Employees of online retailers that are acquired by Walmart face significantly increased premiums for company-sponsored health coverage. As the New York Times reports, the health benefits Walmart provides to the employees of its online retail operations is inferior to those offered by its e-commerce competitors. Some worry that as Walmart expands into the e-commerce space, it could put negative pressure on the benefits offered in the e-commerce industry.
Yesterday, the Supreme Court denied cert. in Provident Savings Bank v. McKeen-Chaplin—a case in which the 9th Cir. Court of Appeals held that underwriters are not exempt from the Fair Labor Standards Act’s overtime requirements. Provident Savings Bank, which argued that mortgage underwriters are exempt from overtime requirements because they are “administrative employees” under FLSA, sought to resolve a circuit split on the issue (9th Cir. and 2nd Cir. have held that FLSA’s overtime requirements apply to mortgage underwriters; 6th Cir. has determined the opposite). Some businesses employ underwriters in jurisdictions on both sides of the split.
The U.S. Department of Labor recently announced the delay of two rules. On Friday, it announced a 90-day delay in the implementation of an Obama-era rule that modified the claims procedure requirements for employer-sponsored disability benefits. The rule, among other things, requires that claim denial notices include a full explanation of the denial decision. Yesterday, the Labor Department announced an 18-month delay for certain elements of its retirement rule. One element requires brokers to ask clients if they feel that accounts that charge commissions are in their best interest. Some worry that the delay foreshadows that key portions of the rule will be eliminated.
The New York Times reports that President Donald Trump paid over $1M in a labor settlement stemming from President Trump’s employment of 200 undocumented Polish construction workers who worked 12-hour shifts without proper safety equipment. After years of litigation, President Trump reached a settlement in 1998. The settlement documents were unsealed last week in response to a 2016 motion by Time Inc.
Daily News & Commentary
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July 3
Unions seek a preliminary injunction to prevent USDA downsizing; the D.C. District Court issues a preliminary injunction against new student loan regulations; Matt Bruenig releases an analysis of Starbucks’ ongoing legal battle against Starbucks Workers United.
July 2
First Circuit denies federal worker unions’ mandamus petition; federal court denies preliminary injunction against new union reporting rule; House introduces the Securing Agriculture’s Workforce Act.
July 1
Trump nominates Keith Sonderling as Labor Secretary; DOL eliminates disparate-impact liability from Title VI regulations; OPM finalizes rule allowing suitability-based removal of federal employees for post-appointment conduct.
June 30
SCOTUS ends removal protections for agencies; staff at NYC cocktail bar vote to unionize.
June 29
In today’s News and Commentary, student-athletes file a class action suit challenging the NCAA’s new Age-Based Rule, a federal judge declines to issue a preliminary injunction against FEMA’s reduction in force but expedites proceedings, and Gavin Newsom opposes California’s proposed billionaire tax in favor of a federal approach. On Thursday, DeJuan Campbell, at basketball player […]
June 28
Philadelphia utility workers announce July 4 strike; national parks workers vote to unionize; Michigan considers “right to disconnect” bill.