should decide that claim.

Interference includes discouraging an employee from using FMLA leave, … as well as manipulation by a covered employer to avoid responsibilities under FMLA…. To prove interference, an employee must show that the employer denied his or her benefits to which he or she was entitled under the FMLA….

Defendants argue that, because Plaintiff returned to work after her doctor had released her to return to work without any restrictions, she cannot claim that she was denied a benefit that she was entitled to under the FMLA. Defendants, however, are overlooking the fact that an interference claim includes the “chill theory.” … Interference occurs when an employer’s action deters an employee’s exercise of FMLA rights…. Here, Plaintiff had a right not to be discouraged from taking FMLA leave…. [T]he Court finds that a reasonable jury could conclude that Defendants interfered with Plaintiff’s exercise of her FMLA rights by discouraging or chilling her exercise of those rights.

It should go without saying that employers should not harass employees into returning early from FMLA leaves. But, this case is a good excuse to remind businesses that the FMLA has specific procedures in place to check on employees during FMLA leaves.

  • If the employee’s medical certification indicates that the minimum duration of the serious health condition is more than 30 days, an employer must wait until that minimum duration expires before requesting a recertification.

  • In all cases, an employer may request a recertification of a medical condition once every 6 months, even if the original certification is for a longer period of time.

  • Otherwise, an employer may request recertification no more often than every 30 days, and only in connection with an absence by the employee, unless the employee requests a leave extension, the circumstances described by the previous certification have changed significantly, or the employer receives information that casts doubt upon the employee’s stated reason for the absence or the continuing validity of the certification.

In all cases, employers should avoid personal contact to check on the return-to-work status of an employee on an FMLA leave, and follow these timelines if a recertification of a serious health condition is necessary.

[Hat tip: FMLA Blog and FMLA Insights]


Presented by Kohrman Jackson & Krantz, with offices in Cleveland and Columbus. For more information, contact Jon Hyman, a partner in our Labor & Employment group, at (216) 736-7226 or jth@kjk.com.

Tuesday, February 22, 2011

The Internet is a dangerous place for human resources


The Internet is a fabulous resource for businesses. For example, I could conduct a Google search for “social media policy” and fine some wonderful results, including an online database of 164 real-world examples. Because of the Internet’s easy access to information, it creates a strong temptation for businesses to do-it-themselves when it comes to policies and forms.

Not all websites, however, are created equal. Just because you find something on the Internet does not mean that its legal. Take, for example, Pre Employment Medical Questionnaire, which has at least 8 different questions that violate the ADA:

  • Do you smoke?
  • Do you drink alcohol?
  • Are you under any medication?
  • Are you under any medical supervision?
  • Have you ever suffered from an ailment that resulted in an absence from work?
  • Please indicate the total number of sick days you took out in the past year?
  • Have you ever been admitted in hospital?
  • Do you suffer from any medical condition that could hamper your sight, hearing, coordination or other sensory ability?

(For good measure, it also asks for employees’ dates of birth, which would constitute unlawful age discrimination, and height and weight, which could have a disparate impact based on sex).

The website says, “During the recruitment process most companies require to find out the medical history of all prospective employees.” Trust me, the only companies that ask for this information from prospective employees are those that want to find themselves on the losing end of a disability discrimination lawsuit. When searching the Internet for DIY policies and forms, do yourself and your business a favor and run them by employment counsel before using them. One 15 minute consultation could save you years in court and hundreds of thousands of dollars in legal bills.


Presented by Kohrman Jackson & Krantz, with offices in Cleveland and Columbus. For more information, contact Jon Hyman, a partner in our Labor & Employment group, at (216) 736-7226 or jth@kjk.com.

Monday, February 21, 2011

Oh my god, they're really alive!


We found this when we returned to our little guy's room after a walk. We love the peds staff at the Clinic.


Patrice O’Neal on sexual harassment (NSFW)


Today is President’s Day (no, this post is not a dated Bill Clinton joke). The courts are closed. The banks are closed. There’s no mail. And, we’re still in the hospital with our son (who has stabilized), in need of a laugh or two. I saw this over the weekend on Comedy Central. Because the topic fits and it made me laugh really hard, I thought I’d share (with tongue planted firmly in cheek).

The video is definitely NSFW, so if you are working today you might want to wait until you get home tonight to press play. And if you’re easily offended you might just want to to skip the video altogether. Patrice is about as un-PC as they come. You’ve been warned.

Enjoy. I’m back tomorrow with more serious content about the risks of using the Internet as the source for your HR policies and forms.

Jokes.com
Patrice O'Neal - Harassment Discussion
comedians.comedycentral.com
Jokes Joke of the Day Funny Jokes

Presented by Kohrman Jackson & Krantz, with offices in Cleveland and Columbus. For more information, contact Jon Hyman, a partner in our Labor & Employment group, at (216) 736-7226 or jth@kjk.com.

Friday, February 18, 2011

WIRTW #165 (the medical update edition)


So we’re on day 9 at the Cleveland Clinic, the only medical facility in the world where it’s actually a good think to say you’re at the Clinic. Our little guy seems to have stabilized. The juices flowing out of his stomach are ever so slightly less in volume and lighter in color, which suggests that the very large hematoma that is blocking one-third, and maybe as much as two-thirds or even all, of his small bowel, is starting to slowly subside. This is not to say that we are headed home anytime soon. He’ll need to be off the NG tube for at least 24 hours, and able to keep drink down without vomiting before they’ll even think about discharging him. It could be anywhere from another week to three weeks before he can again sleep in his Buzz Lightyear bed. In the meantime, we continue to watch his blood counts, which have been low. There was talk of a transfusion the past couple of days, but I think we’ve dodged that bullet. And, if there’s a bright side (which I usually try to find), we’re hoping the nourishment he’s getting through his PICC line will fatten him up some, since he’s a little guy to begin with.

Thank you everyone for your thoughts and prayers this past week. It means more than I can communicate.

Here’s what I read this week (trust me, I’ve had a lot of downtime staring at the hospital room walls):

Social Media & Workplace Technology

Discrimination

Wage & Hour

Labor Relations

HR and Employee Relations 


Presented by Kohrman Jackson & Krantz, with offices in Cleveland and Columbus. For more information, contact Jon Hyman, a partner in our Labor & Employment group, at (216) 736-7226 or jth@kjk.com.

Thursday, February 17, 2011

Out of work? Out of luck. EEOC hold meeting on use of employment status as screening tool


As I reported yesterday, the EEOC held its public meeting on the use of the exclusion of unemployed persons from applicant pools, a practice which it calls "emerging." As I expected, the EEOC is using this meeting to explore whether the use of employment status has a disparate impact on certain racial and ethnic minorities, such as African-Americans, Hispanics, and Native Americans.

According to the testimony of Algernon Austin, Director of the Program on Race, Ethnicity, and the Economy of the Economic Policy Institute, "any practice which disadvantages currently unemployed workers relative to similar employed workers will likely have a disproportionate negative impact on people of color." The Commission also heard testimony from Colorado School of Law Profession Helen Norton, who considered various defenses employers could raise under the anti-discrimination laws to a claim of disparate impact. Professor Norton considered possible claims of job-relatedness and business necessity, such as current employment as a signal of job performance, current employment as a proxy for relevant experience, and as a tool to reduce the number of applications received. With little explanation, she rejected each possible defense.

The EEOC did take testimony from two advocates for employers, James Urban, an attorney with Jones Day, and Fernan Cepero, Vice President for Human Resources The YMCA of Greater Rochester and representative of the Society for Human Resource Management. Mr. Urban relied on his experience to cast doubt on the legitimacy of this issue as a real problem:
At end, under the widespread practice that I have seen employers follow, the simple fact that the applicant is or was unemployed does not operate to disqualify the applicant. The reason the employer may decline to hire the applicant will be the underlying reason the applicant became unemployed, and typically it is job-related. In sum, it is my experience and belief that there is not a widespread practice among employers to disqualify applicants on the basis of unemployment. I submit to you that the anecdotal examples contained in a media reports over the past year or so regarding such circumstances are, when viewed in the broad scope, isolated incidents.
Mr. Cepero elaborated further, challenging that the blanket exclusion of the unemployed is not a good HR practice, and runs contrary to the best interest of companies that simply look to fill jobs with the best people available:
Employers, in SHRM’s experience, whether operating in the currently challenging economy or in more robust times, are focused on finding the right people for the job, regardless of whether or not they are currently employed. Our members recognize that any type of blanket exclusion raises concerns under Title VII. What’s more exclusionary policies are poor business practices because they prevent organizations from accessing some of the best available knowledge, skills and abilities in a given labor force.
This public meeting was fascinating. The EEOC is looking for systemic discrimination in new and unique places. Just because something might be bad business, however, does not mean it is discriminatory. Nevertheless, employers who use blanket screening tools such as employment status should be aware that the EEOC may be watching. Employers would be wise to document the job-relatedness and business necessity for all screening tools to be prepared if the EEOC appears on your doorstep.

For more information about yesterday's meeting, the EEOC has published the bios and written testimony of each of its presenters.

Presented by Kohrman Jackson & Krantz, with offices in Cleveland and Columbus. For more information, contact Jon Hyman, a partner in our Labor & Employment group, at (216) 736-7226 or jth@kjk.com.

Wednesday, February 16, 2011

EEOC to examine the treatment of unemployed job seekers


Later this morning, the EEOC will hold a public meeting to examine employers’ practices of excluding currently unemployed persons from applicant pools. Presumably, the EEOC is considering whether using current unemployment status as an applicant screening tool has a disparate impact based on race.

As a management-side attorney, my natural inclination is to write this story off as the EEOC looking for another way to hamstring the ability of companies to use their best judgment in making personnel decisions. Then, I considered the following data, provided by the Center for Economic and Policy Research:

jobs-ge-2010-09

If the unemployment rate for blacks is nearly double that for whites, and Hispanics nearly 50% higher, can one argue in good faith that a disparate impact does not exist? I am not a statistician, but the impact of this data looks significant to me. Is the real question, then, not whether unemployment status has a disparate impact, but whether using current employment status is job-related for the position in question and consistent with business necessity? I can envision lots of legitimate uses for employment status as a screening factor for lots of types of jobs.

I am very curious to the read the speakers’ comments from today’s EEOC meeting to understand their thoughts on the legitimacy of using this criterion as a screening factor. I am sure I will have more to share tomorrow after digesting the notes from today’s EEOC meeting.


Presented by Kohrman Jackson & Krantz, with offices in Cleveland and Columbus. For more information, contact Jon Hyman, a partner in our Labor & Employment group, at (216) 736-7226 or jth@kjk.com.

Tuesday, February 15, 2011

New York Times on workplace smoking bans


Last week, the New York Times reported on a growing trend in the medical profession: hospitals and other health care providers that refuse to hire smokers:

More hospitals and medical businesses in many states are adopting strict policies that make smoking a reason to turn away job applicants, saying they want to increase worker productivity, reduce health care costs and encourage healthier living. The policies reflect a frustration that softer efforts—like banning smoking on company grounds, offering cessation programs and increasing health care premiums for smokers have not been powerful-enough incentives to quit.

The Cleveland Clinic, for example, will not hire any smokers. Its website also offers a good example of a nonsmoking hiring policy [pdf]. It also has banned the sale of any non-diet sodas anywhere on its campus. It has no problem, though, selling McDonalds, doughnuts, and hubcap sized cookies (which are delicious) in its cafeteria, so explain that logic to me.

For her part, the Evil HR Lady believes that these policies make for bad human resources:

Companies should focus on offering incentives for quitting. Smokers should have to pay higher health insurance premiums. But, if they ban people who smoke entirely, they are missing out on some great people, who made a big mistake at 13.

As for me, I’m ambivalent as to whether it is good policy or bad policy to screen out smokers from your hiring pool. I’m against these policies for another reason—they may constitute unlawful disability discrimination. As I wrote more than a year ago:

[T]he “regarded as” prong of the new ADA is sufficiently broad to possibly encompass actions taken against employees pursuant to employer anti-smoking policies.... Employees can claim that anti-smoking policies violate the ADA. Addiction is a protected disability. Diseases related to or caused by smoking (cancers, lung diseases, asthma, and other respiratory conditions, for example) are also protected disabilities. Employees will claim that an adverse action taken pursuant to an anti-smoking policy is being taken because the employer regards the employee as disabled. Adverse actions taken against employees because of smoking should now be viewed as high risk, at least until courts begin weighing in on this controversial issue.

So, readers, I turn the floor over to you. A poll in Crains New York is running 54% to 46% against smoker discrimination. Does your workplace have an anti-smoking policy? Are you for them or against them, and why?


Presented by Kohrman Jackson & Krantz, with offices in Cleveland and Columbus. For more information, contact Jon Hyman, a partner in our Labor & Employment group, at (216) 736-7226 or jth@kjk.com.