Nationwide Push to Ban Pre-Employment Credit Checks

From the AP:

Under federal law, prospective employers must get written permission from applicants to run a credit check on them. But consumer advocates say most job applicants do not feel they are in a position to say no.

Most of the bills being proposed this year resemble laws in Hawaii and Washington that prevent employers from using credit reports when hiring for most positions. The laws contain exceptions in cases where such information could be relevant to the job — for example, if the person is applying to work in a bank or an accounts-payable office.

I understand employer’s interest in doing this, but at the end of the day it may lead to incentivize bankruptcy, which has anti-discrimination provisions built in. As the article points out, California had a similar bill that was recently vetoed. In an up economy, there’s probably a stronger correlation between credit and HR concerns. In this economy?

Abercrombie & Fitch

A Complaint against lily white Abercrombie & Fitch for not hiring someone because of their hijab is either a public relations coup (in a certain way), a legal nightmare, or both. According to ABC News:

This week the Equal Employment Opportunity Commission filed suit in Oklahoma federal court on behalf of Samantha Elauf, 17, whose hijab became an issue during a June 2008 interview for a position at Abercrombie Kids at the Woodland Hills Mall in Tulsa, Okla. In its lawsuit, the EEOC is citing violation of Title II of the Civil Rights Act. The complaint alleges the interviewer said that any “headgear” was prohibited by the “Look Policy,” and the company refused to make an exception for Elauf to wear her hijab for religious reasons.

A&F goes on to what you might call a “general denial” in the article. To people in HR and related fields this seems like such an obvious minefield—but one wonders: in the service economy especially, just how knowledgeable are the people in situations like this? In California in firms of a certain size, sexual harassment training is required of managerial employees. Much of that would be necessary if employees read and understood their employee handbook.

Does your employee handbook read like stereo instructions written in legalese?

I can get your manual compliant in plain English for a flat fee.

Launch!

Jon-Erik G. Storm, Esq.

Your personal attorney.

660 Mar Vista Dr.
Los Osos, CA 93402

Tel. (805) 270-5291
Fax (805) 980-4231
jonerik@jonerikstorm.com

I’m delighted to announce the launch of my solo practice.

Not just a new practice. A new kind of practice: I worry about my client’s business—not about running my own. My lean and efficient technology-based practice allows me to offer personal attention and revolutionary pricing.

If you say so…

MoFo says [pdf]:

The 2009 legislative sessions in both Sacramento and Washington, D.C. have yielded significant developments for labor and employment law.

Both? I would say, on the contrary, the 2009 legislative session in Sacramento was probably the least eventful of the decade in developments “for” labor and employment law.

Courts to Employers: Stop Trying To Loophole 16600

I apologize for the almost total lack of posting. I was in a trial that involved testimony over 4 weeks starting October 6, and just finished up the concluding briefs today. If you can believe it, in the middle of all of that I had stomach surgery which cured a debilitating case of heartburn and as an added bonus has caused me to lose 15 pounds already.

So, I thought I’d point to this post from Robin Weideman on Dowell v. Pacesetter, Inc., a case which is more or less unremarkable, except that it is part of a continuing trend from the Court of Appeals: quit trying to make exceptions to B&P 16600.

We saw this earlier this year in TRG v. Galante and FLIR Systems v. Parrish. I noticed that I was hoping in my FLIR post to see the TRG ruling in July, but it came down in August.

Bruce Nye Is An Arbitroskeptic

Here’s CalBizLit’s comment on Justice Gilbert’s reworked opinion on arbitration finality.

I find this interesting because what I have termed in the past “arbitroskepticism” seems to be a contrarian point of view, but it is increasingly gaining traction among lawyers who blog. The simple logic was always this: if the forum really was so advantageous for employers (or any one side, whoever) how long could it really be before the courts and/or legislature took notice. Added to that was, where’s the data?

And of course, the Courts took notice long ago.

After Ricci

I know it was a big political thing, but as I said it was damned-if-you-do damned-if-you-don’t:

Firefighter Disparate Impact Suit Filed against New Haven

So, the upshot of the politicized Ricci decision is that there can be more racial demagoguing completely out of the context of Title VII, and that’s fun for cable news. But this puts employers in the position of not being able to remedy a mistake in EEO compliance without being liable to someone, one way or another. Good thing the U.S. Chamber of Commerce is spending its membership’s dollars arguing that the earth is flat instead of lobbying on this nuts and bolts kind of thing that will affect everyone subject to Title VII.

Nazir v. United Airlines, Inc.

You have to read this opinion. Basically, the Court of Appeal destroys the parties (and the trial court) for their voluminous summary judgment motions, which added up to about 4,000 pages, and for the blanket acceptance of the objections by the trial court.

The thing is, are you willing to be the first lawyer that goes really lean on your briefs? Are you a partner?

Until there is a massive state-wide trial-court-level implementation of the demands in this decision, we don’t dare risk it. Do we?

[Doc file] Nazir v. United Airline

Religion in the Workplace

Employers:

Please remember that Rosh HaShanah begins on Friday night and that Yom Kippur is Monday, September 28. Please also remember that you don’t get to set the level of observance for your employees, so just because you see them eating a bacon cheeseburger while carrying fists of cash around on Saturday doesn’t mean that they can’t observe these days. (You want Christmas off, right? When was the last time you were in church?)

As I said, levels of observance vary. Just in case, I should also mention that Friday October 9 is a day that traditional Jews would not do any work for sukkot, or the Feast of Tabernacles.

L’shanah tovah.

Comments Disabled

Comments are a source of spam, processor overhead, and don’t produce the intended civil discussion. I am happy to correspond and debate with readers at any time. Send me a Tweet or an e-mail. I will post your comment (if you wish) and my response.

TRG v. Galante

Go read Greg on TRG v. Galante.

My only comment is that the courts could eliminate a lot of so-called “trade secrets” litigation and other back-door attempts to create and enforce covenants not to compete in California by continuing with the trend of cases we’ve seen this summer, including TRG and Flir.

The Legislature is free to reconsider Bus. & Prof. Code 16600 at any time. It can also add more teeth to the UTSA if it wishes. But as written, those statutes allow for employee mobility, but with remedies for intellectual property theft. They do not provide for entrepreneur-killing bad faith lawsuits. I’m glad to see the Court of Appeal is going to make people think twice about that.

The Legislature; Brandeis

Dan Walters complains that they haven’t done anything except the budget this session. The LA Times reports that prisons and water are the main issues left on the agenda. Not much in the way of labor and employment issues this year.

I thought I’d point out this quote from Justice Louis Brandeis:

Stare decisis is usually the wise policy, because in most matters it is more important that the applicable rule of law be settled than it be settled right.

Burnet v. Coronado Oil & Gas Co., 285 U.S. 393, 406 (1932) (Brandeis, J., dissenting). Some people might find this disturbing. Brandeis was talking about the federal Constitution and he was actually arguing against relying on stare decisis in that instance. There are a lot of objections you can make to this statement. In many circumstances, it’s better to get it right than have it settled. But in the domain of the California law as it relates to employers and employees in their relationship as such, the helter-skelter pace at which significant changes in the law occur both from the courts and the legislature puts us squarely in a position where we need things to be settled more than we need them to be settled “right”—whichever your view is.

The costs of compliance are one thing. The cost of re-complying, or attempting to comply with unclear rules, are another.

Hernandez v. Hillsides

At long last, we have an opinion from the California Supreme Court.

My analysis will be forthcoming shortly.

UPDATE:

The Court correctly identifies the distinguishing factor that made Saunders such a useless precedent: the “invader” in that case was not a co-worker. (Slip Op. 19-20.) The Court then lays out a spectrum between highly “public” areas of the workplace, and highly private areas, such as locker rooms (the latter are subject to an express statutory protection). But do employees have some reasonable expectation of privacy in a closed office? Yes.

Such a protective setting generates legitimate expectations that not all activities performed behind closed doors would be clerical and work related.  As suggested by the evidence here, employees who share an office, and who have four walls that shield them from outside view (albeit, with a broken “doggie” flap on the door), may perform grooming or hygiene activities, or conduct personal conversations, during the workday.  Privacy is not wholly lacking because the occupants of an office can see one another, or because colleagues, supervisors, visitors, and security and maintenance personnel have varying degrees of access.

(Slip Op. 21-22.) So, you would be mistaken—as I was—to go with the Court of Appeal in Saunders and suggest as a blanket rule that employees have no expectation of privacy in the workplace from their employers only, except for those areas specifically designated by statute. The Court apparently finds this kind of privacy in a “penumbra” analysis (i.e., the opposite of limiting the circumstances to an enumerated list) of legislative acts, such as those prohibiting changing room and other “peeping tom” behavior. The Court hints in dicta that a properly drawn policy might have abolished the expectation of privacy. Of course the problem here is that notice of surveillance basically destroys its utility.

The Court then engages in a lengthy factual analysis and concludes that because Hillsides was very careful about what they spied on and how, that even though this wasn’t necessarily the least intrusive means, because it served a legitimate purpose it was ok.

Privacy rights in California have always been all about balancing tests, which means that it’s very hard to know what to do in any given situation. Here, it looks like the message is that you can monitor an office to catch someone breaking the rules if you don’t create too much of a dragnet. How egregious the violation must be and how careful you have to be aren’t 100% clear to me.

It’s also not clear to me what would have happened if the Plaintiffs had been caught on tape in the following different circumstances: (1) doing nothing important; (2) doing something like changing; or, (3) being caught as the guilty party. Nor is it clear to me what effect scenario #3 would have on the liability for scenarios #1 or #2.

My sense is the Court did not like this case because it saw the Plaintiffs making a mountain out of a molehill. So, instead of taking the opportunity to expound some law in detail, they engaged in a fact-intensive analysis in order to dispose of this case. Oh well.

More on Court Closures

Just to follow up on my speculation yesterday that the court closures will cause backlogs and possibly blow up Track I:

A Sacramento judge who fought the once-a-month court closures approved earlier this week by the state Judicial Council said Thursday the action is unwarranted locally and will result in monstrous new backlogs.

From the Bee.

Court Furloughs And Fast Track

So, the courts are closing one Wednesday per month thanks to the latest budget deal.

This will affect all of your filing deadlines, because these will not count as court days. At least they settled on a uniform day, state-wide. Our local presiding judge explained to us that Wednesday was chosen due to criminal arraignments needing to be processed in a certain amount of time.

So, this will slow down the law and motion calendar in civil. It may be just a little, but it seems to me like the idea of filing to trial in one year for unlimited civil cases is getting less and less realistic. I know some judges don’t mind going to Track II, but some really, really don’t want continuances.

I think it’s time to reconsider these time lines and the civil law and motion filing deadlines based on this.

UPDATE: Apparently, the furlough days will be treated as holidays, extending deadlines by a day.