The Supreme Court has released its opinion in Perez v. Mortgage Bankers Association, a significant administrative law case impacting the Labor Department and NLRB’s rule-making authority. In a 9-0 decision, the Court held that an executive agency can change its interpretation of its own rules/regulations without going through a notice-and-comment period. This decision overturns the previous standard (the Paralyzed Veterans doctrine), which did require federal agencies to go through public notice-and-comment procedures if they substantially altered an “interpretive” rule. Read more background and commentary at SCOTUSBlog.
Today, oral arguments were heard in a case challenging part of Seattle’s new $15 minimum wage laws. The International Franchise Association, represented by Paul Clement, argues that the law violates franchisor’s First Amendment rights, discriminating against franchisees as it designates their stores as “big businesses” ineligible for delayed enactment. The case is International Franchise Association Inc., et al. v City of Seattle, et al., and the complaint can be found here. The Associated Press and POLITICO report.
Hundreds of Dubai construction workers went on strike Tuesday morning, in one of the most public demonstrations by workers in the region. The United Arab Emirates and many other Persian Gulf states ban both workers’ unions and protesting in public areas. Most workers were migrants from India, Pakistan and Bangladesh, protesting pay cuts and deteriorating working conditions. Police dispersed the crowds within an hour, and local authorities claim disputes between the workers and their employer have been resolved. The Wall Street Journal reports.
Monday evening, President Obama expressed his disappointment in the passage of Wisconsin’s new right to work law. “It’s inexcusable that, over the past several years, just when middle-class families and workers need that kind of security the most, there’s been a sustained, coordinated assault on unions, led by powerful interests and their allies in government,” the President remarked. POLITICO reports.
A week after the District of Columbia has legalized marijuana, D.C. employers and unions are maneuvering to adjust related employment laws and policies. A current emergency measure in D.C. bans requiring drug testing of prospective employees before extending job offers. Under this measure, employers still have a right to enforce their own drug policies, including mandatory screenings, for anyone on payroll. In Colorado, where marijuana has been legalized since 2012, a handful of employees dismissed for marijuana use have filed lawsuits claiming that medical marijuana use is a “lawful” activity for which an employer cannot terminate employees. Commentators anticipate similar litigation to begin appearing in D.C. The Washington Post reports.
Daily News & Commentary
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May 14
MLB begins negotiating; Westchester passes a new wage act; USDA employees sue the Agriculture Secretary.
May 13
House Republicans push for vote on the SCORE Act; Wells Fargo wins 401(k) forfeiture appeal; Georgia passes portable benefits bill.
May 12
Trump administration proposes expanding fertility care benefits; Connecticut passes employment legislation; NFL referees ratify new collective bargaining agreement.
May 11
NLRB Judge finds UPS violated federal labor law; Tennessee bans certain noncompetes; and Colorado passes a bill restricting AI price- and wage-setting
May 10
Workers at the Long Island Rail Road threaten to strike, and referees at the National Football League reach a collective bargaining agreement.
May 9
HGSU wraps up its third week on strike and economists find that firms tend to target workers with “wage premiums” for AI replacement.