Anjali Katta is a student at Harvard Law School.
In today’s news and commentary, a pension fund wins at the Eleventh Circuit, casino unionization in Las Vegas, and DOL’s work-from-home policy changes.
A pension fund for unionized retail and grocery workers won an Eleventh Circuit appeal against Perfection Bakeries, which claimed it was overcharged nearly $2 million in federal withdrawal liability. The bakery argued the fund miscalculated its liability by going out of order when applying various statutory adjustments to the amount owed as outlined in ERISA. In a split decision, Judge Kevin Newsom, writing for the majority, ruled that ERISA supports applying such credits earlier in the four-step process, as the fund had done, and rejected the bakery’s interpretation. The decision aligns with the Ninth Circuit’s ruling and the only other appellate ruling addressing the issue when to apply statutory adjustments to withdrawal liability. Judge Andrew Brasher dissented, criticizing the fund for initially using a different method for calculating liability and only switching their methods after the Ninth Circuit’s 2018 decision.
For the first time in its 90-year history, the Culinary Workers Union, an affiliate of UNITE HERE, represents workers at all major casinos in the Las Vegas Strip. This record breaking achievement was secured by recent contracts signed between management and workers at the Venetian and Fontainebleau casinos. The union, which represents over 60,000 workers, won five-year contracts with pay increases of up to 32%, improved workplace conditions, improved pensions, health insurance, and other benefits. The increase in unionization on the Strip, which stands in sharp contrast to national trends, was not without difficulty. For example, some workers accused the union of deducting dues despite their objections to union membership. However, for many workers, the stability provided by a union in a transient industry allowed the union to prevail and gain popularity—on average at each casino, between 95-98% of workers opted into union membership.
The U.S. Labor Department is easing its return-to-office policy, allowing more flexible ‘situational’ telework for staff attending medical appointments, traveling, or those who are mildly ill but able to work. An internal memo circulated by the DOL’s assistant secretary for administration and management clarified that subagency leaders within the DOL can approve such informal telework arrangements to maintain workflow. Previously, telework was limited to emergencies or special cases. The shift in policy comes despite President Trump’s Executive Order to end remote work and send federal workers back to their offices for in-person work. The DOL has not commented on the memo.
Daily News & Commentary
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August 30
Seattle teachers vote to authorize a strike days before the school year begins; BNSF Railway’s AI dispatching system puts workers in danger; and a California court finds that the DOL’s pay cuts for non-citizen farmworkers are unlawful.
August 28
Calls for a “token tax” on AI consumption grow and the number of Amazon workers on federal aid explodes.
August 27
NLRB GC targets Biden-era precedent; Starbucks Workers United calls for boycott; Encore Boston Harbor workers authorize strike
August 26
Trump administration proposes $103,000 H-1B visa fee after court blocks earlier attempt; Illinois governor signs law enabling state investment in AFL-CIO housing trust; Deloitte pays $21.5 million to settle DOJ probe alleging DEI-related discrimination in federal contracts.
August 25
Hyundai workers reach a tentative agreement; Federal-sector unions sue the Trump Administration over OPM rule changes; Federal judge dismisses a teachers’ union free speech suit.
August 24
Boeing engineers and technicians reject contract proposals and authorize a strike; Ninth Circuit holds that unions charged under 8(b)(4)(D) cannot invoke the work-preservation defense to disregard 10(k) determination.