Category Archives: Employment Agreements

NLRB Announces Intent to Change Joint-Employer Test

On Thursday, September 13, 2018, the National Labor Relations Board (NLRB) announced its intent to change the standard to determine joint-employment. In a September 13, 2018, news release, the Board stated that it will publish a proposed rule clarifying and restricting the standard to determine when two entities are considered a single “joint-employer” over a group of employees.  The proposed changes would limit joint-employment to employers that possess and exercise “substantial, direct and immediate control over the essential terms and conditions of employment” of another employer’s employees.  The proposed changes would also require that an employer must have exercised its …

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New Noncompete Agreement Law in Massachusetts

Introduction On July 31, 2018, after years of debate and attempts at compromise, the Massachusetts legislature finally passed a bill that will fundamentally alter the use of noncompete agreements in the Commonwealth.  The bill was signed by Governor Baker on August 10, 2018, and the law will go into effect on October 1, 2018.  The new law will apply only to agreements that are signed on or after October 1, 2018. The law does not prohibit the use of noncompete agreements altogether, but it does create specific standards regarding the enforceability of such agreements. Coverage The new law applies to …

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Noncompete Agreement Bill Finally Passes in Massachusetts

On July 31, 2018, after years of debate and attempts at compromise, the Massachusetts legislature finally passed a bill that will fundamentally alter the use of noncompete agreements in the Commonwealth.  If the bill is signed by Governor Baker, the law will go into effect on October 1, 2018, and will apply only to agreements that are signed after that date.  The bill does not prohibit the use of noncompete agreements altogether, but it does create specific standards regarding the enforceability of such agreements.  Click here for the full alert.

Webinar: What Employers Should Know About Class Waivers After Epic Systems Decision

Join LeClairRyan on Thursday, August 23 starting at 1 pm ET for this upcoming event. In a decisive 5-4 opinion, the Supreme Court held in Epic Systems Corp. v. Lewis that class action waivers in employment arbitration agreements must be enforced under the Federal Arbitration Act (FAA), and neither the FAA’s saving clause nor the National Labor Relations Act (NLRA) suggest otherwise. This case reaffirms longstanding federal policy favoring arbitration. This complimentary one hour webinar will discuss the Court’s findings, its potential impact on both employers and employees, the pros and cons of employment arbitration agreements, and best practices designed …

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So You Think You’ve Got Independent Contractors? Well, Think Again

Virginia law requires most employers to carry workers’ compensation insurance in order to provide specific benefits to workers injured during the course of their work and to provide employers with protection from civil suits for those work-related injuries. Generally, an employer with more than three employees is required to carry workers’ compensation coverage. However, in the last decade especially, employers have more frequently misclassified employees as independent contractors in an effort to keep the number of employees below three and to avoid purchasing workers’ compensation coverage.

The Tip Income Protection Act — Changes to Tip Pooling

The Tip Income Protection Act of 2018 (“the Act”) was signed into law on March 23, 2018 as part of the omnibus spending bill. The Act, buried in the 2,323 pages of the bill, amends the Fair Labor Standards Act (FLSA) and rolls back the Department of Labor’s 2011 regulation on tip pools. The Act allows for employees who do not customarily receive tips to participate in tip pools, where the employer does not take a tip credit. The “employees” referred to in this act also include the back of the house employees like busboys, chefs, line cooks, and janitors. …

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The Legal Pitfalls Inherent in Using “Works Made for Hire” in California

Labor and employment issues are frequently triggered in the entertainment space, particularly in California.  Some of these issues are well-known by practitioners in both areas of practice, while others can be a bit more obscure.  This article addresses one important area of overlap that is often the source of confusion for practitioners and their clients alike who, unbeknownst to them, have created employment relationships with their commissioned independent contractors, simply by including standard, boilerplate copyright language in their contracts. Under U.S. Copyright Law, only the author of a work can rightfully claim the copyright in that work. Obviously, when you …

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Workplace Now: The “Localization” of Employment Law – What you Don’t Know Can Hurt

It is no secret these days that many workforces, particularly over the last five years, are now subject to numerous state and municipal laws that seek to shape and regulate numerous areas of the workplace (many of which are often conflicting) .  Given the gridlock that has been in place for almost a decade in Congress, state legislatures and cities have accelerated their oversight of employers and have imposed their own laws. In fact, there are literally hundreds of examples of how the scope of local regulation has changed, but perhaps the most breath-taking took place this year in the …

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DOJ Backs Class Action Waivers

The United States Department of Justice (DOL) has made an about face and now takes the position that class action waivers in arbitration agreements are enforceable.   The change in position from the Trump Administration’s DOJ has gained national headlines. The Courts of Appeal are split on the enforceability of these waivers, while the National Labor Relations Board maintains they are unenforceable. The Obama-era DOJ agreed with the National Labor Relations Board’s position that such waivers are unenforceable because they infringe on employees’ collective bargaining rights. The current DOJ, acting in accordance with the executive branch’s policy shift as a result …

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Prepare to Consider Your Former Employees Your New Competition

There’s nothing that gets employers more fired up than a former employee jumping ship to join a competitor. But, in an effort to prevent such future angst, you’ve had your employees sign a non-compete. You’re golden, right? Perhaps not. When an employer has a non-compete in hand, it can mistakenly think it is fully protected from post-employment competition. Such a mistake can be costly. First, you may have to litigate the enforceability of the agreement. Then, you stand to lose a bunch of business when it turns out the agreement is worth less than the piece of paper it’s typed …

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