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Posted on November 19, 2009August 31, 2018

Legal Questions and Answers on the Swine Flu Pandemic

In June, the World Health Organization declared an H1N1 flu pandemic. This means that human-to-human spread has increased and is sustained in the general population. H1N1 is a novel strain of the influenza virus; human beings have little or no immunity to it. Not only did H1N1 rapidly infect Americans, but it also spread throughout the world. According to reports from the Centers for Disease Control and Prevention, 48 states reported widespread influenza activity as of late October. In addition, more than 70 countries have already experienced outbreaks attributed to H1N1, as well as seasonal flu outbreaks.


The H1N1 pandemic creates both danger and opportunity for employers. The danger is obvious: a sick and fearful workforce, days lost to absenteeism, disruption of supply chains, and lost productivity, revenue and profit. But the flip side of danger is opportunity. The pandemic creates an ideal opportunity for management to demonstrate to its workforce that it is proactive and that it cares about its employees.


The swine flu can’t be prevented on a wide scale—it’s here, and it’s all over the world. But you can mitigate its impact on your workforce and, given careful planning, a little bit of luck and some flexibility, your company can and will weather the outbreak. Organizations must take steps now to ensure business continuity, develop succession plans, review and possibly revise human resources policies and—most important—educate employees about the pandemic.


In reviewing their policies, employers must consider how federal and state laws affect pandemic preparedness. These laws include the National Labor Relations Act, the Fair Labor Standards Act, the Family and Medical Leave Act, the Occupational Safety and Health Act, the Americans with Disabilities Act, Title VII of the Civil Rights Acts of 1964 and 1991, and state workers’ compensation laws.


This article explores some of the issues that have arisen and will arise as employers cope with pandemic flu.


What steps should companies take to minimize their exposure to H1N1?
Pandemic diseases often arrive in waves. While the first wave may be relatively mild in its effect, as the current pandemic appears to be, subsequent waves may be much more virulent. Consider the 1918 Spanish flu, a pandemic that resulted in nearly 20 million deaths worldwide. The first wave was mild; subsequent waves were brutal with very high mortality rates. Employers must institute companywide measures to limit the effects of the pandemic.


First, employers must educate their workforces about H1N1. Education includes furnishing information about the highly contagious nature of the disease, dispelling myths and teaching employees about good hygiene, symptoms, treatment and the company’s efforts to mitigate the impact of the pandemic. Because the flu virus can survive for up to 72 hours on hard surfaces, employers should consider making hand sanitizers available in common areas. Personal protective equipment such as masks should be made available upon request. Although CDC guidance does not require that employers provide personal protective equipment such as facemasks in an occupational setting, the guidance does provide that employees may use them on a voluntary basis.


Second, employers should review their leave policies and consider being flexible with them in order to encourage employees who are sick to stay home. Employers should tell employees not to return to work until they have been fever-free for at least 24 hours (assuming they have a fever—a minority of people with the swine flu don’t have that symptom, according to the CDC). Employers should tell workers that when they return to work, they should continue to practice good respiratory etiquette (by coughing or sneezing into a tissue, or into the crook of the arm if no tissue is available) and good hand hygiene. They also should avoid close contact with people they know to be at increased risk of influenza-related complications. Health care workers should stay home from work for seven days from the onset of the disease. Third, employers should encourage flexible work schedules, staggered work shifts or telecommuting whenever possible.


Should employers mandate swine flu vaccinations?
The vaccine has been in short supply and generally not available for use at work sites, so this question has been moot so far. But it may arise as the vaccine supply increases. To date, only one jurisdiction has mandated that health care workers be vaccinated against both seasonal and swine flu. The New York State Health Commissioner issued a regulation mandating annual flu vaccinations for health care workers who have direct contact with patients. In mid-October, a New York court temporarily enjoined implementation of the regulation, and the state then withdrew the regulation. In Washington state, a unionized employer unilaterally implemented a rule requiring that its employees be vaccinated. The employees filed a grievance. The arbitrator held that the employer violated the collective bargaining agreement when it implemented the rule mandating the vaccination.


For a nonunion employer, there may be no legal impediment to mandating a vaccination. With the exception of employees who might have a medical condition for which a vaccination would be contraindicated, or a religious objection to being vaccinated, an employer may lawfully require its employees to be vaccinated, provided this is done in a nondiscriminatory manner. Mandating vaccinations, however, may not be good for employee relations. What is lawful is often not wise from an employee relations standpoint. In a recent non-scientific poll, this author found that out of 120 respondents, only one employer was mandating that its employees be vaccinated.


If an employer thinks an employee is sick, can the employer ask if the employee has flu-like symptoms?
The short answer, according to the EEOC, is yes:


“ADA-covered employers may ask … employees if they are experiencing influenza-like symptoms, such as fever or chills and a cough or sore throat. Employers must maintain all information about employee illness as a confidential medical record in compliance with the ADA.


“If pandemic influenza is like seasonal influenza or spring/summer 2009 H1N1, these inquiries are not disability-related. If pandemic influenza becomes severe, the inquiries, even if disability-related, are justified by a reasonable belief based on objective evidence that the severe form of pandemic influenza poses a direct threat.”


The larger issue is that the H1N1 pandemic implicates both OSHA’s “general duty” clause and the ADA. The general duty clause requires that employers provide employees with a workplace free from recognized hazards that cause or are likely to cause death or serious injury. The ADA regulates how and when employers can seek health- or disability-related information from applicants or incumbents. This raises the question of how an employer balances the competing interests of OSHA’s general duty clause without running afoul of the ADA’s limitations on asking employees about their health.


Is seasonal flu or swine flu considered to be an ADA-covered disability?
While seasonal flu has not been deemed to be an ADA-covered disability unless there have been residual and long-lasting effects, the January 1, 2009, amendments to the ADA make it much easier for employees to be deemed “disabled” under the ADA. The amendments and the EEOC’s implementing regulations mandate that employers focus more on accommodation issues and take a common-sense approach to whether a particular impairment is a disability or not.


In mid-October, the Congressional Research Service published a paper, “The Americans With Disabilities Act (ADA): Employment Issues and the 2009 Influenza Pandemic,” concluding that currently an individual infected with H1N1 would most likely not be considered disabled under the ADA. The paper, however, went on to state: “[I]f the H1N1 virus were to mutate to cause more severe illness, such an infection may be considered a disability.”


While there is no case law on point, one can foresee the possibility that under the ADA, swine flu or its effects may be a disability. In that case, the ADA’s accommodations provisions would be triggered. Moreover, employers must still be careful about questioning incumbent employees about their medical conditions. Under the ADA, an employer’s ability to make disability-related inquiries or require medical examinations depends on what stage of the employment process the employee is in. For incumbent employees, an employer may make disability-related inquiries and require medical examinations only if they are job-related and consistent with business necessity.

The information contained in this article is intended to provide useful information on the topic covered, but should not be construed as legal advice or a legal opinion. Also remember that state laws may differ from the federal law.

Posted on November 18, 2009August 31, 2018

Federal Study Points to Widespread Underreporting of Injuries on the Job

A new government study adds to the growing body of evidence that employers and employees underreport workplace injuries and illnesses.


The report, released Monday, November 16, by the Government Accountability Office, appears to give credence to a yearlong federal program initiated October 1 that scrutinizes how certain employers keep records of workers hurt on the job.


Among the findings, the GAO found that employees often underreport injuries and illness for fear of losing their job or being disciplined. The report said 67 percent of occupational health practitioners reported observing workers who feared losing their job or disciplinary action for reporting an injury; 46 percent said this fear led workers to underreport injuries. Labor representatives criticized mandatory drug testing as another cause of underreporting, according to the GAO report.


The report said employer safety incentive programs, which offer bonuses to workers for creating safe work sites, can also lead employees to underreport injuries.


More than half the occupational health practitioners surveyed said they felt pressure from employers to play down injuries or illnesses, and nearly half—47 percent—felt similar pressure from employees.


The report was aimed chiefly at the inspection practices of the Occupational Safety and Health Administration. The GAO criticized OSHA for excluding certain dangerous industries, such as amusement parks and freight transportation in the coastal and Great Lakes regions, in its workplace inspections. OSHA did not always collect information about injuries from workers, which meant the agency relied solely on employer records while investigating a workplace incident.


The report gives political cover to the efforts started recently by OSHA to improve the accuracy of workplace injury and illness reports, said Brad Hammock, a partner at the Washington office of the law firm Jackson Lewis.


“The report bolsters the case that there is a real underreporting, under-recording problem,” said Hammock, who also writes the oshalawblog.com.


In a press release, OSHA itself agreed with the GAO’s criticism of the agency and cited the new program, the National Emphasis Program on Recordkeeping, as a solution.


“Many of the problems identified in the report are quite alarming, and OSHA will be taking strong enforcement action where we find underreporting,” Secretary of Labor Hilda L. Solis said in a press release.


The yearlong program will give federal workplace inspectors more latitude in their inspections of employer work sites. According to Hammock, inspectors are required to review any relevant record located on or off a work site; re-create an OSHA log and compare it with the employer log; visit off-site medical clinics to review relevant medical records; and interview the designated record keeper, a sample of employees and medical providers. Inspectors will also be expected to walk around the work site to look for violations in plain view.


The Bureau of Labor Statistics reported in early November that the number of nonfatal workplace injuries reported fell to 3.7 million last year from 4.2 million in 2008, but the GAO said that the data likely are incomplete.


In her statement responding to the GAO report, Solis said accurate reporting of workplace injuries and illnesses will help employers reduce the occurrence of injuries.


—Jeremy Smerd



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Posted on November 17, 2009August 31, 2018

Michigan Sen. Stabenow Opposes Employer Mandate in Federal Health Reform Package


U.S. Sen. Debbie Stabenow, D-Michigan, said Monday, November 16, at a Detroit Economic Club breakfast meeting that she opposes an employer mandate that could be a key component in a final health care reform bill.


Instead of an employer mandate that the U.S. House recently approved as part of its package, Stabenow told an audience of about 200 at the Southfield Westin that the Senate bill would require companies with 50 or more employees to pay a “fee” to help subsidize their workers’ mandated health insurance coverage.


The “fee” could range from $400 to $750 per employee who would be eligible for federal tax subsidies to help pay for their health insurance coverage.


“Our goal is to make health insurance affordable for small businesses,” Stabenow said. “Tax credits would be used to offset 50 percent of their costs.”


The House bill, approved November 7, mandates that companies with more than 25 employees provide employee health insurance. The Senate is expected to begin debate on its bill this week.


Under both the House and Senate bills, individuals would be required to purchase health insurance. Medicaid would be expanded for certain low-income people, and tax credits and subsidies would be given to help others pay for health insurance premium costs.


“We want to make sure the tax credits are enough [for businesses and individuals],” said Stabenow, a member of the Senate Finance Committee. “Costs are capped at 12 percent of gross income [for individuals]. I want to lower that to 10 percent.”


She said businesses and individuals are already paying for a “hidden tax” that is slowly reducing real wages and making companies less competitive in the global marketplace.


“If we do nothing, over the next 10 years business will see health insurance rates double and it will cost us 3.5 million jobs [nationally],” said Stabenow, noting that health insurance a decade from now would cost businesses $28,000 for a family of four.


Health insurance premiums in Michigan have risen 78 percent over the past eight years while wages have grown just 5 percent, she said.


Responding to a question about why the Senate is taking so long to vote on a bill, Stabenow said politics and policy differences have come into play.


“I think some people don’t want the president to succeed,” she said. “We need all of you to hold our feet to the fire [and stick to the policy issues].”


Stabenow cited one recently approved bill—the Worker, Homeownership and Business Act—that could have been voted on in one day, but took more than a month to get through the Senate because of Republican parliamentary delay tactics.


Besides extending the $8,000 first-time homebuyer tax credits through April 30, the bill expands the business-friendly “net operating loss carry-back provision,” which was initially approved earlier this year in the American Recovery and Reinvestment Act.


The provision allows any business with a loss in either 2008 or 2009 to claim refunds of taxes paid within the prior five years.


“The biggest problem for businesses is access to capital,” Stabenow said. “This will put $32 billion back into the economy and allow businesses to reinvest.”


The Senate also proposes a 40 percent excise tax on so-called Cadillac health insurance plans that are valued at more than $8,000 for individuals and $21,000 for families of four. The proposed tax on the plans would raise $202 billion, which is more than half the new funds needed to help pay for extending insurance coverage to about 30 million of the 47 million uninsured.


While the tax is aimed at health insurers, Stabenow said she is concerned the tax could hit middle-class, especially union workers who have negotiated rich benefit plans.


“We want to make sure these taxes on insurance companies will not be passed on to consumers in higher premiums,” she said.


One of the keys to driving down costs is the creation of a health insurance exchange that would allow private insurers to create four levels of insurance products, including a basic benefit plan, and compete for business in the individual or small-business market.


“This will not be available to people with employer-based health insurance,” Stabenow said. “About 17 percent to 18 percent of people will have access to the exchange.”


Stabenow also supports creation of a nonprofit public health insurance option to compete against private plans. A decision on including the public option in the Senate bill is expected to be made this week.


“This will have a tremendous impact on improving quality and lowering costs,” Stabenow said.


Stabenow was also asked why the federal government thinks it can create an affordable and sustainable public insurance option when Medicare is projected to become insolvent in 2017.


“The public option is not a single-payer, Medicare-type system,” she said. “It will be designed to be self-sufficient through a combination of government subsidies and [contributions from those insured].”


Stabenow said health reform legislation is also intended to lower Medicare costs by reducing overpayments, enhancing fraud and abuse controls and reimbursing providers based on quality instead of quantity.



Filed by Jay Greene of Crain’s Detroit Business, a sister publication of Workforce Management. To comment, e-mail editors@workforce.com.


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Posted on November 16, 2009August 31, 2018

Federal Pay Limits Create Storm at AIG



American International Group Inc. CEO Robert H. Benmosche’s reported threat to quit last week—and subsequent pledge to continue his work at AIG—set the stage for a battle over pay curbs, while underscoring the enormous challenges AIG still faces, observers say.


Concerns that Benmosche might step down came after a Wall Street Journal report on November 11 that said he was considering resigning because of executive compensation constraints imposed by the U.S. government, and particularly the most recent review by Kenneth Feinberg, the Treasury Department’s special master for Troubled Asset Relief Program executive compensation.


According to the report, which cited anonymous sources, Benmosche told directors he was “done” with the job he took in August—becoming AIG’s third CEO since its 2008 bailout—because the pay policies hurt his ability to retain top executives.


The report touched off a wave of speculation, and hours later Benmosche sought to calm concerns with a memorandum signaling he planned to stay at AIG.


The chief executive told employees he was “totally committed to leading AIG through its challenges,” while acknowledging that he has been frustrated by negotiations to devise an executive compensation plan that is “fair.” He called the pay issue a “barrier that stands in the way of restoring AIG’s value” and repaying its government debt.
Benmosche told employees he would continue “to fight on your behalf” and said the company is involved in ongoing discussions with Feinberg.


Last week’s development “raises the stakes,” said Bill Bergman, an analyst with Morningstar Inc. in Chicago. “AIG has made their case public, and it’s clear they intend to fight this issue.”


Benmosche’s reported threat to step down might have “simply been the result of emotions boiling over,” but it could signal that the former MetLife Inc. CEO is “under even more pressure than he anticipated when he took the job,” said Mark Lane, a research analyst with William Blair & Co. in Chicago.


Last month, Feinberg ordered pay cuts averaging 50 percent for the top 25 executives at seven companies that had received Treasury funding, including AIG, among other changes.


The rules applied for the rest of 2009, but were expected to be used as the basis for a compensation program for 2010, Feinberg said. In addition, he is expected to rule on pay structures for the next 75 highest-paid employees by year’s end.


“There is likely a lot of push and pull going on, and it’s possible that the solutions being offered by the government are even more severe than anticipated,” said John A. Challenger, CEO of executive recruiter Challenger, Gray & Christmas Inc. in Chicago.


Observers said there are strong pay arguments on both sides.


“On one hand, there is a lot of political pressure; but on the other hand, the restrictions mean AIG is at a serious competitive disadvantage,” Lane said.


The issue of executive compensation has become even more acute as the economy begins to recover and other opportunities emerge for staff, observers say.


“I think there will continue to be an exodus of talent,” Lane said.


“I don’t think you will see a hundred employees walk out the door, but there will be some departures, and it will likely be the key players who decide to leave,” said Richard V. Smith, senior vice president at Sibson Consulting in New York. “These are the exact people you need on your team to rebuild the company.”


Beyond any short-term financial incentives, “employees are going to have to believe they have a future in the company,” said Morningstar’s Bergman. And AIG still faces the massive challenge of rebuilding its franchise and “inspiring confidence” in its future, he added.


AIG is working to sell assets, streamline its operations and improve profitability in an effort to repay the government after it received a 2008 bailout package of up to about $180 billion, in which the government took a roughly 80 percent stake in the company.


Benmosche, who came out of retirement to take the top job at AIG, is a “very driven CEO, and he does want to succeed,” said John Wicher of John Wicher & Associates Inc. in San Francisco. But from the beginning, the new CEO “made it pretty clear he was going to do things his way,” Wicher said.


For example, Benmosche disagreed with previous CEO Edward Liddy’s approach to asset sales and, instead, implemented a slower approach to restructuring, believing it would generate more money.


In addition, AIG has rebranded its property/casualty business, formerly AIU Holdings, as Chartis Inc., in an attempt to separate and ultimately spin off the unit.


Improvements seen
While observers say it’s too soon to judge Benmosche’s performance, they note that the company is showing signs of stability.


AIG this month posted a second consecutive quarterly profit. A recovery in the value of its investments helped, although its underlying insurance operations reported lower revenues. Following the results, New York-based Moody’s Investors Service said in a statement that the insurer has made progress on its restructuring plan and “will likely be able to repay the government loan.”


Had Benmosche quit, the move likely would have had a destabilizing effect on the organization, observers say. “It is in the board’s best interest to keep him in there. They do not want to go through this process all over again,” Lane said.


At the same time, “his willingness to fight demonstrates he is not just going to roll over, and that might actually boost morale,” Wicher said.


Meanwhile, AIG vice chairman Jacob A. Frenkel retired last week.


In a November 10 memo, Benmosche wrote that although Frenkel, who joined AIG in 2004, “had been contemplating this change for some time, Jacob had agreed to stay on to help AIG through its challenges. Now that AIG has stabilized, Jacob has decided to move ahead with his retirement.”




Filed by Colleen McCarthy of Business Insurance, a sister publication of Workforce Management. Business Insurance senior editor Mark A. Hofmann contributed to this report. To comment, e-mail editors@workforce.com.


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Posted on November 16, 2009August 31, 2018

Caterpillar Settlement Could Make 401(k) Advisors Vulnerable to Lawsuits Over Fees


Caterpillar Inc.’s announcement last week that it has reached a tentative settlement over the fees it charged its 401(k) plan participants may be bad news for plan sponsors, their advisors and mutual fund companies.


Not only could the settlement open the door to lawsuits against plan sponsors, but it also might put pressure on large companies to move away from using retail mutual funds in their 401(k) plans, experts said.


On November 5, Caterpillar agreed to pay $16.5 million to settle a lawsuit that alleged its 401(k) plans charged its employees unreasonable and excessive fees.


The suit, which was filed in 2006, was one of a dozen lawsuits against companies over 401(k) fees filed by the law firm Schlichter, Bogard & Denton.


While some of those suits were thrown out by the courts, the fact that Caterpillar settled is a signal to plaintiff’s attorneys that they have a leg to stand on in future litigation, noted Bart R. Bonga, vice president of Rothschild Investment Corp., a financial advisory firm that works with retirement plans.


“This is a watershed,” said Don Stone, president of Plan Sponsor Advisors, whose firm also works with retirement plans. “It says that a lot of these large companies would rather settle than go through the agony and years of possible litigation. I think there will more of these cases.”


But that doesn’t mean participants will always be victorious in these cases, said Greg Ash, head of the Employee Retirement Income Security Act litigation group at Spencer Fane Britt & Browne.


The Caterpillar case was a bit unique in that one of the company’s affiliates was managing some of the funds in the 401(k) plan, Ash said.


“There was a hint of self-dealing there that you don’t find in many other cases,” Ash said.


That won’t keep plaintiff’s attorneys from filing cases anyway, he said.


“I think this will at the very least drive the settlement levels up,” Ash said.


The Caterpillar settlement also has implications for the mutual fund industry, because in the settlement the company said it would no longer use retail mutual funds in its 401(k) plan. Instead, the firm will use cheaper options, like separate accounts and collective trusts.


“I think this settlement raises the question whether plan sponsors should be using retail mutual funds if there are other options available,” Stone said.


Caterpillar’s settlement of Martin v. Caterpillar Inc. is pending before the U.S. District Court of Illinois.


Filed by Jessica Toonkel Marquez of InvestmentNews, a sister publication of Workforce Management. To comment, e-mail editors@workforce.com.


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Posted on November 2, 2009August 31, 2018

Defense Bill Extends Military Families’ FMLA Coverage


President Barack Obama has signed into law a Defense Department spending bill that further expands Family and Medical Leave Act coverage for families of employees in the military.


The measure, H.R. 2647, builds on a 2008 law that gave new FMLA rights to military families.


Under the new law, signed by Obama on Wednesday, October 27, employees will be allowed to take up to 12 weeks of leave when a spouse, child or parent on active military duty is deployed to a foreign country. The 2008 law did not explicitly give FMLA leave rights in that situation.


In addition, the law allows employees to take up to 26 weeks of unpaid leave to take care of a child, spouse, parent or next of kin who was discharged from the military and whose military service aggravated a medical condition that existed prior to the service.


While the new law “makes changes around the edges” of the 2008 law and will affect a small number of employees, those changes will be very important to those individuals, said Matt Morris, a legal consultant with Hewitt Associates Inc.




Filed by Jerry Geisel of Business Insurance, a sister publication of Workforce Management. To comment, e-mail editors@workforce.com.


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Posted on October 30, 2009August 3, 2023

Legal Insight: Why You Need to Always Guard Your Words and Actions

I don’t get into a lot of legal issues at the Business of Management, but here’s a good one from Workforce Management advisory board member Stephen Paskoff.

Steve is a former EEOC trial attorney and management law firm partner. His Atlanta-based company, ELI, provides “a variety of programs and services that teach professional workplace conduct, helping our clients translate their values into behaviors, increase employee contribution, build respectful and inclusive cultures, and reduce legal and ethical risk.”

He also writes a blog that gets into a lot of legal issues in the workplace, and I found this blog post he wrote this week to be especially insightful given the explosion in social networking and modern communications. I’m happy to share it with you because readers tell us that they always need good workforce legal information, so take a read on this and let me know what you think:

“I’ve wondered when it would happen–for years there have been stories of athletes, proxies for other celebrities, who say and do what they want while their behavior is ignored, minimized or attributed to ‘locker room’ humor or conduct. But the doors of locker rooms, operating rooms, broadcasting booths and boardroom suites are wide open these days; conduct that used to be tolerated in the bastions of such resident ‘untouchables’ is now falling prey to general workplace standards, publicity, business harm and personal penalties.

“Just a few weeks ago, David Letterman’s staff affairs became the grist of other comics’ gags and gigs of online commentary. In quick succession, the married ESPN sportscaster Steve Phillips’ escapade with a much younger, single staffer led to his leave of absence and recent separation, following her releasing intimate details of her affair to his wife–and the public. She lost her job too.

“Also, ESPN suspended Bob Griese for making on-air disparaging comments about a Latino racecar driver. Almost before I’d finished reading that online scoop, another story broke about Larry Johnson, a Kansas City Chiefs running back who used a homophobic slur on Twitter and while addressing reporters. At the time of this writing, Johnson has been told to stay away from the team while the NFL and the Chiefs complete their investigation.

“What’s happening here is that the transparency of modern communications is preventing such behavior, no matter who the offender, from being swept under the rug, or bed, as the case may be. So the message is simple and direct, not just for those at the middle and bottom but also for organizational leaders and ‘high’ performers.

“As we have taught in Civil Treatment, ‘Guard your words and actions.’ The more public your role, the more cautious you must be. There is no invincibility when conduct is outrageous, unprofessional and uncivil. What’s increasingly obvious is that the issue involving such conduct is not simply legal risk. ESPN’s brand has been harmed by its broadcasters’ actions, and the careers of those involved have been tarnished if not ruined, in Phillips’ case.

“Whether lawsuits are filed and ultimately dismissed or settled is almost secondary. Business and irrevocable personal harm has been done, and all of it could have been avoided if standards of professionalism and behavior had been in place and understood and applied by everyone, at all levels.”

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Posted on October 23, 2009August 31, 2018

Observance of Wiccan New Year Ends in Religious Discrimination Suit

Last Halloween, Gina Uberti took vacation days to celebrate the Wiccan new year in Salem, Massachusetts, the town infamously known for the witch trials of 1692 that ended with the hanging of 14 women.


Less than a month after Uberti took part in the festivities of Samhain, one of the holiest days in the Wiccan calendar, she was fired from her job as a district sales manager for Bath & Body Works.


In a complaint filed in federal court in Connecticut last week, Uberti alleges she was unfairly terminated for practicing Wicca, known as the largest of neopagan religions.


Uberti alleges in the lawsuit that her boss said just before she was fired, “You will need a new career in your new year. … I will be damned if I have a devil worshiper on my team.”


Uberti says in the suit that her troubles at work began shortly after she returned from her trip to Salem. Her boss lamented that Uberti had chosen to go on vacation during a particularly important week at work, Uberti said. Uberti said her vacation had been approved by another manager a year in advance and that she had taken that particular time to celebrate a Wiccan holiday.


“That is the most ridiculous thing I’ve ever heard,” Uberti’s boss, Sandra Scibelli said, according to court documents.


Until she was fired November 20, 2008, Uberti had worked for the retailer for eight years, first as a manager in the company’s Milford, Connecticut, store and then as a sales manager from her home in nearby East Haven.


Uberti filed charges in February with the Equal Employment Opportunity Commission, which granted her the right to sue in September.


Bath & Body Works is part of Limited Brands Inc, based in Columbus, Ohio.


“We are an equal opportunity employer and do not discriminate against race, color, religion, gender, gender identity, national origin, citizenship, age, disability, sexual orientation or marital status,” says Robin Hoffman, specialist, external communications for Limited Brands. “Additionally, we do not comment on pending litigation.”


Uberti’s lawsuit seeks compensatory damages for emotional distress and damage to her career as well as lost pay, vacation days and pension benefits, as well as other restitution.


Tal Marnin, an attorney with White & Case in New York, says U.S. law prohibits religious discrimination regardless of whether the religion is widely practiced or not.


“The employee has to show she is a sincere believer and that her attending the ceremony was part of her religious observance and practice,” Marnin said.


The company would have to show Uberti’s absence caused it an “undue hardship,” Marnin said.


The Wiccan new year, Samhain, takes place the same day as the Celtic new year. It is considered one of the four holy festivals, or Sabbats, according to the complaint. Uberti says in her complaint that for the previous six years she had received and taken time off to make the annual new year’s pilgrimage to Salem.


Title VII of the Civil Rights Act protects covered employees from discrimination on the basis of race, color, religion, sex or national origin.


—Jeremy Smerd


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Posted on October 16, 2009August 31, 2018

$1.2 Million Judgment in Disability Case

Tammy Calef worked for FedEx as a service manager until February 2004, when, after having injured her hand, she was eventually told to go home, stay home and apply for short-term disability benefits. Before that instruction, however, Calef was scheduled by upper-level supervisors to drive a van and deliver packages, despite the hand injury. After two days, her hand got worse.


 


Despite the severity of Calef’s injury, FedEx continued to assign delivery duties to her. In early February 2004, Steve Hickman, the human resources manager, asked Calef if she was “sending out résumés.” Hickman offered her three months’ severance with medical benefits until the end of the year. Calef complained to manager Kyle Ryan, but for the next week Ryan sent daily notes to Hickman documenting problems with Calef’s performance unrelated to her hand injury. On February 13, 2004, Calef was assigned a delivery route consisting of more than 70 stops. She soon went back to Ryan and said, “My hand cannot do this.” Calef furnished doctors’ notes as requested and continued to work until she was told that she was to go home and told that she could not return to work until she presented a full release from her doctor.


Calef sued under the West Virginia Human Rights Act, alleging disability-based discrimination. A jury awarded Calef $1.2 million. FedEx appealed. The U.S. Court of Appeals for the 4th Circuit affirmed, finding that FedEx objectively treated Calef as disabled and that FedEx violated the company’s reasonable accommodation process by failing to explore with Calef whether she could remain on the job if provided with an accommodation, arbitrarily requiring her to take disability leave. Calef v. FedEx Ground Package Sys. Inc., 4th Cir., No. 08-2031, unpublished opinion (8/27/09).


Impact: Employers must always engage in an interactive process with employees seeking job accommodations. Employers should not assume that an employee is no longer able to perform the essential functions of her job with or without an accommodation, without speaking with the employee and receiving a doctor’s documentation of the impairment.


Workforce Management, October 19, 2009, p. 12 — Subscribe Now!


The information contained in this article is intended to provide useful information on the topic covered, but should not be construed as legal advice or a legal opinion. Also remember that state laws may differ from the federal law.

Posted on October 16, 2009August 3, 2023

California Appeals Court Rules History of Accommodation Not a Legal Shield for Employer


Despite a lengthy pattern of accommodating a disabled employee, a single failure to accommodate the worker violated California’s anti-discrimination law, a state appeals court ruled in a decision published Thursday, October 15.


Court records in A.M. v. Albertsons L.L.C. show a grocery store checker sued Albertsons in 2006 for a failure to accommodate her disability. She later amended her complaint to allege a violation of California’s Fair Employment and Housing Act. In 2008, a jury found the retail grocer failed to accommodate and awarded the plaintiff $200,000.


Five years earlier, the employee underwent chemotherapy and radiation treatment for cancer. The treatment affected her salivary glands, causing her to drink large volumes of water and urinate frequently, court records show.


Among other measures, Albertsons accommodated her during several months by allowing her to keep water at her work station despite a prohibition against it, and managers covered for her when she needed a bathroom break.


In 2005, a new supervisor began working at the store.


The supervisor was unfamiliar with the employee’s disability and failed to cover for her despite several desperate requests to leave her station, court records show. Unable to control herself, the worker urinated while standing at the register, court records show. As a result, she became withdrawn and suffered from depression, among other problems.


Albertsons argued that its 2005 failure to accommodate was trivial because it constituted a single incident in the context of a much greater period of successful accommodation beginning in 2004. But the appeals court called that interpretation inconsistent with FEHA because the statute “does not speak of a pattern of failure.”


“As is demonstrated by [this case], a single failure to make reasonable accommodation can have tragic consequences for an employee who is not accommodated,” the court ruled.


The appeals court affirmed the lower court’s decision.



Filed by Roberto Ceniceros of Business Insurance, a sister publication of Workforce Management. To comment, e-mail editors@workforce.com.


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