California Employment Law Update

Category Archives: Supreme Court

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Employer Must Prove “Substantial Increased Costs” Would Result From Religious Accommodation

Groff v. DeJoy, 600 U.S. ___, 143 S. Ct. 2279 (2023) Gerald Groff, an Evangelical Christian, took a mail delivery job with the USPS at a time when postal service employees were was not required to work on Sundays.  However, when the USPS began facilitating Sunday deliveries for Amazon, he was called upon to work … Continue Reading

Enforcement of PAGA Carve Out Suggests Need For New Revisions To Arbitration Agreements

Duran v. EmployBridge Holding Co., 92 Cal. App. 5th 59 (2023) In 2014, the California Supreme Court determined that Private Attorneys General Act (“PAGA”) claims are immune from arbitration in Iskanian v. CLS Transp. Los Angeles, LLC – which, unsurprisingly, led to an avalanche of PAGA claims being filed as plaintiffs’ lawyers scrambled to make their cases … Continue Reading

The Fate of PAGA Representative Action Waivers in Arbitration Agreements will be Decided by August

As we reported (here), on June 15, 2022, a near unanimous U.S. Supreme Court held that the Federal Arbitration Act (“FAA”) preempted the California Supreme Court’s controversial decision in Iskanian v. CLS Transportation Los Angeles, LLC, 59 Cal. 4th 348 (2014), which held that actions brought under the California Labor Code Private Attorneys General Act (“PAGA”) … Continue Reading

Do California’s New Restrictions on Independent Contractors Apply Retroactively?

On May 1, we reported on the California Supreme Court’s opinion in Dynamex Operations West, Inc. v. Superior Court, in which the Supreme Court set forth the standard for determining if a worker may properly be classified as an employee or independent contractor. See  Cal. Employment Law Blog (May 1, 2018). An issue that the Court … Continue Reading

Supreme Court Bars Mandatory Union Dues For Public Employees

In a highly anticipated decision, the United States Supreme Court today held that it is a violation of the First Amendment to require public sector employees who are not members of a union to pay any union dues, even when a portion of those dues is attributable to the costs of collective bargaining on behalf … Continue Reading

California Rejects Federal Rule For Calculating Overtime Rate For Employees Who Earn Flat Sum Bonus

Alvarado v. Dart Container Corp. of Cal., 2018 WL 1146645 (Cal. S. Ct. 2018) Hector Alvarado, who worked as a warehouse associate for Dart, is a member of a putative class of employees who, in addition to their normal hourly wages, received a $15 per day attendance bonus if they were scheduled to work on … Continue Reading

Statute Of Limitations For State Law Claims Was Suspended While Case Was Pending In Federal Court

Artis v. District of Columbia, 583 U.S. ___, 138 S. Ct. 594 (2018) Stephanie Artis filed a Title VII employment discrimination case against her employer, the District of Columbia, which was eventually dismissed on summary judgment by the district court; the district court declined to exercise supplemental jurisdiction over the remaining state-law claims that were … Continue Reading

$6.3 Million Attorney’s Fees Award (1/3 Of Total Recovery) Was Reasonable In Class Action Settlement

Laffitte v. Robert Half Int’l Inc., 1 Cal. 5th 480 (2016) An objecting class member in a wage and hour lawsuit challenged the trial court’s award of an attorney’s fee calculated as a percentage (one-third) of the overall settlement amount of $19 million. The objector asserted that pursuant to Serrano v. Priest, 20 Cal. 3d … Continue Reading

Prompt Final Pay Provisions Of California Labor Code Apply To Retiring Employees

McLean v. State of Cal., 2016 WL 4395672 (Cal. S. Ct. 2016) Janis McLean, a retired deputy attorney general, filed suit against the State of California on behalf of herself and a class of former state employees who, having resigned or retired, did not receive their final wages within the time period set forth in … Continue Reading

Auto Dealership Service Advisors May Be Exempt From Federal Overtime Requirements

Encino Motorcars, LLC v. Navarro, 579 U.S. ___, 2016 WL 3369424 (2016) An amendment to the Fair Labor Standards Act (“FLSA”) exempts from its overtime requirements “any salesman, partsman, or mechanic primarily engaged in selling or servicing automobiles, trucks, or farm implements.” Later, the U.S. Department of Labor (“DOL”) issued an opinion letter and amended … Continue Reading

Statute Of Limitations For Constructive Discharge Claim Began To Run After Employee’s Resignation Date

Green v. Brennan, 578 U.S. ___, 136 S. Ct. 1769 (2016) Marvin Green alleged racial discrimination under Title VII of the Civil Rights Act, claiming he was denied a promotion because he is black; his supervisors had accused Green of the crime of intentionally delaying the mail. In an agreement between the parties dated December … Continue Reading

Outside Counsel’s Investigation Of Sexual Harassment Was Privileged

City of Petaluma v. Superior Court, 2016 WL 3342543 (Cal. Ct. App. 2016) Andrea Waters, who worked as a firefighter and paramedic for the City of Petaluma, alleged she was harassed and discriminated against based upon her sex. Waters also claimed she suffered retaliation after she complained about the treatment. Waters took a leave of … Continue Reading

Employees Are Entitled To Suitable Seating If The Tasks Being Performed Reasonably Permit Seating

Kilby v. CVS Pharmacy, Inc., 63 Cal. 4th 1 (2016) In this opinion, the California Supreme Court answered three questions posed to it by the United States Court of Appeals for the Ninth Circuit involving suitable seating requirements under California law. Section 14(A) of California Wage Order No. 7-2001 states that “All working employees shall … Continue Reading

Supreme Court Affirms $2.9 Million Class Action Judgment Based On Expert’s Study Of Time Spent On Donning And Doffing Activities

Tyson Foods, Inc. v. Bouaphakeo, 577 U.S. ___, 136 S. Ct. 1036 (2016) Following a jury trial, the employees in this class/collective action recovered $2.9 million in compensatory damages for violation of the Fair Labor Standards Act (“FLSA”). The employees alleged that they did not receive statutorily mandated overtime pay for the time they spent … Continue Reading

Federal Air Marshal Could Proceed With Whistleblower Lawsuit

Dep’t of Homeland Sec. v. MacLean, 574 U.S. ___, 135 S. Ct. 913 (2015) Robert J. MacLean became a federal air marshal for the TSA in 2001. In that role, MacLean was assigned to protect passenger flights from potential hijackings. In July 2003, the Department of Homeland Security issued a confidential advisory about a potential hijacking … Continue Reading

PAGA Claims and Arbitration – A Federal Court Parts Ways With Iskanian

The California Supreme Court’s decision in Iskanian v. CLS Transp. Los Angeles, LLC, (discussed here), held that class action waivers in arbitration agreements are enforceable under the Federal Arbitration Act (FAA) except as to claims that were made pursuant to the Private Attorneys General Act (PAGA). PAGA allows aggrieved employees to represent other current and … Continue Reading

U.S. Supreme Court Emphasizes Importance of Common Issues in Class Actions

Over the past two weeks, the United States Supreme Court has repeatedly underscored the importance of having common questions that are susceptible to common answers in cases where plaintiffs are seeking class certification. Most recently, the Court clarified that this requirement, which has now been considered in both antitrust and employment cases, applies with respect … Continue Reading

Teacher/Minister’s Disability Discrimination Claim Is Barred By The First Amendment

Hosanna-Tabor Evangelical Lutheran Church & School v. EEOC, 565 U.S. ___, 132 S. Ct. 680 (2012) Cheryl Perich was a “called” teacher for the church and also had the formal title of “Minister of Religion, Commissioned.” After Perich developed narcolepsy, the church replaced her with a lay teacher and eventually terminated her employment for “insubordination … Continue Reading

False Claims Act Lawsuit Was Barred By Public Disclosure Of Records

Schindler Elevator Corp. v. United States ex rel. Kirk, 563 U.S. ___, 131 S. Ct. 1885 (2011) Daniel Kirk, a former employee of Schindler Elevator Corporation, filed this lawsuit under the False Claims Act (“FCA”), alleging Schindler had submitted false or fraudulent claims for payment to the United States. Kirk alleged the company had falsely … Continue Reading

Arizona Law Requiring Use Of E-Verify Is Upheld

Chamber of Commerce v. Whiting, 563 U.S. ___, 131 S. Ct. 1968 (2011) In 1996, Congress created E-Verify, which is “an internet-based system that allows an employer to verify an employee’s work-authorization status.” In 2007, Arizona enacted the Legal Arizona Workers Act, which allows Arizona to suspend or revoke the licenses necessary to do business … Continue Reading
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