Bass, Berry & Sims attorney Tim Garrett provided insight into the financial and administrative impact that hospitals encounter as a result of worker strikes and disruptions in work activity. Tim discussed the speculative nature of predicting the costs associated with such disruptions and the logistical challenges hospitals face from an administrative standpoint. In the article, Tim states “they [the physicians] may not want to have to rely on replacement workers in the midst of a walkout, so they may decide not to proceed with a certain surgery if it’s not an urgent situation or may seek other options.”

The full article, “Strike or No Strike, Labor Disputes Can Take a Toll on Hospital Finances,” was published by Becker’s Healthcare on December 20, 2016, and is available online.

For the first time since 2002, the Equal Employment Opportunity Commission (EEOC) has updated its guidance on national origin discrimination in the workplace in an effort to address important legal developments over the past 14 years. In 2015, the EEOC reported 11 percent of the charges filed alleged national origin discrimination. The EEOC’s recent Strategic Enforcement Plan for 2017-2021 includes protecting immigrant and migrant workers from discrimination as a top substantive priority, and this guidance is another step toward increasing the EEOC’s enforcement efforts in this area. Of course, with the election of President-elect Donald Trump last month, the EEOC’s guidance is subject to change. However, the guidance is a useful tool to analyze employers’ existing policies and practices of preventing national origin discrimination with an eye toward the EEOC’s focus for enforcement action.

Continue Reading New Guidance on National Origin Discrimination

Just one month after the U.S. District Court for the Eastern District of Texas shut down a Fair Pay and Safe Workplaces final rule, the District Court has enjoined the implementation of the Department of Labor’s (DOL) final rule updating its Fair Labor Standard Act (FLSA) exemptions. Had these gone into effect, they would have had a significant impact on government contractors’ labor costs.

In 2014, President Obama directed DOL to update and modernize its overtime regulations to be consistent with the intent of the FLSA. The FLSA provides for minimum wage and overtime pay protections for those covered by the Act. Exempted employees generally fall into the executive, administrative and professional (EAP) categories, and DOL has used the following three tests to determine whether an exemption applied: salary basis test, salary level test and duties test. “Exempt” employees are not eligible for overtime pay (time and a half) for hours worked over 40 in a work week.

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Bass, Berry & Sims attorney Tim Garrett discussed a case pending before the U.S. Court of Appeals for the Eighth Circuit relating to a striking employee’s termination for yelling racist comments at replacement workers. Although the employee’s firing was upheld by an arbitrator, an administrative law judge (ALJ) did not defer to that ruling and ordered the company to reinstate the employee, citing protection for the striker’s conduct under the National Labor Relations Act (NLRA). The National Labor Relations Board agreed with the ALJ, and the company has appealed to the Eighth Circuit.

The full article, “After NLRB Gives Job Back To Worker Fired For Racism On Picket Line, Appeal Follows,” was published by Forbes on November 30, 2016, and is available online.

Overview

On November 8, 2016, the future of the Patient Protection and Affordable Care Act (ACA) became more uncertain. Republicans in Congress have been working to repeal the ACA since it was passed in 2010, and now, with control of both houses of Congress and the White House, they may finally get the chance to do so. President-elect Trump has stated that the Trump Administration will work with Congress to repeal the ACA and replace it with a “patient-centered healthcare system” that includes Health Savings Accounts (HSAs), the return of high-risk pools and the “modernization” of Medicare. Trump announced this week the nomination of Georgia Congressman Tom Price, a physician and long-time critic of the ACA, as Secretary of the Department of Health and Human Services. Additionally, Speaker Paul Ryan has set forth his “A Better Way” healthcare reform plan that would repeal and replace the ACA. Ryan’s plan includes substantial reform to Medicaid through per capita allotment financing and block grants; the creation of a “Medicare Exchange” in which private plans would compete with traditional fee-for-service Medicare; and Medicare “premium support” payments that would be paid by Medicare directly to the private plan or the fee-for-service program to subsidize its cost.

Continue Reading Navigating the ACA in the Trump Era

In an article published by Government Executive, Bass, Berry & Sims attorney Richard Arnholt provided insight on the state of the Fair Pay, Safe Workplaces rule following a preliminary injunction issued by a Texas district judge in October blocking parts of the rule. Richard argues that the president and agencies went around Congress in a quest for efficiency and cost savings, but provided no reliable data to prove the need for the rule, while forcing contractors to provide detailed reporting on non-final decisions and determinations of alleged labor law violations that could end up denying them a contract without due process.

Continue Reading Obama’s ‘Fair Pay, Safe Workplaces’ Rule for Federal Contractors Appears Endangered

In a ruling announced yesterday, a federal judge in Texas has halted nationwide the effectiveness of the new salary level required to be paid by employers to those employees who are exempt from overtime.  This alert will discuss briefly the ruling, its impact, and what employers should do in response.

Continue Reading Update: Judge Halts Implementation of DOL Overtime Rule

Bass, Berry & Sims attorney Tim Garrett provided insight for an article outlining the case brought by 21 states challenging the Department of Labor (DOL) related to the new overtime regulations set to take effect December 1, 2016. Although the challenge is under review, Tim still is advising “that employers continue to plan to comply with the new rule effective Dec. 1, unless the court does impose a nationwide injunction. The risks of failing to comply are simply too great and can lead to immediate legal exposure.”

Continue Reading Court’s Decision on Overtime Rule Expected Soon

A case currently under consideration in the Eighth Circuit Court of Appeals deserves watching.  The case will determine whether the National Labor Relations Act (NLRA) protects a picketing employee’s right to hurl racist insults at replacement workers, so long as no threat is involved.  The case is Cooper Tire & Rubber Company v. NLRB, Case No. 16-2721.  The facts show an intriguing – and some would argue sad – sacrifice by the current Labor Board of race relations at the altar of protecting striking workers’ and their “impulsive behavior.”

Continue Reading Does the NLRA Protect Racist Insults by Picketing Workers?

The Equal Employment Opportunity Commission (EEOC) recently revealed its Strategic Enforcement Plan for 2017-2021. Of course, this Plan was developed before the election of Donald Trump as President.  Thus, the information contained in the Plan could soon become moot, or at the very least, stale.  However, seeing what the EEOC recently noted as high priority areas is instructive.  Whether the Plan will be dramatically or only slightly revised remains to be seen.

Continue Reading EEOC Strategic Enforcement Plan for 2017-2021