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Can We All Just Get Along (Part II): Emerging Trends in
Employment Litigation Affecting the Way We Do Business
J. T. Wilson III, Partner
550 West Adams Street, Suite 300
Chicago, Illinois 60661
Johner.Wilson@lewisbrisbois.com
Key Topics
• Overview
• Joint Employment Analysis
• Collective Bargaining Units
• Recordkeeping
EEOC Charges – By Classification
FY 2011 FY 2012 FY 2013 FY 2014 FY 2015
Total Charges 99,947 99,912 93,727 88,778 89,385
Retaliation – All Statutes 37.4% 38.1% 41.1% 42.8% 44.5%
Race 35.4% 33.7% 35.3% 35.0% 34.7%
Sex 28.5% 30.5% 29.5% 29.3% 29.5%
Disability 25.8% 26.5% 27.7% 28.6% 30.2%
Age 23.5% 23.0% 22.8% 23.2% 22.5%
National Origin 11.8% 10.9% 11.4% 10.8% 10.6%
Religion 4.2% 3.8% 4.0% 4.0% 3.9%
• Meet Lucy…
Employee vs. Contractor
Who is an Employee?
VS.
Independent Contractor Employee
Traditional
Contractor
vs.
Employee
Analysis
CONTRACTOR EMPLOYEE
Control Minimal Significant
Investment Significant Minimal
Profit and Loss Significant Minimal
Permanence Temporary Extended
Skill Unique/distinct Basic
Skill Minimal Significant
Integral Part Ancillary Primary
You’re Really an Employer (Too)!
• On August 27, 2015, the NLRB announced
its decision in Browning-Ferris Industries of
California, Inc., greatly expanding the
definition of joint employer.
• The Result: 30 years of case law interpreting
who is a “joint-employer” – GONE.
Changing of the Guard…
Right to Control
Terms and Conditions
Exercised Control
Integral Part/Core
Direct
Unilateral
Before Browning-Ferris But now…
Indirect
Narrow Broad/Inclusive
Share/Co-determine
Case Study:
Key Considerations
Management Structure
Hiring
Discipline/Termination
Wage and Benefits
Scheduling and Hours
Work Processes
Training and Safety
How Does This Work?
Collective Bargaining Units
Removal of Employer Consent
Miller & Anderson, Inc.
• Petitioners seeking to represent employees in bargaining units that
combine both solely and jointly employed workers of single user employer
are no longer required to acquire employer consent
Issue
• Whether under the NLRA employees of user employer (sole and joint)
must obtained employer consent for purposes of collective bargaining as
a single unit (including temporary employees)
Result
• Petitioned-for units combining solely and jointly employed workers of
single user employer must share community of interest
Increased Risk of Liability for
Railroad/User Employer
• Joint Employment based on
right to control
Browning-
Ferris
• RLA not block finding of joint
employer status of user
employer outside of NLRA
Airway
Cleaners, LLC
• Single and joint employees of
user employer can combine
as bargaining unit without
consent
Miller &
Anderson, Inc.
Recordkeeping
• Investigation
• Enforcement of workplace
• Safety incentive programs
• Reward no recordable
injuries
Protection for Railroad Employer
WRITTEN
AGREEMENTS
CULTURE
DUE DILIGENCE ACCOUNTABILITY
Minimizing Potential Claims
Don’t Become A…
Thank You!
J.T. Wilson III
Johner.Wilson@lewisbrisbois.com
312.463.3340

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JTW Annual Meeting 2016 Presentation FINAL

  • 1. Can We All Just Get Along (Part II): Emerging Trends in Employment Litigation Affecting the Way We Do Business J. T. Wilson III, Partner 550 West Adams Street, Suite 300 Chicago, Illinois 60661 Johner.Wilson@lewisbrisbois.com
  • 2. Key Topics • Overview • Joint Employment Analysis • Collective Bargaining Units • Recordkeeping
  • 3. EEOC Charges – By Classification FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 Total Charges 99,947 99,912 93,727 88,778 89,385 Retaliation – All Statutes 37.4% 38.1% 41.1% 42.8% 44.5% Race 35.4% 33.7% 35.3% 35.0% 34.7% Sex 28.5% 30.5% 29.5% 29.3% 29.5% Disability 25.8% 26.5% 27.7% 28.6% 30.2% Age 23.5% 23.0% 22.8% 23.2% 22.5% National Origin 11.8% 10.9% 11.4% 10.8% 10.6% Religion 4.2% 3.8% 4.0% 4.0% 3.9%
  • 4. • Meet Lucy… Employee vs. Contractor
  • 5. Who is an Employee? VS. Independent Contractor Employee
  • 6. Traditional Contractor vs. Employee Analysis CONTRACTOR EMPLOYEE Control Minimal Significant Investment Significant Minimal Profit and Loss Significant Minimal Permanence Temporary Extended Skill Unique/distinct Basic Skill Minimal Significant Integral Part Ancillary Primary
  • 7. You’re Really an Employer (Too)! • On August 27, 2015, the NLRB announced its decision in Browning-Ferris Industries of California, Inc., greatly expanding the definition of joint employer. • The Result: 30 years of case law interpreting who is a “joint-employer” – GONE.
  • 8. Changing of the Guard… Right to Control Terms and Conditions Exercised Control Integral Part/Core Direct Unilateral Before Browning-Ferris But now… Indirect Narrow Broad/Inclusive Share/Co-determine
  • 9. Case Study: Key Considerations Management Structure Hiring Discipline/Termination Wage and Benefits Scheduling and Hours Work Processes Training and Safety How Does This Work?
  • 11. Removal of Employer Consent Miller & Anderson, Inc. • Petitioners seeking to represent employees in bargaining units that combine both solely and jointly employed workers of single user employer are no longer required to acquire employer consent Issue • Whether under the NLRA employees of user employer (sole and joint) must obtained employer consent for purposes of collective bargaining as a single unit (including temporary employees) Result • Petitioned-for units combining solely and jointly employed workers of single user employer must share community of interest
  • 12. Increased Risk of Liability for Railroad/User Employer • Joint Employment based on right to control Browning- Ferris • RLA not block finding of joint employer status of user employer outside of NLRA Airway Cleaners, LLC • Single and joint employees of user employer can combine as bargaining unit without consent Miller & Anderson, Inc.
  • 13. Recordkeeping • Investigation • Enforcement of workplace • Safety incentive programs • Reward no recordable injuries
  • 14. Protection for Railroad Employer WRITTEN AGREEMENTS CULTURE DUE DILIGENCE ACCOUNTABILITY
  • 17. Thank You! J.T. Wilson III Johner.Wilson@lewisbrisbois.com 312.463.3340

Editor's Notes

  1. The number of Total Charges reflects the total number of individual filings, because often charges advance multiple theories of alleged discrimination. Steady increase in Retaliation and Disability charges.
  2. Lucy works for a company contracted to operate the automotive portion of an intermodal yard Duties include (1) load/unload automobiles to/from railcars (2) Minor switching operations (3) Daily inspections to ensure AAR Compliance (4) Inventory Management (storage and gate operations) Lucy’s company is solely responsible
  3. Key Component = exercise of control
  4. Expanded application/definition of Joint Employment Key Component = Right to Control Operative Facts – (1) Indirect control (2) Terms and conditions (3) Share/Co-determine
  5. Highlight elements in Browning-Ferris Hiring Discipline/Termination Wage and benefits Scheduling and Hours
  6. RLA does not prevent finding of joint employment status for Railroad-user employer Airway Cleaners, LLC, 363 NLRB No. 166, 2016 WL 1569705 (April 18, 2016), finding: that it exercises jurisdiction over an employer despite the employer's joint employment with an entity that is exempt from the NLRB's jurisdiction under the National Labor Relations Act (NLRA).
  7. Traditionally 50% of EE craft and employer consent (RLA) Community of Interest = (1) similarity of job function, (2) earnings, (3) benefits, (4) hours, (5) required skills, and (6) supervision; (7) production activities in close proximity, (8) considerable interaction (KEY)
  8. Employee(s) of a Supplier/Service Partner claims: Employee of RR/User Seek to establish collective bargaining unit without knowledge of RR/User
  9. OSHA modification of recordkeeping requirements Takes effect January 1, 2017 Nudges employers to focus on safety Covered employers 250+ employees (includes PT, seasonal and temp employees) Requires notice of right to report free from retaliation Specifically targeting post-incident drug testing Retaliate against EE or (2) discourage reporting Exception – testing to comply with state or federal law Programs – should encourage safe work practices and promote participation in safety-related activities
  10. Term (set expiration date) Hiring Supervision Discipline/termination Wage and benefits Scheduling and hours
  11. Personnel up to speed on new requirements Management personnel (including front line staff) trained on anti-retaliation provisions Review drug testing and safety incentive programs