Young v. United Parcel Service, Inc. March 25, 2015

Transcription

1 Supreme Court Review of Employment Law Decisions: Mixture of Good and Bad News for Employers Anne C. Martin Young v. United Parcel Service, Inc. March 25, 2015 Pregnancy Discrimination Act ( PDA ) Facts: Pregnant employee with weight lifting restriction Employer with light duty program for other employees Those who became disabled at work Those who lost DOT certifications Those who were disabled pursuant to the ADA 1

2 Issue for the Court: Whether an employer s policy that threats pregnant workers less favorably than nonpregnant works similar in their ability or inability to work constitutes intentional pregnancy discrimination? Applicable PDA Provision 42 U.S.C. 2000e(k): Women affected by pregnancy, childbirth, or related medical conditions shall be treated the same for all employment-related purposes as other persons not so affected but similar in their ability or inability to work Plaintiff s Argument: Employers must provide the same accommodations to workplace disabilities caused by pregnancy that it provides to workplace disabilities that have other causes but have a similar effect on the ability to work (e.g. light duty programs have to apply to all) 2

3 Rejected Plaintiff requesting most favored nation status without consideration of other factors like seniority Court Also Rejected Similar EEOC Guideline Promulgated after Court took case Inconsistent with prior guidelines No basis given for guideline Court: Employers can implement policies that are not intended to harm pregnant employees, even if their implementation may, as long as there is a legitimate, nondiscriminatory, nonpretextual reason for the policy. 3

4 Employee Initial Case of Discrimination Can get over initial hurdle by showing the employer did not accommodate her, and that the employer did accommodate others `similar in their ability or inability to work. Employer Response -- Legitimate, nondiscriminatory policy Employee Response Policy poses a significant burden on pregnant workers and employer without sufficiently strong reasons to justify burden In a nutshell: Employees more likely to get past summary judgment if there is a light duty program for some, but not all, disabled workers with similar disabilities 4

5 Important Note: Pre-ADAAA case Court specifically declined to comment on how ADAAA would have affected outcome ADAAA creates obligation to accommodate pregnancy-related conditions that meet definition of disability Lessons/Thoughts: Consider making light-duty programs available to similarly situated pregnant workers Publish new/revised policy Train managers and supervisors accordingly Have a reasonable and consistent process for handling accommodation requests Equal Employment Opportunity Commission v. Abercrombie & Fitch Stores, Inc. June 1,

6 Title VII Religious Discrimination Facts: Muslim applicant wears headscarf because of religion Applicant did not tell employer that but employer assumed religious purpose Employer has Look Policy prohibiting caps as too informal Employer refused to make exception for headwear for religious purposes Issue for the Court: Whether the prohibition from refusing to hire someone to avoid accommodating a religious practice applies when the applicant has not requested an accommodation? Title VII 42 U.SC. 2000e-2(a): Illegal to fail or refuse to hire or to discharge any individual, or otherwise to discriminate against any individual with respect to his compensation, terms, conditions, or privileges of employment, because of such individual s race, color, religion, sex, or national origin. 6

7 Court s ruling: Actual knowledge of need for an accommodation not required Plaintiff only must show the need for an accommodation was a motivating factor in decision Contrast with the ADA which applies to known disabilities Court s ruling (cont.): Request for accommodation not required, although easier to infer motive if request was made Neutrality of policy not sufficient defense for employer Lessons/Thoughts: Do not tell your hiring managers to start quizzing applicants about their religions that will create a whole other set of problems! Do publicize job requirements and workplace policies to applicants so as to trigger the likelihood of them introducing the subject of accommodation if necessary 7

8 Lessons/Thoughts (cont): If an accommodation is requested, engage in the interactive process as you would in an ADA situation Have language in your policy instructing employees to request an accommodation if complying with the policy will violate their religion or other protected rights Include undue hardship language Integrity Staffing Solutions, Inc. v. Busk, December 9, 2014 FLSA Wage and Hour Issue Facts: Warehouse workers required to go through 25 minute security screening when leaving work Claimed as compensable time Claimed employer could have reduced time to a de minimis amount with different processes 8

9 Issue for the Court: Whether the postshift screening was compensable as work time? Fair Labor Standards Act ( FLSA ) 29 U.S.C. 254(a): Compensable work does not include (1) walking, riding, or traveling to and from the actual place of performance of the principal activity or activities which such employee is employed to perform, and (2) activities which are preliminary to or postliminary to said principal activity or activities. Examples of compensable time: Showering to remove toxic chemicals from work Sharpening/preparing equipment and materials 9

10 Examples of noncompensable time: Wait time to don protective gear two steps removed from productive activity Checking in/checking out Changing clothes Washing/showering Waiting in line to receive paycheck Court s Ruling: Security screenings not integral and indispensable to duties as warehouse workers Not integral and indispensable unless an intrinsic element of those activities and one cannot dispense if not performing those duties Could have eliminated screenings without impairing ability to do jobs Court s Ruling (cont.): Does not matter that employer requires the activity Does not matter that employer could reduce time with different processes (such as staggered shift change times or more screeners) Consistent with 2014 decision in Sandifer v. US Steel that changing clothes is not compensable 10

11 Lessons/Thoughts: Continue to beware of working off the clock Cleaning up after finishing shift Prepping station/work area pre-shift Pre and post-shift safety checks Donning and doffing some equipment or protective gear may be compensable (versus clothes ) M&G Polymers USA, LLC v. Tackett, January 26, 2015 ERISA/Collective Bargaining Agreement Facts: Three year collective bargaining agreement provided for retiree medical benefits without retiree contribution for the duration of the Agreement Employer changes policy to require retiree contribution six years later Retirees argued vested in benefit 11

12 Issue for the Court: Whether interpreting collective bargaining agreements to assume intentions by participants/retirees control is an appropriate analysis? ERISA Allows employers large leeway to design disability and other welfare plans as they see fit. Welfare benefit plans established and maintained pursuant to a written instrument Court s Ruling: Cannot make inferences about retirees intentions to weigh in favor of assuming lifetime benefits available Use typical contract interpretation rules, including plain language of the agreement that was clearly the subject of a negotiation 12

13 Lessons/Thoughts: Provides certainty about how collective bargaining agreements will be interpreted regarding retiree medical benefits Inclusion of general durational clauses important Mach Mining, LLC v. Equal Employment Opportunity Commission, April 29, 2015 EEOC Title VII Obligations Facts EEOC had charge against employer Mandatory conciliation process Sent letter saying finding and promising contact to commence dispute resolution After no activity year later sent letter saying process failed EEOC sued employer claiming met all pre-conditions for lawsuit 13

14 Issue for Court: Whether it review whether EEOC satisfied its statutory obligation to attempt conciliation before filing suit? Title VII Obligations on EEOC 42 U.S.C. 2000e-5(b): If the Commission finds reasonable cause, it must first `endeavor to eliminate [the] alleged unlawful employment practice by informal methods of conference, conciliation, and persuasion. Court s Ruling: EEOC effort at conciliation a condition precedent to filing litigation That obligation is a key component of the statutory scheme. Process requires telling employer about the claim and provide an opportunity to discuss in order to achieve voluntary compliance 14

15 Court s Ruling (cont.): Sworn affidavit from EEOC stating it performed its obligations satisfactory Employer can dispute likely leading to a hearing as to whether EEOC met its pre-litigation obligations Tibble v. Edison International, May 18, 2015 Case Summary: Challenge by pension participants to handling of employer sponsored pension plan because of losses Question about timing of some of the subject transactions and if they were within the limitations period for the lawsuit Court went out of its way to define and explain the fiduciary duty of plan administrators 15

16 Potential Impact of Obergefell v. Hodges, et al. on employment cases Obergefell Ruling: Gay marriage must be recognized in all states Celebration rule in Windsor expanded/replaced Marriage is a fundamental liberty protected by the 14 th Amendment Obergefell does not mention employment but: Anticipate lawsuits based upon gender regarding marital status and sexual orientation the EEOC is already there! Employer benefit obligations, FMLA recognition, etc. implicated Individual states are passing laws with anti-discrimination LGBT rights 16

17 Purple: Sexual orientation and gender identity, all employment Lavender: Sexual orientation and gender identity, some employment Blue: Sexual orientation, all employment Magenta: Sexual orientation and gender identity, state employment Light blue: Sexual orientation, state employment Anne C. Martin Bone McAllester Norton PLLC 511 Union Street, Suite 1600 Nashville, TN Phone: (615) Fax: (615)