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2018 Employment Law Manual

By Andrew Kopon, Jr. and Maureen A. Murphy

Andrew Kopon Jr. and Maureen A. Murphy, have released Kopon Airdo’s updated comprehensive reference guide for employers.  The Employment Law Manual 2018 includes a discussion of recent judicial and legislative developments, information regarding the major federal employment law statutes, practical management considerations, and sample personnel policies, performance evaluations, and other personnel-related forms.

Please contact Maureen A. Murphy at (312) 506-4474 or [email protected] to request a copy of the 2018 Employment Law Manual.

TABLE OF CONTENTS

RECENT JUDICIAL AND LEGISLATIVE DEVELOPMENTS IN EMPLOYMENT LAW

Major United States Supreme Court Employment Law Decisions During 2017     11-14

Federal Arbitration Act Preempts State Law Disfavoring Arbitration Agreements       11

EEOC Subpoena Standard of Review     11

Scope of ERISA’s “Church Plan” Exemption     12

Prior NLRB Decisions May Be Open for Challenge    12

Wage Claims Retain Priority in Bankruptcy Court Settlement Proceedings    13

Sovereign Immunity of an Indian Tribe as Applied to Tribal Employees    14

Pending U.S. Supreme Court Decisions    14

Seventh Circuit Employment Law Decisions During 2017     15-18

Sexual Orientation Discrimination Under Title VII     15

Leaves Of Absence As An ADA Reasonable Accommodation    16

Disability Discrimination Claims – Proof Of Regular Attendance Required    17

Scope of Employers’ Tort Liability – Negligent Hiring    17

Sexual Harassment and Retaliation Lawsuit Not Subject to Arbitration Agreement      17

Americans with Disabilities Act     17

EEOC May Continue to Enforce its Subpoenas Despite Issuing Right-to-Sue Letter    18

Gender Discrimination    18

Major Employment Law Decisions During 2017 In Other Circuits    18-26

Maine Overtime Laws Liberally Construed in Favor of Employees     18

Three-Prong Burden Shifting Test for Discrimination in Massachusetts     19

Puerto Rico’s New Labor Transformation and Flexibility Act of 2017     19

Termination over Facebook Attack Violates NLRA     20

Sexual Orientation Discrimination Under Title VII (Second Circuit)     20

Notice of Termination, Alone, Constitutes Adverse Employment Action     20

Town’s Ordinance Regulating Roadside Employment Solicitation Unconstitutional      20

Attorney Afforded Retaliation Protection for Refusal to Engage in Unethical Conduct     21

Forum-Selection Clause in Employment Contract Upheld     21

Employee’s Release Agreement Construed Narrowly – Does Not Include FLMA Claims     21

No Retaliation Based on Political Speech    22

“Positive Work Environment” Policy Does Not Violate the NLRA     22

Employment Agreement’s Class-Action Waiver Upheld    23

“Cat’s Paw” Applies to Employment Discrimination Matters     23

Sexual Harassment: Harassing Manager had No Authority to Hire or Fire     23

Corporation’s Actual Practices Trumped by its Written Policy     24

Worker’s Right to Picket Protected Despite Alleged Racist Comments Made     24

 Beauty School Students are Not Employees     24

Scope of Dodd-Frank Act’s “Whistleblower” Protection is Broad     25

Employers Not Required to Turn Over Employee Tips if Minimum Wage is Otherwise Met    25

Dismissal Reversed in Case Alleging Race, Gender, or Disability Discrimination    25

Inadequate Pregnancy Accommodations Result in Constructive Discharge     26

Sexual Orientation Discrimination Under Title VII (Eleventh Circuit)     26

Employer Policies and National Labor Relations Act     27

Major Illinois State Employment Law Decisions During 2017     27

Cognizable claims under the Illinois Human Rights Act and its intersection with the Illinois Tort Immunity Act    27

Status of Transgender Legal Issues     28-30

Title VII Cases     29

Title IX Cases     29

Amendments to Illinois Vital Records Act-Transgender Persons and Changes to Their Birth Certificates    30       

Other Recent Legislative Developments in Employment Law    30-33

Abusive Conduct in the Workplace    30

Salary History Inquiry Laws     31

Medical Marijuana Update    32

Ban the Box Laws    32

Sick Leave Law Updates     32

Sexual Harassment – New Requirements for Local Governments    32

Illinois Human Rights Act – Religious Dress and Grooming    33

EMPLOYMENT LAW STATUTES

I.    TITLE VII OF THE CIVIL RIGHTS ACT OF 1964     35-65

Who is an Employer    35

Who is an Employee    35

The Equal Employment Opportunity Commission & Title VII    36

EEO Reporting Requirements/EEOC Notice    38

Who May Sue Under Title VII    38

Damages    38

Prohibited Conduct Under Title VII    39

Hostile Work Environment/Harassment     42

Sexual Harassment    44

Quid Pro Quo Harassment     44

Hostile Work Environment    44

Employer Liability for Sexual Harassment   45

Warning Signs of Sexual Harassment    46

Appropriate Ways for Supervisors to Respond to Sexual Harassment    46

How to Develop a Successful Sexual Harassment Policy    46

Affirmative  Defenses    47

Sex Discrimination and the Pregnancy Discrimination Act   50

Maternity Leave    51

Paternity Leave     51

Marital Status     52

Abortion     52

Religious Discrimination    52

Definition of “Religion”    52

Reasonable Accommodations for Sincerely Held Religious Beliefs    53

Undue Hardships    55

Title VII/Section 1981 Retaliation    55-57

Associational Retaliation Examples of Retaliation Under Title VII and the Civil Rights Act      57

Examples of Unlawful Conduct Under Title VII     59

Religious Discrimination     59

Race/Color Discrimination     60

National Origin Discrimination     61

 Sex Discrimination     61

Title VII Exemptions for Religious Organizations     61-62

The Ministerial Exception     63-65

II.     CIVIL RIGHTS ACT OF 1991     65-67

Scope of the Civil Rights Act of 1991     66

Differences From Title VII     66

Damages     66

III.   THE AMERICANS WITH DISABILITIES ACT     67-77

Retaliation Associational Discrimination     67

Who Monitors Enforcement of the ADA and ADAAA     67

To Whom Does the ADA Apply     68

What Does the ADA Require of Employers     68

What is a Disability     68

Who is a Qualified Individual     70

What is a Reasonable Accommodation    71

What is an Undue Hardship     73

Medical Examinations     74

Pre-Employment Inquiries     75

Last Chance Agreements     76

Damages     76

IV.   AGE DISCRIMINATION IN EMPLOYMENT ACT     77-82

Examples of Prohibited Activities    78

Permissible Actions by Employers    78

Constructive Discharge    79

Reverse Discrimination    79

Filing a Claim     80

Reductions in Force    80

WARN Act    80

Illinois WARN Act    80

Older Worker Benefits Protection Act: Severance Agreements and Releases of

Liability    81

Damages    81

V.    THE FAMILY AND MEDICAL LEAVE ACT     82-93

Who is an Employer    83

Joint Employers    83

What is a Serious Health Condition    83

Who is Eligible    84

How Can Leave be Taken    85

Calculating the Year for FMLA Purposes    85

Paid or Unpaid Leave    86

Employer Notice Requirements    86

Employee Notice Requirements    86

Husband and Wife Employed by the Same Employer    87

Supporting Documentation    87

Enforcement     87

Recordkeeping Requirements    88

Returning After the Leave Period Expires    88

Health Benefits During the Leave    89

Military-Related FMLA Leave    89

Qualifying Exigency Leave    89

Military Caregiver Leave    90

Special Considerations for Schools    91

Common FMLA Forms    92

 VI.   UNIFORMED SERVICES EMPLOYMENT AND REEMPLOYMENT RIGHTS ACT (USERRA)     92-97

What Employers are Covered Under This Law    92

What Employees are Covered Under This Law    93

What Does the Law Provide    93

 What Documentation May an Employer Request From a Covered Employee    94

What Position Must a Covered Employee be Restored to    94

What if the Covered Employee has Become Disabled While in Military Service    95

What Specific Rights and Benefits do Covered Employees Have    96

What Notice Requirements do Employees Have    97

VII.      THE FAIR LABOR STANDARDS ACT    97-111

What is the FLSA    98

Liability Under the FLSA    98

 Independent Contractors    99

Joint Employers    100

Who is an Exempt Employee    101

Special Rules for Certain Categories of Employees    102

FLSA Minimum Wage Requirements    104

Deductions    105

Hours Worked    106

FLSA Child Labor Requirements    108

FLSA Recordkeeping Requirements    109

The FLSA and The Equal Pay Act    109

State and Local Government Employees    110

Class Actions Under the FLSA    110

Arbitration Clauses    111

VIII.     THE NATIONAL LABOR RELATIONS ACT    111-113

The NLRA and the NLRB    111

Who is  Covered    111

What Activity is Protected    112

How Does the NLRA Affect My Organization    112

What Employment Policies Are Allowed    112

IX.   EQUAL PAY ACT    113-115

Definition of “Wages”    113

Definition of “Employer”    113

Pay Differentials    113

Stating a Claim    114

Defenses    114

Damages    115

Statute a Limitations    115

State Statues    115

X.   THE FAIR CREDIT REPORTING ACT    115-117

Who is Protected by the FCRA    115

What is a Consumer Report    116

Key Provisions of the FCRA    116

Investigations Exempt From the FCRA    117

XI.    SARBANES-OXLEY ACT OF 2002    117-120

Protection of Whistleblowers    117

Requirements of the Act    118

Arbitration Agreements    118

Filing a Claim    119

Damages    119

Compliance Guidance    120

XII.      THE ELECTRONIC COMMUNICATIONS PRIVACY ACT   120-122

Exceptions to Employers’ Interception of Communications    121

Intercepting Live Conversations    121

Penalties and Damages    122

Statute of Limitations    122

State “Wiretap” Statutes    122

Tips for Employers    122

XIII.      THE VOLUNTEER PROTECTION ACT    122-125    

Definition of “Volunteer”    123

Definition of “Nonprofit Organization”    123

Liability of Volunteers    124

Damages    124

Preemption of State Volunteer Laws    124

Recommendation for Not-for-Profit Organizations    125

XIV.     RETALIATORY DISCHARGE UNDER ILLINOIS COMMON LAW    125

XV.      VARIOUS ILLINOIS STATUTES    126-146

The Illinois Religious Freedom and Marriage Fairness Act    126

The Illinois Employee Credit Privacy Act    127

The Illinois Human Rights Act    127

The Victims’ Economic Security and Safety Act    130

Illinois Equal Pay Act    113

Privacy in the Workplace Statutes    135

Personnel Record Review Act    137

Wage Payment and Collection Act    139

Illinois Minimum Wage Law    140

Veterans Preference in Private Employment Act    142

Illinois One Day Rest in Seven Act    143

Illinois Right of Publicity Act    143

Illinois Child Bereavement Leave Act    144

Illinois Pregnancy Accommodation Act    145

Illinois Freedom to Work Act    145

Illinois Sick Leave Laws    145

XVI.      ARBITRATION AGREEMENTS    146-150

General Principles    146

The Federal Arbitration Act    146

What Types of Arbitration Agreements are Unenforceable    146

Arbitrator’s Decisions    147

Appealing an Arbitrator’s Decision    148

State Statutes    148

Suggestions for Drafting and Executing Arbitration Agreements    149

XVII.    EMPLOYEE HANDBOOKS    150-160

At-Will Employment    151

 Handbooks and Implied Contracts    151

Acceptance of the Handbook    155

Disclaimers    156

 Modification of an Existing Employee Handbook    157

Drafting an Employee Handbook    158

 PRACTICAL EMPLOYMENT CONSIDERATIONS

XVIII.  EMPLOYMENT LIABILITY INVESTIGATIONS    162-174

Employer’s Duty to Investigate    163

How Should an Employer Plan an Investigation    164

Conducting an Investigator    166

Concluding an Investigation: The Investigative File and Report    171

XIX.     PREVENTATIVE EMPLOYMENT MEASURES    174-184

Job Postings    174

Pre-Employment Screening    175

Hiring    176

Performance Reviews    178

Disciplinary Action    179

Leave of Absence Policies    180

Advancements or Promotions    181

Layoffs and Terminations    181

Severance Agreements    182

References for Former Employees    183

APPENDIX

 XX.     EMPLOYMENT POLICIES AND FORMS    185-212

IDHR Questionnaire

Employee Handbook Acknowledgement Form    186

Americans With Disabilities Act (ADA) Statement    187

Whistleblower Protection    189

Drugs and Alcohol – Zero Tolerance Policy    190

Equal Employment Opportunity (EEO) Policy    192

Image Consent and Release Form    193

Social Media Policy    194

Sexual Harassment Prevention Policy    195

Retaliation/Reprisal Prohibition-Confidentiality    196

Supervisors’ Responsibilities/Policy Implementation    197

Employments Rights/Complaints Procedures    197

Employee Complaint Form    199

Confidential Investigation Report    202

Employee Performance Review Forms    203