The rules for deciding who is really an independent contractor and who must be classified as an employee are changing again. If your business issues 1099s, prepare to take another look at your independent contractors (ICs) in the context of the new rules.
Pay transparency laws have been in the news for a while, and they’re a hotly contested issue. On the one hand, shining a light on wage information helps create fairness in the workplace and acknowledges the essential value of virtually every role, which is the intended purpose of the laws.
The Federal Trade Commission (FTC) recently released a proposed rule which, if adopted, will broadly ban the use of non-compete agreements with workers throughout the U.S.
Employers face the constant challenge of regulatory requirements, which keep changing. To further complicate matters, compliance with employment obligations to employees varies from the employer’s home state to other states where remote employees work. An employer’s compliance failure, regardless of whether it was inadvertent or minor, could provide an employee with an opportunity for an employee to hold their employer liable for statutory violations. Employers and their employees should understand the rules for overtime pay, who can be a salaried employee and rules for employee classification, and what happens if wages are not properly paid.
Massachusetts, like Maryland and the District of Columbia (which has a liquidated damages provision requiring 4 times the wages due), has treble damages when wages are late. According to the Massachusetts statute, the terminated employee must be paid all wages due on the date of discharge, while an employee who resigns must be paid by the next regularly scheduled payroll after the last day of employment.
If you recall, President Biden announced in September that the Occupational Safety and Health Administration (“OSHA”) would be issuing a mandate requiring all employers with 100 or more employees to have a mandatory vaccination policy to minimize the spread of COVID-19 transmission in the workplace and protect unvaccinated employees. OSHA released the emergency temporary standard (called an ETS) on November 4th. All covered employers are required to be compliant with the ETS by January 4, 2022. While OSHA has issued prior guidance, these new requirements are a more aggressive step towards eliminating Covid-19 and its related risks in the workplace.
New federal guidance issued August 13, 2021 reinforces that all employers should implement multi-layered interventions to protect unvaccinated and otherwise at-risk workers and mitigate the spread of COVID-19. The District of Columbia and all major surrounding counties in Maryland and Virginia are considered to be areas of substantial or high transmission (as of September 15, 2021). The federal Occupational Safety and Health Act or its state counterpart covers most private sector employers in the United States. While there is no simple one-size-fits-all approach, the OSHA guidance is a helpful checklist for businesses to determine their individual approaches.
As the pandemic wears on and effective vaccines roll out to many adults, employers and employees are hoping to stop wearing masks in the workplace. To reduce labor risks, we advise employers to keep a workplace mask policy in place, remind all employees that the policy remains in effect, and directly address employees who do not cooperate.
Employers, schools, and real estate developers should take note of a new Executive Order issued on Inauguration Day which gives an expansive reading to last summer’s Supreme Court decision in Bostock v. Clayton County. In Bostock, conservative Justice Neil Gorsuch writing for a 6:3 majority held that Title VII’s prohibition on employment discrimination “because of . . . sex” covers discrimination on the basis of gender identity and sexual orientation.