Changes to Employment Law for 2020

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Employment Law

Effective January 1, 2020, over two dozen federal and state employment laws went into effect, which will have an impact on issues involving salaries, employment reclassifications, drug testing, accommodations for pregnant and nursing mothers, and family and medical leave. Employers will need to ensure that they are following these updated laws. The following is an overview of the changes to the Fair Labor Standards Act (“FLSA”) and the changes to employment law in New Jersey.

FLSA Overtime Amendments

● The minimum annual salary for most exempt employees increased to $35,568 per year. For the roughly 1.3 million workers in this country who fall into this group, this is the first time that the salary threshold has been raised in over 15 years. Many workers believe that the increase is still insufficient.
● Employers may count non-discretionary bonuses and incentive payments to meet up to 10 percent of the standard salary level test. However, only employers who are paid annually or more frequently are eligible.
● The minimum annual salary for highly compensated employees increases from $100,000 to $107,432.
● All new hires must fill out the redesigned IRS Form W-4.

New Jersey Salary History Ban Law

In the Garden State, employers may no longer ask job candidates about their salary history, which includes inquiring about wages and benefits. The goal in preventing companies from making offers to prospective employees based on past salaries, or refraining from making an offer, is to promote pay equality among men, women, and minorities in New Jersey. According to the National Partnership for Women and Families, women in New Jersey are paid 82 cents for every $1 earned by men. State employers had to comply with a salary history ban since 2018. The updated law now includes private employers as well. Employers who do not comply with this new law will face penalties of up to $1,000 for their first offense, $5,000 for a second offense, and $10,000 for additional violations.

Philadelphia Employment Lawyers at Sidkoff, Pincus & Green P.C. Represent Workers Whose Employers Violated New Employment Law Changes

If your employer is not in compliance with the new employment laws, you are urged to contact the Philadelphia employment lawyers at Sidkoff, Pincus & Green P.C. as soon as possible. It is your employer’s responsibility to understand and comply with the new laws. Our skilled legal team will protect your rights and secure the financial compensation you deserve. To schedule an initial consultation, call us today at 215-574-0600 or contact us online. Located in Philadelphia, we serve clients throughout Pennsylvania and New Jersey.

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Amazon Can Now Be Held Liable for Damaged Third-Party Products

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product liability

In addition to the products that Amazon sells itself, the online retail giant also allows third-party vendors to sell products through its website. There are times, however, when the products are damaged or defective. Depending on the product and the nature of the defect, this can cause injuries to the consumer. Until recently, Amazon could not be sued by consumers if a third-party product was defective because the law stated that Amazon was not considered a seller. However, a federal district judge recently ruled that Amazon can now be held liable for selling defective third-party products.

One example of a defective third-party product involved a consumer from Pennsylvania who ordered a dog collar from an Amazon Marketplace seller. The collar broke while she was walking her dog, causing the leash to snap and recoil. It hit her in the eye, causing permanent blindness. A district court in Pennsylvania ruled in favor or Amazon, saying that the retailer was protected by Section 230 of the Communications Decency Act, which protects platforms from the actions of people using those platforms. After she appealed the ruling, the Third Circuit Court of Appeals in Philadelphia ruled in her favor.

In the Court’s ruling, the judge stated that Amazon could be held liable for being part of the sales chain. In addition, the Court stated that Amazon is protected for speech, but not for the sale of goods in the real world. According to the Circuit Judge, Amazon may be liable because its business model allows third-party vendors to essentially be hidden from the consumer. If a consumer is injured by a defective third-party product, this makes it difficult for the consumer to hold the vendor liable for the injuries.

Third-Party Products Make Up Significant Percentage of Amazon Business

Roughly half of the products sold on Amazon are third-party products. In the third quarter of 2019, Amazon’s profits from third-party products totaled approximately $11 billion. The defective collar sold on Amazon by the vendor, Furry Gang, is just one example of a damaged third-party product that caused injuries to the consumer. Another defective third-party product that got a lot of attention in 2015 involved the Chinese hoverboards. Problems with the battery caused them to catch on fire, resulting in hundreds of fires and burn-related injuries. State Farm is seeking to hold Amazon liable for the $600,000 in damages associated with a house fire that occurred when the hoverboard caught on fire.

Philadelphia Business Lawyers at Sidkoff, Pincus & Green P.C. Handle Third-Party Liability Issues

The Philadelphia business lawyers at Sidkoff, Pincus & Green P.C. handle a wide range of legal matters, including cases involving third-party liability issues. Our skilled legal team has a proven track record of reaching successful outcomes for our clients. To schedule a confidential consultation, call us today at 215-574-0600 or contact us online. Located in Philadelphia, we serve clients throughout Pennsylvania and New Jersey.

Google Employees Win the Right to Sue

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Since last November, Google employees have been pressuring the company to end its mandatory arbitration policy, which requires workers to take any legal dispute they have with the company to arbitration. Because there is no judge or jury, and very little government oversight, workers are less likely to win their cases. If they do, their compensation is much less than what they would have gotten if they had the opportunity to go to court. Earlier this month, Google changed its policy and will end mandatory arbitration, effective March 21. This expands a previous decision to only end mandatory arbitration in sexual assault or harassment cases. This is a significant win for Google employees.

Prior to this policy change, new employees were required to sign arbitration agreements when they were hired. Many companies in the United States require new employees to sign these agreements, which means that they cannot sue their boss if they are the victim of sexual harassment, racial discrimination, overtime violations, and job discrimination. When Google’s CEO ended the forced arbitration for sexual harassment and sexual assault, employees were encouraged, but they wanted the company to end forced arbitration for all types of disputes. In addition, they wanted the policy to extend to contractors and temporary workers as they make up over half of the company’s workforce.

Employees Fight for Wider Policy Changes

In a statement published by a group of Google employees, the group credited the company for changing the policy and allowing workers to access their civil rights through the public court system. However, they were disappointed that the policy does not require contract companies that provide Google with workers to follow the same policy. The group went on the say that they will continue to fight until forced arbitration is eliminated for all workers. Tech workers have gained influence recently and are using it to ensure that workers have a voice and are no longer silenced by unfair policies.

Philadelphia Employment Lawyers at Sidkoff, Pincus & Green P.C. Offer Skilled Legal Counsel for Arbitration Issues

If your employer has a mandatory arbitration policy, contact the Philadelphia employment lawyers at Sidkoff, Pincus & Green P.C. at your earliest convenience. We have a proven track record of reaching successful settlements in a wide range of cases, including those involving mandatory arbitration policies. Protecting your rights is our top priority. To schedule a confidential consultation, call us today at 215-574-0600 or contact us online. Located in Philadelphia, we serve clients throughout Pennsylvania and New Jersey.

Riot Games Settles in Gender Discrimination Lawsuit

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League of Legends developer, Riot Games, will have to pay over $10 million to settle a class action lawsuit that was filed on behalf of approximately 1,000 women who worked for the company over the past five years. According to court documents, the plaintiffs alleged that the company established a clear pattern of discrimination and sexual harassment. In addition, female employees claimed that they did not receive equal compensation compared to their male counterparts. This was a violation of the California Equal Pay Act—many states such as Pennsylvania and New Jersey have a similar law.

According to the terms of the settlement, each of the roughly 1,000 women who worked at Riot Games over the past five years is eligible to receive a portion of the settlement. The exact amount that each woman will receive depends on seniority, how long they worked at the company, and employment status, but most members of the class-action lawsuit will receive a minimum of $5,000. Full-time employees will receive more settlement money than part-time workers or contractors.

Investigation Reveals Sexist Culture

An investigation into the culture at Riot Games revealed a sexist environment where women were frequently exposed to “crotch grabbing,” “phantom humping,” and hot girl lists. Two women who initially sued Riot Games alleged that there were several women who did not receive equal pay, and who felt that their careers were being stifled by male employees. Several female employees alleged that they received pictures of the male genitalia. The lawsuit also accused the company of denying promotions to deserving female employees because they spoke out against the company’s male culture. In some cases, they were demoted or their benefits were withheld.

After Riot Games filed a motion to force plaintiffs into arbitration, over 150 employees walked out of the office to protest the motion. According to a Riot Games spokesperson, the company looks forward to resolving the lawsuit, and plans to demonstrate their commitment to creating an inclusive and supportive environment for all employees. However, several employees commented that the company’s efforts were overshadowed by the harmful workplace behavior and an ongoing pattern of filling senior positions with male employees.

Philadelphia Employment Lawyers at Sidkoff, Pincus & Green P.C. Represent Victims of Gender Discrimination

If you were discriminated against by your employer or another co-worker because of your gender, you are urged to contact the Philadelphia employment lawyers at Sidkoff, Pincus & Green P.C. at your earliest convenience. Employment discrimination laws prohibit employers from harassing employers based on gender, and from retaliating against an employee for reporting discriminatory behavior. Our experienced legal team will ensure that your rights are protected and that you receive the maximum financial compensation you deserve. To schedule a confidential consultation with one of our highly skilled employment lawyers, call us today at 215-574-0600 or contact us online. Located in Philadelphia, we serve clients throughout Pennsylvania and New Jersey.

Understanding Employment Law Helps Businesses Avoid Future Lawsuits  

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When employers appreciate and respect their employees by offering competitive salaries and benefits packages, opportunities for promotions, and paid time off, their employees are generally more productive and loyal to the company. However, if an employee has been discriminated against or accuses the company of legal wrongdoing, an employer could face serious legal issues if they do not know how to protect themselves from lawsuits and discrimination claims. An experienced employment lawyer can answer all your questions and prepare the legal documents necessary to protect your company from future lawsuits.

One of the most important steps companies should take to avoid serious employment law disputes is to draft a comprehensive, detailed contract that takes as many possibilities into consideration as possible. This is true regardless of how big or small your company is. There is a tendency for entrepreneurs and small business owners to assume that employment law only applies to larger corporations. They do not always consider the fact that small business owners can get into hot water if they make bad hiring and firing decisions or treat their employees poorly.

Importance of Paid Time Off

Employers do not always recognize the value of giving employees paid leave. While some may think it is an unproductive expense, it pays off in the long run by encouraging employees to prioritize their health and wellbeing. Ultimately, this builds job satisfaction and productivity. In addition, if an employer expects employees to work long hours during a particularly busy time, they may be less likely to complain, or accuse the company of unfair treatment if they can take advantage of paid days off.

Employers should also make it a habit of documenting everything that happens in the workplace. For example, if an employee is injured, fill out a detailed accident report that includes information about how the accident occurred and how the company will handle it. Depending on the company size, employers may want to consider hiring a dedicated specialist that can help manage a company’s records.

Hiring an employment lawyer is a significant expense, but one that can save thousands of dollars. An employment lawyer should protect the company and have a thorough understanding of contracts and policies. However, they should not attempt to confuse an employee who accused the company of wrongdoing, simply to try and outwit them. Companies cannot depend on their legal team to bend the rules on their behalf.

Philadelphia Employment Lawyers at Sidkoff, Pincus & Green P.C. Provide Skilled Legal Counsel for Employers

The Philadelphia employment lawyers at Sidkoff, Pincus & Green P.C. are highly skilled in all areas of law that impact the employer-employee relationship, including discrimination, harassment, and wrongful termination. Our experienced legal team will work closely with you to create a litigation strategy that addresses your specific concerns. To schedule a confidential consultation, call us today at 215-574-0600 or contact us online. Located in Philadelphia, we serve clients throughout New Jersey and Pennsylvania.

NLRB Supports Union Election Rule That Will Limit Unions’ Bargaining Power

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According to a Bloomberg Law analysis, the National Labor Relations Board (“NLRB”) is supporting a rule change that would make it increasingly difficult for unions to defend themselves against anti-labor campaigns. However, the board based their decision on flawed data. The deficiencies in the data make the NLRB vulnerable to legal challenges.

Members of the NLRB hope to revamp the decades-old blocking charge policy that pauses elections to approve or decertify a union if unfair labor practices are suspected. The board argued that a proposed rule released in August allows unions to file petty actions against the NLRB that union members can use as a stalling tactic. According to the NLRB, 155 blocking actions were filed from 2016 to 2018, with a median number of days that the cases were delayed, ranging from 122 to 145.

After reviewing data supporting the rulemaking, a Bloomberg Law review found numerous examples of instances over the past three years when the board exaggerated the length of delays related to blocking charges. In fact, the board overcounted data in over one-third of the cases involving blocking charges. In one case, they were off by over 12 years. In those 55 cases, the board listed a delay that exceeded the total number of days from when a petition to approve or decertify a union was filed and when an election took place. This was statistically impossible.

These errors could cause problems for the NLRB if they were to face legal challenges from union representatives. According to a law professor at George Washington University, they should have fixed the mistakes by issuing an addendum. The action will be difficult to defend if they proceed without correcting it. He went on to suggest that the NLRB start the rulemaking process from scratch given the significance of the errors. A spokesman for the NLRB declined to comment on the discrepancies or the board’s methodology.

Data Discrepancies

The following are examples of possible causes of the data discrepancies:

  • If more than one allegation of improper conduct was made, the board incorrectly counted the cases.
  • There were problems with the board’s use of agency data. For example, there were duplicates of blocking charges, which the agency counted twice.
  • The board’s only Democrat accused the majority of overstating the number of petitions involving blocking charges.
  • The agency’s field staff declined from 1,136 in 2011 to approximately 857 in 2018.

Philadelphia Employment Lawyers at Sidkoff, Pincus & Green P.C. Handle Legal Matters Involving Union Workers

If you are a member of a union, and your rights have been violated in some way, you are urged to contact the Philadelphia employment lawyers at Sidkoff, Pincus & Green P.C. We will work closely with you to ensure that you receive the full financial benefits you deserve. Our dedicated team will not stop fighting for you until you are completely satisfied. To schedule an initial consultation, call us today at 215-574-0600 or contact us online. Located in Philadelphia, we serve clients throughout Pennsylvania and New Jersey.

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Fired Law Firm Employee Not Entitled to Whistleblower Protections

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A former accounts receivable clerk was terminated from her position at Martin & Seibert after she reported the firm for suspicious overbilling. She noticed billing irregularities, including billing clients at attorney rates for work that was done by secretaries and paralegals. After voicing her concerns to other individuals at the firm, she was fired. According to the West Virginia Supreme Court of Appeals, at-will private employees who report suspected criminal conduct are not entitled to whistleblower protections.

Shortly after she reported her suspicions, she discovered that her job had been posted. Another attorney at the firm told her that he suspected that certain members of the firm blamed her for the billing irregularities. He urged her to speak to a former U.S. attorney, who he reached out to for advice on her behalf. After speaking to the former accounts receivable clerk, the U.S. attorney contacted the Federal Bureau of Investigation (FBI).

To protect herself, she collected 227 attachments of billable hour data and emailed it to herself. The firm fired her for disclosing confidential information, which was a violation of law firm policy. According to West Virginia courts, there is an exception to the rule that allows at-will employees to be fired if the employee is terminated for refusing to participate in illegal activity. However, the exception does not apply to employees who report wrongdoing. The court ruled that she was not entitled to whistleblower protections because she was a public employee. The legislature would be responsible for making any extensions to the law, not the court. A dissenting judge argued that the majority should have made an exception for an employee who is terminated for reporting alleged overbilling for legal services.

According to the West Virginia Supreme Court of Appeals, the federal whistleblower claim was no longer viable after a February 2018 Supreme Court decision that required reporting to the U.S. Securities and Exchange Commission. This decision was in response to a certified question by a federal court regarding the former employee’s whistleblower lawsuit.

Philadelphia Employment Lawyers at Sidkoff, Pincus & Green P.C. Protect Employees Who Have Been Wrongfully Terminated

If you believe that you were wrongfully terminated from your job, it is in your best interest to contact the highly skilled Philadelphia employment lawyers at Sidkoff, Pincus & Green P.C. as soon as possible. We will work closely with you to understand the events leading up to your termination. Our experienced legal team will protect your rights and collect the documentation necessary to reach a successful settlement. To schedule an initial consultation, call us today at 215-574-0600 or contact us online. Located in Philadelphia, we serve clients throughout New Jersey and Pennsylvania.

Supreme Court to Determine Whether Title VII Protections Include Sexual Orientation or Gender Status

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In October 2019, the United States Supreme Court heard arguments in a set of cases that could have a major impact on federal discrimination law, particularly as it applies to LGBTQ employees. The three cases involved two gay men and one transgender woman who were allegedly terminated because of their sexual orientation or gender status. According to the Title VII of the Civil Rights Act of 1964, an employer may not discriminate against an employee based on sex, race, national origin, or religion. The court will consider whether employers should be legally allowed to fire an employee simply because they are gay or transgender.

Case Facts

In the first case, a child-welfare coordinator for Clayton County, Georgia advocated for abused and neglected children. He was very successful at this job and loved helping underprivileged children. Yet, after his employer discovered he was gay, he was fired. Not only did he lose his job, but he lost his income and health insurance, which was devastating since he was fighting prostate cancer.

In the second case, a transgender woman who worked as a funeral director at the Harris Funeral Home in Livonia, Michigan decided to come out to her boss and co-workers and tell them about her gender identity. Two weeks after she wrote a letter to her boss explaining her situation, she was fired.

In the last case, a sky-diving instructor at Altitude Express went on tandem skydiving excursions with clients. He often informed female clients that he was gay in case they were uncomfortable about being strapped to a man during the tandem jump. The employee was fired after a female client claimed that he touched her inappropriately. However, according to employee, this never happened, and he was fired because of his sexual orientation.

Many of the Court’s conservative judges were skeptical about the arguments made by the plaintiffs’ lawyers and were opposed to finding that Title VII included protections for LGBTQ workers. However, they will have to examine the literal text of the law and consider the fact that the plaintiffs would not have been fired if they were straight. The more liberal justices will have to consider that, when the Civil Rights Act of 1964 was passed, it was not likely that Congress intended it to prohibit against LGBTQ employees. In fact, homosexuality was considered a mental illness by the American Psychiatric Association in 1964.

If the Court rules in favor of the plaintiffs, discrimination cases involving LGBTQ workers will be treated the same as any other Title VII discrimination case. Employers will need to update their discrimination policies and train workers on how to comply with the new policies. If the Court rules against the plaintiffs, things will remain the same. Employers who already have anti-discrimination policies in place may continue to enforce them. The Court is expected to decide by June 2020.

Philadelphia Employment Lawyers at Sidkoff, Pincus & Green P.C. Protect the Rights of Employees

If you were discriminated at the workplace due to your protected status, contact the Philadelphia employment lawyers at Sidkoff, Pincus & Green P.C. We will protect your rights and secure the maximum financial compensation you deserve. To schedule a confidential consultation, call us today at 215-574-0600 or contact us online. Located in Philadelphia, we serve clients throughout New Jersey and Pennsylvania.

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Federal Judge Grants U.S. Women’s Soccer Team Class Status in Gender Discrimination Lawsuit

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The U.S. Women’s National Team filed a lawsuit against the U.S. Soccer Federation (“USSF”) alleging that they do not receive equal pay compared to the men’s team. In addition, they argued that their work conditions are not as favorable as the men’s conditions. This has been an ongoing fight among female athletes for years. U.S. District Judge R. Gary Klausner ruled in favor of the women’s soccer team, saying that the class representatives had standing to pursue a lawsuit and certified three classes, and that the female players were paid less per game compared to the male players.

According to team co-captain, Megan Rapino, the decision validated their equal-pay campaign. The judge’s decisions essentially rejected the USSF’s argument that there was no discrimination because of the number of female players who earned more than some of the men’s players during that time. However, according to Klausner, there was no case law to support the premise.

The USSF has argued that the differences in compensation between the men’s and women’s teams was due to varying pay structures in the collective bargaining agreements, which are negotiated by the players on the team. However, according to the lawsuit, the USSF charters more flights for male players, which means that they have more comfortable accommodations and opportunities for rest. The men also experience fewer incidences of lost luggage. This ruling may encourage the USSF and its players to revisit efforts to reach an out-of-court resolution.

The USSF’s president said that they are very committed to resolving the matter in a way that is fair. A spokesperson for the female players said that they are happy that the court has recognized the USSF’s discrimination against female players. It is a major step in the right direction in the fight to achieve equal pay. One of the classes is seeking an injunction to prevent future discrimination, and a second class looks to obtain back pay and punitive damages, both of which fall under Title VII of the Civil Rights Act.

Philadelphia Employment Lawyers at Sidkoff, Pincus & Green P.C. Advocate for Victims of Gender Discrimination

If you were treated unfairly because of your gender, the Philadelphia employment lawyers at Sidkoff, Pincus & Green P.C. will work tirelessly to investigate the details of your case and ensure that your legal rights are protected. Our skilled legal team will not stop fighting for you until you are completely satisfied. To schedule a confidential consultation, call us today at 215-574-0600 or contact us online. Located in Philadelphia, we serve clients throughout Pennsylvania and New Jersey.

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General Counsel for Wynn Casinos Involved in Invasion-of-Privacy Lawsuit

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Kim Sinatra, former general counsel for Wynn Casinos, was named in an invasion of privacy lawsuit, alleging that she approved a secret undercover operation targeting Jorgen Nielsen, the former artistic director of a salon at the Wynn Las Vegas. In an article published in the Wall Street Journal, Nielsen publicly accused casino owner, Steve Wynn, of sexual misconduct. The lawsuit claimed that the operation was meant to obtain derogatory information about Nielsen in retaliation for being the named source in the Wall Street Journal article. The complaint also named Wynn Resorts CEO Matthew Maddox and Wynn director of security, James Stern.

According to the lawsuit, Nielsen alleged that Sinatra, Maddox, and Stern sent a spy posing as a client to the Palms Casino Resort, where he accepted a position after resigning from The Wynn Salon, in an effort to gather derogatory information that Wynn could use against him. Shortly after the undercover operation, Wynn filed a defamation lawsuit against Nielsen.

Suspicious Sequence of Events

Nielsen’s attorney discussed the troublesome details surrounding the timing of the alleged spy operation. In January 2018, Nielsen was the named source in a Wall Street Journal article. In February, Wynn resigned as chairman and CEO. The undercover operative was sent to the Palms Casino Resort in March, and Wynn filed a defamation lawsuit in April. Nielson’s lawsuit accused Sinatra, and the other parties named, of invasion of privacy, tortious interference with employment relationship, and civil conspiracy. The lawsuit stated that Stern organized the plan, while Sinatra and Maddox approved it.

In a statement provided by a Wynn spokesperson to the Las Vegas Review-Journal, the lawsuit had no merit. Maddox provided a sworn statement before the Massachusetts Gaming Commission saying that the company did not authorize any inappropriate surveillance activity involving Jorgen Nielsen. Sinatra’s lawyer did not respond to a request for a comment

Philadelphia Business Lawyers at Sidkoff, Pincus & Green P.C. seek justice for victims of Invasion of Privacy

If your employment and reputation were jeopardized due to an invasion of privacy by an employer or other party, you are urged to contact the Philadelphia business lawyers at Sidkoff, Pincus & Green P.C. as soon as possible. We will investigate the details of your case and ensure that your legal rights are protected. Our dedicated team will not stop fighting for you until we secure the maximum financial compensation you deserve. To schedule a confidential consultation, call us today at 215-574-0600 or contact us online. Located in Philadelphia, we serve clients throughout New Jersey and Pennsylvania.