z
z

The Scorecard for 2013
presented by Lawrence Feheley
2014 Managing Labor + Employee Relations Seminar
March 4, 2014
z

“Persons attempting to find a motive in this
narrative will be prosecuted; persons attempting
to find a moral in it will be banished; persons
attempting to find a plot in it will be shot.”
+ Mark Twain, Adventures

Huckleberry Finn

of
z

2013 Was a Good Year
+ Minimum
+ Gays

Wage Employees

and Lesbians in the Workplace

+ Facebook

Complainers + Tattletales

+ Soldiers
+ Unpaid

Interns
z

2013 Was a Good Year
+ Flu-Prone

Employees

+ People

Disabled by Weird Conditions

+ Female

Wage Earners

+ Potheads

in the Workplace

+ Criminals

in the Workplace
z

2013 Was a Bad Year
+ Obamacare
+ NCAA Football
+ Non-Union

Employers

+ Technology

Haters

+ Erstwhile

Independent Contractors

+ Employee

Handbooks
z

2013 Had Mixed Results
+ The

National Labor Relations Board

+ Supervisors

+ The

EEOC Criminal Background Guidelines
z

Reasonable Accommodations
after the ADA Amendments
What You Do + Don’t Have to Do
presented by Kailee M. Goold
2014 Managing Labor + Employee Relations Seminar
March 4, 2014
z

+
z

ADAAA Refresher

Engaging the Employee

Triggering the Process

Choosing Accommodations

Final Comments
z

Prohibits
Discrimination
Failure to engage
in interactive
process
Failure to provide
reasonable
accommodations

Costly Liability
Compensatory +
punitive damages
Front + back pay,
reinstatement
attorneys fees
z

a record of such
impairment
physical or mental
impairment that
substantially
limits a major life
activity

being regarded as
having such an
impairment

Disability
z

ADAAA significantly expanded
“disability”
z

ADAAA Game Changers
Major life
activities

Episodic or in
remission

Temporary
conditions

Mitigating
measures
z

Major Life Activities

Concentrating Caring for Oneself
Breathing
Eating
Communicating

LearningSeeing
Standing
Sleeping Reading Speaking
Bending
Performing Manual Tasks

Lifting

Working

Thinking

Walking
z

Episodic or In Remission
+ Disability if

active

it would limit a major life activity when
z

Temporary Conditions

May be a disability if it lasts or is
expected to last fewer than 6
months
z

Mitigating Measures
+ You

must consider how the impairment affects the
person before or without the mitigating measure
+ (except

ordinary glasses and contacts)
z

Obesity

ADHD

Sensitivity to
perfumes

Incontinence

Torn tendons

Seasonal
affective disorder

Bladder
conditions

Allergies
z

Is This Employee Disabled?
z

Is this employee disabled?

How can this employee do this job
with an accommodation?

Shift Your Focus
z

+
z

Identify when is
the duty is
triggered

Engage with the
employee

Choose and
maintain a
reasonable
accommodation
z

employee “requests”
z

Common Mistake
Believing what you read on the internet
z

No magic
words
required

Can come
from third
parties

Employee “Requests”

Don’t have
to ask for
anything
z

Medical
Condition
Workplace
problem

Employee “Requests”
z

Common Mistake
Trying the ostrich defense
z

Accommodation
“requests”

Performance
Issues

Absences

Your files
(FMLA, WC)

Employee
behavior
z

Common Mistake
Failure to document, document, document
z

“My wheelchair
doesn’t fit under
my desk.”
z

“I may need more
time off.”
Employee at end of FMLA Leave
z

“My wife is in the
hospital. She won’t
be in for awhile.”
Spouse calls in
z

“It’s been hard to show up
on time since my divorce –
I’m really upset.”
z

No Link

“I’ve been
meaning to tell
you . . .”
z

Identify when is
the duty is
triggered

Engage with the
employee

Choose and
maintain a
reasonable
accommodation
The Interactive Process

z

Informal dialogue to figure
out if you can accommodate
the employee

Closely scrutinized
z

How can I help you
do your job?
z

Three Questions
What are the essential
functions of this job?
What is the impairment?
What are the specific
limitations?
z

Common Mistake
Unclear essential functions

Job
Description

Employee
Agrees
z

Three Questions
What are the essential
functions of this job?
What is the impairment?
What are the specific
limitations?
z

Common Mistake
Staying dazed + confused
z

Medical
Request

Employee

Company

Get the information you need!
z

Nothing
you can
or
should
do
z

Identify when is
the duty is
triggered

Engage with the
employee

Choose and
maintain a
reasonable
accommodation
z

Accommodation = Change
Make facilities accessible
Restructure non-essential functions
Acquire + modify equipment
Modify schedules
Modify policies
Leave
z

Common Mistake
Excuses ≠ legal defenses
z

NOT Reasonable:
• Eliminating essential functions
• Creating a job
• Bumping
• Indefinite leave
z

Undue hardship
(extremely rare)

“significant
difficulty”

Health + Safety

“direct
threat”
z

Common Mistake
Short-term memory
z

Common Mistake
Letting the employee choose
z

What about our leave policy?
Have one and be flexible.
z

Follow Through
Proper
implementation
Follow up
Document
Rinse and repeat
if needed
z

Common Mistake
Blabbing
z

Common Mistake
Not asking for help
z

Engage and
accommodate
Document!
Ask for help
z

To Do List
Review accommodation policy
Review job descriptions
Script for inquiries
Train supervisors
z

Stay Informed
Kailee M. Goold
kgoold@keglerbrown.com
614.462.5479
keglerbrown.com/goold

@kaileemgoold

linkedin.com/in/kaileemgoold
z

Conducting a Proper
Investigation
presented by Jeffrey C. Miller
2014 Managing Labor + Employee Relations Seminar
March 4, 2014
z

The Basics
z

Initial Considerations of an
Investigation
+ Is

it necessary?

+ Immediate
+ Interim
+ Who

Measures

is the investigator?
z

Basics of Conducting an
Investigation
The Complainant
The Alleged Harasser
The Witnesses
z

The Review
z

Credibility Assessment Factors
+ Inherent
+

plausibility

Is the testimony believable on its face? Does it make sense?

+ Demeanor
+

Did the person seem to be telling the truth or lying?

+ Motive
+

to falsify

Did the person have a reason to lie?

+ Corroboration
+

Is there witness testimony or physical evidence that corroborates the party's
testimony?

+ Past
+

record

Did the alleged harasser have a history of similar behavior
in the past?
z

The Decision
+ Made

by management

+ Recommendation
+ Inform
+ What

made by investigator

the parties at once

if there are direct contradictions, lack of
documentary or witness corroboration, and inability to
make a credibility determination?
z

The Risks
+ Failure

to investigate will lead to claims by the victims

+ Negligence
+ Doobenen

claims and other suits by the accused

v. Aerojet-General Corp – Failure to interview the

accused

University at Albany – Failure to follow
internal rules and policies

+ Garcia v. State

- "reverse sexual harassment"
Due to unprofessional, hostile and accusatory
investigation

+ Flanagan v. Ashcroft
z

Getting More
Information
z

Prepare, Prepare, Prepare
Know all policies, guidelines, or practices
that apply to the situation
z

Establish a Comfort Level with
Complainant/Witnesses
+ Be

honest

+ Be

professional

+ Introduce
+ Assure
+ You

yourself and your role

prevention of retaliation or reprisal

will limit disclosure to those having a legitimate need to know

+ Ask him/her

to do the same
z

Use Open-Ended Questions
z

Plan the Investigation, But
Don’t Fall in Love with Your Questions
+ Some

answers can require follow-up questions

+ Some

answers can reveal other problems
z

Don’t Accept “Yadda, yadda, yadda”
+ You

may know the steps that lead to the
conclusion, but the witness needs to say them

+ Can

be one of the more difficult aspects of
a statement

+ Try to

avoid, but note if necessary, that
“witness refuses to directly answer question.”
z

Exhaust Narratives + Terms
Actively Listen
z

Use Physical or Documentary
Evidence to Your Advantage
Best for refreshing recollection or questioning
credibility
z

Take Your Time
+ Follow-up

if necessary

+ Circle

back to question issues of credibility

+ Don’t

rely upon a gut feeling
z

Document Everything
+ Take

notes

+ Read

all or part of notes to the witness to
confirm

+ Ask the

witness to talk slower or wait until
you are done writing
z

Potential Pitfalls
+ Becoming
+ Reaching

biased toward a witness or a side

a conclusion too early

+ Problematic

questions: Will I be fired? Will the alleged
wrongdoer be fired? Do I have to talk to you?

+ Confidential
+ Maintain

Complaints still count

Consistency regardless of stature of parties
z

Example of a Solid Investigation
in National News
+ Previous

allegations against the employer for being
incompetent

+ Allegations

that the employer engaged in impermissible

interviews

+ Enterprise
+ Still

has not demonstrated a successful product

managed to complete a textbook investigation
z

Jonathan Martin + Richie Incognito
z

Problem Cases
Mendoza v. Western Medical Center Santa Ana
+ Jury award

of $238k for failure to conduct a good faith investigation

$1Million Dollars for Shoddy Investigation
+ Breach

of contract and defamation relating to expense account
abuse. Attempted whistleblower was ignored, then investigated by
inexperienced and incompetent junior employee

AT&T $5Million Religious Discrimination
+ After

employee converted to Islam, she was called a terrorist, other
derogatory names, and relentlessly teased. She filed
internal complaints, which were not properly
investigated. She was ultimately terminated.
z

Avoid Retaliation
+ Remind
+ HR

everyone of the sensitivities

representatives, supervisors, and managers

+ Advise

everyone that the company will not tolerate any
form of harassment or retaliation against the complainant
and anyone who participated in the investigation

+ Complainant, accused, all
+ Document

interviewed

that you have made the
anti-retaliation statement
z

Thank You!
Jeffrey C. Miller
jmiller@keglerbrown.com
216.586.6651
z
z

Affordable Care Act 201
(The Sophomore Level Course)
presented by Ralph Breitfeller + Tom Sigmund
2014 Managing Labor + Employee Relations Seminar
March 4, 2014
z

Issues Arising in 2014
+ Problems

with HealthCare.gov

+ Insurance

policy cancellations

+ Too

few young people signing up

+ (25%

of 18-34 years olds)

+ Medicaid
+ Need

coverage gap

for a “copper plan”?
z

Future Compliance Dates
2014

• Individual Mandate
• Pre-Existing Conditions
• Annual Limits
• Waiting Periods

2015

• Pay-or-Play for large employers
• Automatic Enrollment
• Non-discrimination Test

2016

• SHOP Exchange
• Pay-or-play for small
employers

2017

• SHOP
Increase

2018

• Cadillac
Tax
z

Delayed Small Employer
Compliance
+ Small

Employer Compliance with pay-to-play

+ Employers
+ Delayed

between 50 and 99 employees

from January 1, 2014 to January 1, 2016
z

Delayed Large Employer
Compliance
+ Pay-or-play for
+ Employers
+ Delayed
+ Phased

large employers

with 100 or more employees

from January 1, 2014 to January 1, 2015

in over time

+ 2015

must cover 70% of full time employees

+ 2016

must cover 95% of full time employees
z

+ Announced

by IRS on February 10, 2014. Found at 79
Fed. Reg. 8544 (2-12-14)

+ First

delay was announced on July 9, 2013, which
delayed compliance from January 1, 2014 to January 1,
2015. (IRS Notice 2013-45)
z

Limited Work Force
(>49 FTEs <100) Transition Relief
+ During

the period February 9, 2014 to December 31,
2014, the employer does not reduce the size of the
workforce or the overall hours of service in order to
satisfy this workforce condition.

+ Employer

cannot eliminate or materially reduce
previously offered health coverage—meaning:
z

Maintain Coverage Means:
+ Employer

continues to offer each employee who is eligible
for coverage during the coverage maintenance period an
employer contribution toward the cost of employee-only
coverage that either:
+ is

at least 95 percent of the dollar amount of the contribution
toward such coverage that the employer was offering on February 9,
2014, or
+ is the same (or a higher) percentage of the cost of coverage that the
employer was offering to contribute toward coverage on February 9,
2014;
z

Maintain Coverage Means:
+ In

the event there is a change in benefits under the
employee-only coverage offered, that coverage provides
minimum value after the change; and

+ The

employer does not alter the terms of its group
health plans to narrow or reduce the class or classes of
employees (or the employees’ dependents) to whom
coverage under those plans was offered on February 9,
2014.
z

Certify Eligibility for Transition
Relief
+ The

employer must certify that the employer satisfies the
three requirements for transition relief.

+ __________________________
+ ALSO, for

non-calendar plan years, relief is available for plan
year beginning in 2015 and for the months that such plan
year extends into 2016

+ HOWEVER, employer

February 9, 2014.

may not alter the plan year after
z

“Relief”
+ No

penalty under Section 4980H(a) (not offering
minimum essential coverage) or Section 4980H(b)
(failing to offer coverage that is affordable and offers at
least minimum value).

+ In

other words, no penalty for not offering coverage and
no penalty for not offering adequate coverage.
z

Limited Transition Relief
+ For

employers with 100 or more FTEs

+ An

employer is deemed to have offered coverage if it is
offered to all but five percent (or five employees if five
employees is more than 5%) of the full-time employees

+ For

each calendar month during 2015 and any calendar
months during the 2015 plan year that fall in 2016, an
applicable large employer member that offers coverage to
at least 70 percent (or that fails to offer to no more than 30
percent) of its full-time employees
z

“Relief”
+ Under

limited transition relief, the qualifying employer
is not subject to a penalty for failing to offer minimum
essential coverage. [4980H(a)].

+ HOWEVER, still

subject to a penalty for failing to offer
affordable, minimum value coverage. [4980H(b)].
z

Offer of Coverage: MEWAs
+ Multiple

Employer Welfare Arrangements

+ An

offer of coverage includes an offer of coverage made
on behalf of an employer

+ This

includes an offer made by a multiemployer or
single employer Taft-Hartley plan or a MEWA to an
employee on behalf of a contributing employer of that
employee
z

Offer of Coverage: Staffing Firms
+ If

the staffing company is not the common law employer of the
employee,

+ Then “an

offer of coverage [made by the staffing firm] is treated
as made on behalf of a client employer only if the fee the client
employer would pay to the staffing firm for an employee enrolled
in health coverage under the plan is higher than the fee the
client employer would pay to the staffing firm for the same
employee if the employee did not enroll in health coverage
under the plan.” 79 Fed. Reg. at 8566.
z

Multiple Employers
Penalty Assessment
+ Each

employer member is liable for its own penalty

+ Each

member is judged on whether the individual
member has offered coverage to the requisite number
of full time employees

+ In

other words, cannot aggregate all members and take
the average for the group
z

Period for Determining Status
+ Did

employer employ an average of at least 50 FTEs on
business days during any consecutive six month period
in 2014?

+ Six month
+ 79

period to be chosen by employer

Fed. Reg. at 8573
z

Offer Coverage
+ Large

employer required to offer coverage to all full
time employees and dependents (however, see
transition relief)

+ Affordable
+ Minimum

Value
z

Employee Classification Issues
+ Common

law employee

+ Does

not include: leased employee; sole proprietor; partner;
2% shareholder of S Corp

+ What

if employer treats service provider as an independent
contractor and the service provider is reclassified as an
employee, and this results in the employer failing to offer
coverage to all full time employees?

+ IRS

and Treasury say, “that is too bad, Employer,
you may be liable under 4980H”
z

Employee Classification Issues
Section 3508 Employees
+ 3508

employees are real estate agents and direct sales
agents

+ They are
+ They do
+ Their

not employees for 4980H purposes
not have to be offered coverage

hours of service are not included when
calculating an employer’s FTEs
z

Must Offer Coverage
+ If

employer fails to offer coverage to a full-time employee
for any day during a calendar month, then employee was
not offered coverage during that calendar month

+ Commenters

said that often coverage begins on the first day
of the first pay period of the plan year
z

Response
+ Solely for

January 2015, if employer offers coverage to a
full time employee no later than the first day of the first
pay period that begins in 2015, the employer will be
deemed to have offered coverage for January 2015. 79
Fed. Reg. at 8573
z

Dependents
+ Dependent

means child of employee, not spouse.

+ Final

regulations exclude foster children and stepchildren for penalty purposes only.

+ Includes
1.
2.
3.

children who:

Are U.S. Citizens;
Are residents of the U.S.; OR,
Are residents of a country contiguous to the U.S.
z

Transition Relief Regarding
Dependents
+ If

employer takes steps in 2015 toward satisfying this
requirement, no penalty for:
1.
2.
3.

Not offering dependent coverage;
Not offering dependent coverage that satisfies the
minimum essential coverage standard; or,
dependent coverage is offered to some but not all.
z

When Transition Relief
Not Available
+ This

dependent transition relief is not available to the
extent that the employer offered dependent coverage
during either plan year 2013 or plan year 2014.

+ In

other words, employer cannot use the transition
relief rules to offer less dependent coverage than the
employer has previously provided.
z

Still Applicable
1.

Minimum essential coverage requirements

2.

Minimum Value

3.

Affordability

4.

Waiting period no longer than 90 days

5.

Method for determining number of employees is
unchanged
z

Self Insurance: A Few Thoughts
z

Not Subject To
1.

ACA Essential benefits requirements

2.

ACA Minimum loss ratio requirements

3.

ACA Requirement to justify premium increase

4.

ACA Excise tax
z

Still Subject To
+ ACA regulations

regarding limitations on annual and
lifetime benefits

+ ACA regulations

regarding appeal rights
z

Any plan that provides accidental health
coverage if “any portion of such coverage is
provided other than through an insurance policy.”
Under this definition, a self-insured health and
welfare benefit plan does not have to self-insure
all of the benefits it covers.
z

+ A self-insured

plan can have stop loss coverage and still
be considered self-insured.
z

+ Section

105(h) of the tax code prohibits self-insured
health plans from discriminating in favor of highly
compensated individuals.

+ This

may be violated if the plan is designed to
encourage low income employees to choose to go to
the health insurance exchange.
z

Automatic Enrollment for
Employees of Large Employers
+ Amends

the Fair Labor Standards Act

+ Generally provides

that an employer that has more than
200 full-time employees and offers employees
enrollment in one or more health plans shall
automatically enroll new full-time employees in one of
the plans offered
z

Notification of Material
Modifications
+ Material

modifications of the terms and coverage of a
plan that are not disclosed in a summary plan
description must be disclosed at least 60 days in
advance before the effective date of the modification
z

Discrimination
+ Prohibition

of discrimination based on pre-existing condition or other
discrimination.
+ Discrimination based on health status. Because self-insured plans are
“group health plans,” they therefore may not have eligibility criteria
based on the following factors:
Health status
+ Medical conditions (either physical or mental)
+ Claims experience
+ Receipt of health care
+ Medical history
+ Genetic information
+ Evidence of insurability (including domestic violence)
+ Disability
+ “Any other health status-related factor.”
+
z

Thank You!
Ralph Breitfeller
rbreitfeller@keglerbrown.com
614.462.5427

Tom Sigmund
tsigmund@keglerbrown.com
614.462.5462
z

Why You Always Picking On Me?
Retaliation Update

presented by Brendan Feheley
2014 Managing Labor + Employee Relations Seminar
March 4, 2014
z

Much ado about nothing…
+ I’ve

heard it all before…

+I

already know not to retaliate against employees…, everyone
knows that… no one does this anymore.

+ Not

so fast my friend…

+ 2013-

EEOC reports 38,539 charges of retaliation
+ 41% of all charges filed
+ Most of any charge for FIFTH YEAR IN A ROW
z

So How Does This Happen?
+ Often
+

times inadvertent

Manager not thinking how this looks objectively

+ Human
+

Especially when initial complaint is untrue

+ Lack
+

Nature

of communication

Supervisor may not know full extent of complaint
z

Decision Time
+ You

offered Sally the chance to transfer, she declined.

+ Harry can’t

be transferred because this is the only area
he knows, and you don’t want to fire him.

+ Thus, the
+ But

two are still working together.

you’ve told Harry he can’t retaliate against Sally
and he has said he understands.
z

The HR Quandary
z

“An eye for an eye makes
the whole world blind.”
Mahatma Gandhi

What you HOPE Harry’s Thinking
z

“Don’t get mad, get even. ”
Robert F. Kennedy

What Harry’s REALLY thinking
z

“Revenge converts a little
right into a great wrong.”
German Proverb

What Harry SHOULD be thinking
z

The Saga Continues
+ Three

weeks later Harry comes to you saying Sally needs fired.

+ He’s

heard you constantly harp on the importance of writing
things down, and even remembers something about a hot stove
(but that never seemed to make sense to him).

+ This

isn’t his first rodeo either, so he’s prepared. He brings you a
file ½ an inch thick of problems he’s had with Sally. ALL of them
in the last three weeks.
z

The Problems Relate To
Sally’s Attendance
Sally’s Motivation
Sally’s Performance Output
z

Now What?
+ Problem???

+ What

if you hadn’t fired Sally?
z

Proving a Retaliation Claim
+ McDonnell
+ Plaintiff
1.
2.
3.
4.

Douglass

has to show 4 things

he engaged in activity protected by Title VII;
this exercise of protected rights was known to the defendant;
the defendant thereafter took adverse employment action
against the plaintiff; and
there was a causal connection between the protected activity
and the adverse employment action.
z

The Proof is in the Pudding
+ If

Plaintiff can show these 4 things then Defendant has to
show legitimate, nondiscriminatory reason for action

+ How

do you do this???

+ Documentation

+ If

is key

Defendant does this then burden shifts back to Plaintiff to
show “that the proffered reason was not the true reason
for the employment decision.”
z

Breaking Down the Prima
Facie Case
z

What is Protected Activity?
+ Opposing

a practice made unlawful by one of the employment
discrimination statutes

+ Filing

a charge, testifying, assisting, or participating in any
manner in an investigation, proceeding, or hearing under the
applicable statute
z

What is Opposing a Practice?
+ Threatening

to file a claim or charge

+ Complaining

to anyone about an act that would be prohibited by
law (usually Title VII but can be NLRA OSHA or others)
+

Can be to co-workers, public, attorney etc… (according to EEOC)

+ Refusing
+ Can
+

to obey an order (if believe it discriminatory)

be explicit or implicit

Need not say “discriminates against … (if can be inferred)
z

Critical Points
+ Opposition

must be reasonable
+ No threats of violence
+ No distributing confidential documents
+ No badgering co-workers

+ Opposition

need not be correct
+ Reasonable good faith belief enough

+ Opposition

of action against co-worker can protect complainer
and co-worker

+ Relatives

can count
z

Participation
+ Pretty simple:

met if individual made a charge, testified,
assisted, or participated in any manner in an
investigation, proceeding, hearing, or litigation.

+ Tips

to remember

+ Doesn’t

matter if claims were valid or not
+ Doesn’t matter if charge was timely or not
+ Spouses, relatives, fiancés count
z

You can only know what you know,
unless you don’t
+ Protected

activity had to be known by Defendant.
z

Adverse Action
+ Same as everything
+ Maybe… Maybe not.

else right?

+ Burlington:
+ Title VII retaliation provision is not limited to actions by employers that
affect the terms, conditions or status of employment or even those acts
that occur at the workplace.
+ Instead, covers those employer actions that would serve to dissuade a
reasonable employee from bringing a charge of discrimination.
+ strongly suggests that it is for a jury to decide whether anything more than
the most petty and trivial actions against an employee should be
considered 'materially adverse'
z

Post-Burlington
+ A fork

in the road

+ Courts: Action

must be “materially adverse” generally meaning
has to cause impact or harm
Demotions and negative changes in job responsibilities
+ Lateral transfers
+ Written reprimand
+ Schedule Change
+
z

Post-Burlington
+ EEOC
+ Court

decisions are too restrictive

+ Surveillance

can be adverse
+ Not inviting to weekly lunch can be adverse
+ Cancelling symposium in employee’s honor
+ Threats
+ Instigation of claims against employee
+ Be

careful about post-termination actions

+ Failure

to rehire
+ Negative recommendation.
z

Proof of Causal Connection
+ Direct

Evidence

+ Rarely happens
+ Better

+ Indirect

not happen to you

Evidence

+ Demonstrated

by evidence that:

+

(1) the adverse action occurred shortly after the protected activity, and

+

(2) the person who undertook the adverse action was aware of the
complainant's protected activity before taking the action.
z

Time is on my side… yes it is
+ Typically when

more than a month passes you’re
beyond “short time after.”

+ However, connection

can still be proved if other

evidence exists:
+ Constant

mention of charge or complaint.
+ Repeated slights or insults to employee between complaint
and action
z

Remember Pretext
+ Employee

has to prove retaliation is but-for cause of

action
+ Motivating

+ Key, like

factor not enough

in any discrimination claim, how did you treat
other employees and what did you write down.
z

Consistent + Contemporaneous
Documentation is Key
+ If
+ If

discipline is heightened after activity… problem

is significantly different than similarly situated employees
receive after activity… problem.
z

Revisiting Harry + Sally
+ What

did Harry do wrong?

+ What

if Sally’s behavior changes because unhappy with
results?
+ Documentation

again key… Document what was going on before
and what is going on now.
+ Objective is better than subjective.
+ Remember claim of discrimination doesn’t permit employee to stop
doing job. Just makes you work harder.
z

Tips
+ Remember
+ Relatives

+ Don’t

going to EEOC first

is your friend

+ Give

+ Don’t

count, spouses count, fiancés count

count on adverse action to save you

+ You’re

+ Time

protected activity is broader than you may think

a man a rope… he’ll learn to hang himself

let supervisor off the hook

+ Failure

after

to document before may be fatal to ability to take action
z

Thank You!
Brendan Feheley
bfeheley@keglerbrown.com
614.462.5482
z

2014 Managing Labor + Employee Relations Seminar

  • 1.
  • 2.
    z The Scorecard for2013 presented by Lawrence Feheley 2014 Managing Labor + Employee Relations Seminar March 4, 2014
  • 3.
    z “Persons attempting tofind a motive in this narrative will be prosecuted; persons attempting to find a moral in it will be banished; persons attempting to find a plot in it will be shot.” + Mark Twain, Adventures Huckleberry Finn of
  • 4.
    z 2013 Was aGood Year + Minimum + Gays Wage Employees and Lesbians in the Workplace + Facebook Complainers + Tattletales + Soldiers + Unpaid Interns
  • 5.
    z 2013 Was aGood Year + Flu-Prone Employees + People Disabled by Weird Conditions + Female Wage Earners + Potheads in the Workplace + Criminals in the Workplace
  • 6.
    z 2013 Was aBad Year + Obamacare + NCAA Football + Non-Union Employers + Technology Haters + Erstwhile Independent Contractors + Employee Handbooks
  • 7.
    z 2013 Had MixedResults + The National Labor Relations Board + Supervisors + The EEOC Criminal Background Guidelines
  • 8.
    z Reasonable Accommodations after theADA Amendments What You Do + Don’t Have to Do presented by Kailee M. Goold 2014 Managing Labor + Employee Relations Seminar March 4, 2014
  • 9.
  • 10.
    z ADAAA Refresher Engaging theEmployee Triggering the Process Choosing Accommodations Final Comments
  • 11.
    z Prohibits Discrimination Failure to engage ininteractive process Failure to provide reasonable accommodations Costly Liability Compensatory + punitive damages Front + back pay, reinstatement attorneys fees
  • 12.
    z a record ofsuch impairment physical or mental impairment that substantially limits a major life activity being regarded as having such an impairment Disability
  • 13.
  • 14.
    z ADAAA Game Changers Majorlife activities Episodic or in remission Temporary conditions Mitigating measures
  • 15.
    z Major Life Activities ConcentratingCaring for Oneself Breathing Eating Communicating LearningSeeing Standing Sleeping Reading Speaking Bending Performing Manual Tasks Lifting Working Thinking Walking
  • 16.
    z Episodic or InRemission + Disability if active it would limit a major life activity when
  • 17.
    z Temporary Conditions May bea disability if it lasts or is expected to last fewer than 6 months
  • 18.
    z Mitigating Measures + You mustconsider how the impairment affects the person before or without the mitigating measure + (except ordinary glasses and contacts)
  • 19.
  • 20.
  • 21.
    z Is this employeedisabled? How can this employee do this job with an accommodation? Shift Your Focus
  • 22.
  • 23.
    z Identify when is theduty is triggered Engage with the employee Choose and maintain a reasonable accommodation
  • 24.
  • 25.
    z Common Mistake Believing whatyou read on the internet
  • 26.
    z No magic words required Can come fromthird parties Employee “Requests” Don’t have to ask for anything
  • 27.
  • 28.
  • 29.
  • 30.
    z Common Mistake Failure todocument, document, document
  • 31.
  • 32.
    z “I may needmore time off.” Employee at end of FMLA Leave
  • 33.
    z “My wife isin the hospital. She won’t be in for awhile.” Spouse calls in
  • 34.
    z “It’s been hardto show up on time since my divorce – I’m really upset.”
  • 35.
  • 36.
    z Identify when is theduty is triggered Engage with the employee Choose and maintain a reasonable accommodation
  • 37.
    The Interactive Process z Informaldialogue to figure out if you can accommodate the employee Closely scrutinized
  • 38.
    z How can Ihelp you do your job?
  • 39.
    z Three Questions What arethe essential functions of this job? What is the impairment? What are the specific limitations?
  • 40.
    z Common Mistake Unclear essentialfunctions Job Description Employee Agrees
  • 41.
    z Three Questions What arethe essential functions of this job? What is the impairment? What are the specific limitations?
  • 42.
  • 43.
  • 44.
  • 45.
    z Identify when is theduty is triggered Engage with the employee Choose and maintain a reasonable accommodation
  • 46.
    z Accommodation = Change Makefacilities accessible Restructure non-essential functions Acquire + modify equipment Modify schedules Modify policies Leave
  • 47.
  • 48.
    z NOT Reasonable: • Eliminatingessential functions • Creating a job • Bumping • Indefinite leave
  • 49.
  • 50.
  • 51.
  • 52.
    z What about ourleave policy? Have one and be flexible.
  • 53.
  • 54.
  • 55.
  • 56.
  • 57.
    z To Do List Reviewaccommodation policy Review job descriptions Script for inquiries Train supervisors
  • 58.
    z Stay Informed Kailee M.Goold kgoold@keglerbrown.com 614.462.5479 keglerbrown.com/goold @kaileemgoold linkedin.com/in/kaileemgoold
  • 59.
    z Conducting a Proper Investigation presentedby Jeffrey C. Miller 2014 Managing Labor + Employee Relations Seminar March 4, 2014
  • 60.
  • 61.
    z Initial Considerations ofan Investigation + Is it necessary? + Immediate + Interim + Who Measures is the investigator?
  • 62.
    z Basics of Conductingan Investigation The Complainant The Alleged Harasser The Witnesses
  • 63.
  • 64.
    z Credibility Assessment Factors +Inherent + plausibility Is the testimony believable on its face? Does it make sense? + Demeanor + Did the person seem to be telling the truth or lying? + Motive + to falsify Did the person have a reason to lie? + Corroboration + Is there witness testimony or physical evidence that corroborates the party's testimony? + Past + record Did the alleged harasser have a history of similar behavior in the past?
  • 65.
    z The Decision + Made bymanagement + Recommendation + Inform + What made by investigator the parties at once if there are direct contradictions, lack of documentary or witness corroboration, and inability to make a credibility determination?
  • 66.
    z The Risks + Failure toinvestigate will lead to claims by the victims + Negligence + Doobenen claims and other suits by the accused v. Aerojet-General Corp – Failure to interview the accused University at Albany – Failure to follow internal rules and policies + Garcia v. State - "reverse sexual harassment" Due to unprofessional, hostile and accusatory investigation + Flanagan v. Ashcroft
  • 67.
  • 68.
    z Prepare, Prepare, Prepare Knowall policies, guidelines, or practices that apply to the situation
  • 69.
    z Establish a ComfortLevel with Complainant/Witnesses + Be honest + Be professional + Introduce + Assure + You yourself and your role prevention of retaliation or reprisal will limit disclosure to those having a legitimate need to know + Ask him/her to do the same
  • 70.
  • 71.
    z Plan the Investigation,But Don’t Fall in Love with Your Questions + Some answers can require follow-up questions + Some answers can reveal other problems
  • 72.
    z Don’t Accept “Yadda,yadda, yadda” + You may know the steps that lead to the conclusion, but the witness needs to say them + Can be one of the more difficult aspects of a statement + Try to avoid, but note if necessary, that “witness refuses to directly answer question.”
  • 73.
    z Exhaust Narratives +Terms Actively Listen
  • 74.
    z Use Physical orDocumentary Evidence to Your Advantage Best for refreshing recollection or questioning credibility
  • 75.
    z Take Your Time +Follow-up if necessary + Circle back to question issues of credibility + Don’t rely upon a gut feeling
  • 76.
    z Document Everything + Take notes +Read all or part of notes to the witness to confirm + Ask the witness to talk slower or wait until you are done writing
  • 77.
    z Potential Pitfalls + Becoming +Reaching biased toward a witness or a side a conclusion too early + Problematic questions: Will I be fired? Will the alleged wrongdoer be fired? Do I have to talk to you? + Confidential + Maintain Complaints still count Consistency regardless of stature of parties
  • 78.
    z Example of aSolid Investigation in National News + Previous allegations against the employer for being incompetent + Allegations that the employer engaged in impermissible interviews + Enterprise + Still has not demonstrated a successful product managed to complete a textbook investigation
  • 79.
    z Jonathan Martin +Richie Incognito
  • 80.
    z Problem Cases Mendoza v.Western Medical Center Santa Ana + Jury award of $238k for failure to conduct a good faith investigation $1Million Dollars for Shoddy Investigation + Breach of contract and defamation relating to expense account abuse. Attempted whistleblower was ignored, then investigated by inexperienced and incompetent junior employee AT&T $5Million Religious Discrimination + After employee converted to Islam, she was called a terrorist, other derogatory names, and relentlessly teased. She filed internal complaints, which were not properly investigated. She was ultimately terminated.
  • 81.
    z Avoid Retaliation + Remind +HR everyone of the sensitivities representatives, supervisors, and managers + Advise everyone that the company will not tolerate any form of harassment or retaliation against the complainant and anyone who participated in the investigation + Complainant, accused, all + Document interviewed that you have made the anti-retaliation statement
  • 82.
    z Thank You! Jeffrey C.Miller jmiller@keglerbrown.com 216.586.6651
  • 83.
  • 84.
    z Affordable Care Act201 (The Sophomore Level Course) presented by Ralph Breitfeller + Tom Sigmund 2014 Managing Labor + Employee Relations Seminar March 4, 2014
  • 85.
    z Issues Arising in2014 + Problems with HealthCare.gov + Insurance policy cancellations + Too few young people signing up + (25% of 18-34 years olds) + Medicaid + Need coverage gap for a “copper plan”?
  • 86.
    z Future Compliance Dates 2014 •Individual Mandate • Pre-Existing Conditions • Annual Limits • Waiting Periods 2015 • Pay-or-Play for large employers • Automatic Enrollment • Non-discrimination Test 2016 • SHOP Exchange • Pay-or-play for small employers 2017 • SHOP Increase 2018 • Cadillac Tax
  • 87.
    z Delayed Small Employer Compliance +Small Employer Compliance with pay-to-play + Employers + Delayed between 50 and 99 employees from January 1, 2014 to January 1, 2016
  • 88.
    z Delayed Large Employer Compliance +Pay-or-play for + Employers + Delayed + Phased large employers with 100 or more employees from January 1, 2014 to January 1, 2015 in over time + 2015 must cover 70% of full time employees + 2016 must cover 95% of full time employees
  • 89.
    z + Announced by IRSon February 10, 2014. Found at 79 Fed. Reg. 8544 (2-12-14) + First delay was announced on July 9, 2013, which delayed compliance from January 1, 2014 to January 1, 2015. (IRS Notice 2013-45)
  • 90.
    z Limited Work Force (>49FTEs <100) Transition Relief + During the period February 9, 2014 to December 31, 2014, the employer does not reduce the size of the workforce or the overall hours of service in order to satisfy this workforce condition. + Employer cannot eliminate or materially reduce previously offered health coverage—meaning:
  • 91.
    z Maintain Coverage Means: +Employer continues to offer each employee who is eligible for coverage during the coverage maintenance period an employer contribution toward the cost of employee-only coverage that either: + is at least 95 percent of the dollar amount of the contribution toward such coverage that the employer was offering on February 9, 2014, or + is the same (or a higher) percentage of the cost of coverage that the employer was offering to contribute toward coverage on February 9, 2014;
  • 92.
    z Maintain Coverage Means: +In the event there is a change in benefits under the employee-only coverage offered, that coverage provides minimum value after the change; and + The employer does not alter the terms of its group health plans to narrow or reduce the class or classes of employees (or the employees’ dependents) to whom coverage under those plans was offered on February 9, 2014.
  • 93.
    z Certify Eligibility forTransition Relief + The employer must certify that the employer satisfies the three requirements for transition relief. + __________________________ + ALSO, for non-calendar plan years, relief is available for plan year beginning in 2015 and for the months that such plan year extends into 2016 + HOWEVER, employer February 9, 2014. may not alter the plan year after
  • 94.
    z “Relief” + No penalty underSection 4980H(a) (not offering minimum essential coverage) or Section 4980H(b) (failing to offer coverage that is affordable and offers at least minimum value). + In other words, no penalty for not offering coverage and no penalty for not offering adequate coverage.
  • 95.
    z Limited Transition Relief +For employers with 100 or more FTEs + An employer is deemed to have offered coverage if it is offered to all but five percent (or five employees if five employees is more than 5%) of the full-time employees + For each calendar month during 2015 and any calendar months during the 2015 plan year that fall in 2016, an applicable large employer member that offers coverage to at least 70 percent (or that fails to offer to no more than 30 percent) of its full-time employees
  • 96.
    z “Relief” + Under limited transitionrelief, the qualifying employer is not subject to a penalty for failing to offer minimum essential coverage. [4980H(a)]. + HOWEVER, still subject to a penalty for failing to offer affordable, minimum value coverage. [4980H(b)].
  • 97.
    z Offer of Coverage:MEWAs + Multiple Employer Welfare Arrangements + An offer of coverage includes an offer of coverage made on behalf of an employer + This includes an offer made by a multiemployer or single employer Taft-Hartley plan or a MEWA to an employee on behalf of a contributing employer of that employee
  • 98.
    z Offer of Coverage:Staffing Firms + If the staffing company is not the common law employer of the employee, + Then “an offer of coverage [made by the staffing firm] is treated as made on behalf of a client employer only if the fee the client employer would pay to the staffing firm for an employee enrolled in health coverage under the plan is higher than the fee the client employer would pay to the staffing firm for the same employee if the employee did not enroll in health coverage under the plan.” 79 Fed. Reg. at 8566.
  • 99.
    z Multiple Employers Penalty Assessment +Each employer member is liable for its own penalty + Each member is judged on whether the individual member has offered coverage to the requisite number of full time employees + In other words, cannot aggregate all members and take the average for the group
  • 100.
    z Period for DeterminingStatus + Did employer employ an average of at least 50 FTEs on business days during any consecutive six month period in 2014? + Six month + 79 period to be chosen by employer Fed. Reg. at 8573
  • 101.
    z Offer Coverage + Large employerrequired to offer coverage to all full time employees and dependents (however, see transition relief) + Affordable + Minimum Value
  • 102.
    z Employee Classification Issues +Common law employee + Does not include: leased employee; sole proprietor; partner; 2% shareholder of S Corp + What if employer treats service provider as an independent contractor and the service provider is reclassified as an employee, and this results in the employer failing to offer coverage to all full time employees? + IRS and Treasury say, “that is too bad, Employer, you may be liable under 4980H”
  • 103.
    z Employee Classification Issues Section3508 Employees + 3508 employees are real estate agents and direct sales agents + They are + They do + Their not employees for 4980H purposes not have to be offered coverage hours of service are not included when calculating an employer’s FTEs
  • 104.
    z Must Offer Coverage +If employer fails to offer coverage to a full-time employee for any day during a calendar month, then employee was not offered coverage during that calendar month + Commenters said that often coverage begins on the first day of the first pay period of the plan year
  • 105.
    z Response + Solely for January2015, if employer offers coverage to a full time employee no later than the first day of the first pay period that begins in 2015, the employer will be deemed to have offered coverage for January 2015. 79 Fed. Reg. at 8573
  • 106.
    z Dependents + Dependent means childof employee, not spouse. + Final regulations exclude foster children and stepchildren for penalty purposes only. + Includes 1. 2. 3. children who: Are U.S. Citizens; Are residents of the U.S.; OR, Are residents of a country contiguous to the U.S.
  • 107.
    z Transition Relief Regarding Dependents +If employer takes steps in 2015 toward satisfying this requirement, no penalty for: 1. 2. 3. Not offering dependent coverage; Not offering dependent coverage that satisfies the minimum essential coverage standard; or, dependent coverage is offered to some but not all.
  • 108.
    z When Transition Relief NotAvailable + This dependent transition relief is not available to the extent that the employer offered dependent coverage during either plan year 2013 or plan year 2014. + In other words, employer cannot use the transition relief rules to offer less dependent coverage than the employer has previously provided.
  • 109.
    z Still Applicable 1. Minimum essentialcoverage requirements 2. Minimum Value 3. Affordability 4. Waiting period no longer than 90 days 5. Method for determining number of employees is unchanged
  • 110.
    z Self Insurance: AFew Thoughts
  • 111.
    z Not Subject To 1. ACAEssential benefits requirements 2. ACA Minimum loss ratio requirements 3. ACA Requirement to justify premium increase 4. ACA Excise tax
  • 112.
    z Still Subject To +ACA regulations regarding limitations on annual and lifetime benefits + ACA regulations regarding appeal rights
  • 113.
    z Any plan thatprovides accidental health coverage if “any portion of such coverage is provided other than through an insurance policy.” Under this definition, a self-insured health and welfare benefit plan does not have to self-insure all of the benefits it covers.
  • 114.
    z + A self-insured plancan have stop loss coverage and still be considered self-insured.
  • 115.
    z + Section 105(h) ofthe tax code prohibits self-insured health plans from discriminating in favor of highly compensated individuals. + This may be violated if the plan is designed to encourage low income employees to choose to go to the health insurance exchange.
  • 116.
    z Automatic Enrollment for Employeesof Large Employers + Amends the Fair Labor Standards Act + Generally provides that an employer that has more than 200 full-time employees and offers employees enrollment in one or more health plans shall automatically enroll new full-time employees in one of the plans offered
  • 117.
    z Notification of Material Modifications +Material modifications of the terms and coverage of a plan that are not disclosed in a summary plan description must be disclosed at least 60 days in advance before the effective date of the modification
  • 118.
    z Discrimination + Prohibition of discriminationbased on pre-existing condition or other discrimination. + Discrimination based on health status. Because self-insured plans are “group health plans,” they therefore may not have eligibility criteria based on the following factors: Health status + Medical conditions (either physical or mental) + Claims experience + Receipt of health care + Medical history + Genetic information + Evidence of insurability (including domestic violence) + Disability + “Any other health status-related factor.” +
  • 119.
  • 120.
    z Why You AlwaysPicking On Me? Retaliation Update presented by Brendan Feheley 2014 Managing Labor + Employee Relations Seminar March 4, 2014
  • 121.
    z Much ado aboutnothing… + I’ve heard it all before… +I already know not to retaliate against employees…, everyone knows that… no one does this anymore. + Not so fast my friend… + 2013- EEOC reports 38,539 charges of retaliation + 41% of all charges filed + Most of any charge for FIFTH YEAR IN A ROW
  • 122.
    z So How DoesThis Happen? + Often + times inadvertent Manager not thinking how this looks objectively + Human + Especially when initial complaint is untrue + Lack + Nature of communication Supervisor may not know full extent of complaint
  • 123.
    z Decision Time + You offeredSally the chance to transfer, she declined. + Harry can’t be transferred because this is the only area he knows, and you don’t want to fire him. + Thus, the + But two are still working together. you’ve told Harry he can’t retaliate against Sally and he has said he understands.
  • 124.
  • 125.
    z “An eye foran eye makes the whole world blind.” Mahatma Gandhi What you HOPE Harry’s Thinking
  • 126.
    z “Don’t get mad,get even. ” Robert F. Kennedy What Harry’s REALLY thinking
  • 127.
    z “Revenge converts alittle right into a great wrong.” German Proverb What Harry SHOULD be thinking
  • 128.
    z The Saga Continues +Three weeks later Harry comes to you saying Sally needs fired. + He’s heard you constantly harp on the importance of writing things down, and even remembers something about a hot stove (but that never seemed to make sense to him). + This isn’t his first rodeo either, so he’s prepared. He brings you a file ½ an inch thick of problems he’s had with Sally. ALL of them in the last three weeks.
  • 129.
    z The Problems RelateTo Sally’s Attendance Sally’s Motivation Sally’s Performance Output
  • 130.
    z Now What? + Problem??? +What if you hadn’t fired Sally?
  • 131.
    z Proving a RetaliationClaim + McDonnell + Plaintiff 1. 2. 3. 4. Douglass has to show 4 things he engaged in activity protected by Title VII; this exercise of protected rights was known to the defendant; the defendant thereafter took adverse employment action against the plaintiff; and there was a causal connection between the protected activity and the adverse employment action.
  • 132.
    z The Proof isin the Pudding + If Plaintiff can show these 4 things then Defendant has to show legitimate, nondiscriminatory reason for action + How do you do this??? + Documentation + If is key Defendant does this then burden shifts back to Plaintiff to show “that the proffered reason was not the true reason for the employment decision.”
  • 133.
    z Breaking Down thePrima Facie Case
  • 134.
    z What is ProtectedActivity? + Opposing a practice made unlawful by one of the employment discrimination statutes + Filing a charge, testifying, assisting, or participating in any manner in an investigation, proceeding, or hearing under the applicable statute
  • 135.
    z What is Opposinga Practice? + Threatening to file a claim or charge + Complaining to anyone about an act that would be prohibited by law (usually Title VII but can be NLRA OSHA or others) + Can be to co-workers, public, attorney etc… (according to EEOC) + Refusing + Can + to obey an order (if believe it discriminatory) be explicit or implicit Need not say “discriminates against … (if can be inferred)
  • 136.
    z Critical Points + Opposition mustbe reasonable + No threats of violence + No distributing confidential documents + No badgering co-workers + Opposition need not be correct + Reasonable good faith belief enough + Opposition of action against co-worker can protect complainer and co-worker + Relatives can count
  • 137.
    z Participation + Pretty simple: metif individual made a charge, testified, assisted, or participated in any manner in an investigation, proceeding, hearing, or litigation. + Tips to remember + Doesn’t matter if claims were valid or not + Doesn’t matter if charge was timely or not + Spouses, relatives, fiancés count
  • 138.
    z You can onlyknow what you know, unless you don’t + Protected activity had to be known by Defendant.
  • 139.
    z Adverse Action + Sameas everything + Maybe… Maybe not. else right? + Burlington: + Title VII retaliation provision is not limited to actions by employers that affect the terms, conditions or status of employment or even those acts that occur at the workplace. + Instead, covers those employer actions that would serve to dissuade a reasonable employee from bringing a charge of discrimination. + strongly suggests that it is for a jury to decide whether anything more than the most petty and trivial actions against an employee should be considered 'materially adverse'
  • 140.
    z Post-Burlington + A fork inthe road + Courts: Action must be “materially adverse” generally meaning has to cause impact or harm Demotions and negative changes in job responsibilities + Lateral transfers + Written reprimand + Schedule Change +
  • 141.
    z Post-Burlington + EEOC + Court decisionsare too restrictive + Surveillance can be adverse + Not inviting to weekly lunch can be adverse + Cancelling symposium in employee’s honor + Threats + Instigation of claims against employee + Be careful about post-termination actions + Failure to rehire + Negative recommendation.
  • 142.
    z Proof of CausalConnection + Direct Evidence + Rarely happens + Better + Indirect not happen to you Evidence + Demonstrated by evidence that: + (1) the adverse action occurred shortly after the protected activity, and + (2) the person who undertook the adverse action was aware of the complainant's protected activity before taking the action.
  • 143.
    z Time is onmy side… yes it is + Typically when more than a month passes you’re beyond “short time after.” + However, connection can still be proved if other evidence exists: + Constant mention of charge or complaint. + Repeated slights or insults to employee between complaint and action
  • 144.
    z Remember Pretext + Employee hasto prove retaliation is but-for cause of action + Motivating + Key, like factor not enough in any discrimination claim, how did you treat other employees and what did you write down.
  • 145.
    z Consistent + Contemporaneous Documentationis Key + If + If discipline is heightened after activity… problem is significantly different than similarly situated employees receive after activity… problem.
  • 146.
    z Revisiting Harry +Sally + What did Harry do wrong? + What if Sally’s behavior changes because unhappy with results? + Documentation again key… Document what was going on before and what is going on now. + Objective is better than subjective. + Remember claim of discrimination doesn’t permit employee to stop doing job. Just makes you work harder.
  • 147.
    z Tips + Remember + Relatives +Don’t going to EEOC first is your friend + Give + Don’t count, spouses count, fiancés count count on adverse action to save you + You’re + Time protected activity is broader than you may think a man a rope… he’ll learn to hang himself let supervisor off the hook + Failure after to document before may be fatal to ability to take action
  • 148.
  • 149.