May 2012, State Employment Laws and Regulations, Wages ...



[pic] | |

|[pic] |

State Employment Law Library Update

October 2012

Alabama Agency Information

On October 1, 2012, the Department of Industrial Relations merged with and became part of the Alabama Department of Labor. The Internet website is now Offices of the Alabama Department of Labor located in the RSA Union Bldg. Suite 620-630, 100 North Union Street, Montgomery, Alabama have moved and are now located in the Department of Industrial Relations building on 649 Monroe Street, Montgomery, Alabama 36131. For contact information, call the Department of Labor at (334) 242-3460 (Alabama Department of Industrial Relations News Release, September 24, 2012).

Alabama Violence in the Workplace

The state has clarified its stalking provisions with the enactment of “Tracy’s Law” (Act No. 2012-380 (H. 75), L. 2012). Summaries, State Employment Law Library ¶1-3300.

Alabama Workers’ Compensation

Sports officials are deemed independent contractors and thus are exempt from workers’ comp coverage (Act No. 2012-523 (H. 497), L. 2012). Summaries, State Employment Law Library ¶1-4300.

California Access to Personnel Files

Effective January 1, 2013, employers will be required to maintain personnel records for a period of not less than three years after termination of an employee’s employment, and to provide a current or former employee, or his or her representative, an opportunity to inspect and receive a copy of those records within a specified period of time, except during the pendency of a lawsuit filed by the employee or former employer relating to a personnel matter. An employee who is covered by a valid collective bargaining agreement is not subject to these provisions if the agreement provides for a procedure for inspection and copying of personnel records. If an employer violates these provisions, a current or former employee or the Labor Commissioner may recover a penalty of $750 from the employer (A. 2674, L. 2012, enacted September 30, 2012). Full text, State Employment Law Library ¶5-23,700.01 and ¶5-41,051. Summaries, State Employment Law Library ¶5-8500.

California Affirmative Action

The Department of Human Resources has been given the responsibility of enforcing the state’s affirmative action law (Ch. 360 (S. 1309), L. 2012). Full text, State Employment Law Library ¶5-23,402.01—¶5-23,402.11.

California Fair Employment Practices

The Department of Human Resources has been given the responsibility of enforcing the state employment antidiscrimination law (Ch. 360 (S. 1309), L. 2012). Full text, State Employment Law Library ¶5-20,028.02—¶5-20,028.11. Summaries, State Employment Law Library ¶5-2600 and ¶5-2800.

Also, California Governor Edmund G. Brown, Jr., has signed a law which will provide that, for purposes of the California Fair Employment and Housing Act, the term “sex” includes breastfeeding and medical conditions related to breastfeeding. The Fair Employment and Housing Act makes it unlawful to engage in specified discriminatory practices in employment or housing accommodations on the basis of sex (Ch. 701 (A. 2386), L. 2012, effective January 1, 2013). Full text, State Employment Law Library ¶5-20,025.26. Summaries, State Employment Law Library ¶5-2500.

California Garnishment

Under the California Code of Civil Procedure, the amount of earnings subject to a wage withholding order is limited to the amount specified by federal law. Operative July 1, 2013, the maximum amount of disposable earnings subject to levy, for any workweek, shall not exceed the lesser of: (1) 25% of the individual's disposable earnings for that week; or (2) the amount by which the individual’s disposable earnings for that week exceeds 40 times the state minimum hourly wage in effect at the time the earnings are payable. For pay periods other than weekly, the following multipliers are to be used to determine the maximum amount of disposable earnings subject to levy under an earnings withholding order: (1) for a daily pay period, the amounts shall be identical to the amounts described above; (2) for a biweekly pay period, multiply the state hourly minimum wage by 80 work hours; (3) for a semimonthly pay period, multiply the state hourly minimum wage by 86 2/3 work hours; and (4) for a monthly pay period, multiply the state hourly minimum wage by 173 1/3 work hours. “Disposable earnings” is defined as the portion of an individual’s earnings that remains after deducting all amounts required to be withheld by law. On or before July 1, 2013, the Judicial Council is to revise the employer’s instructions to specify the method of computation to be used (A. 1775, L. 2012, enacted September 23, 2012). Full text, State Employment Law Library ¶5-46,117 and ¶5-46,133. Summaries, State Employment Law Library ¶5-5600.

California Meal and Rest Periods

California’s Fair Employment and Housing Act prohibits discrimination in employment based upon sex. Effective January 1, 2013, the term “sex” will be expanded to include “breastfeeding or medical conditions related to breastfeeding” (Ch. 701 (A. 2386), L. 2012, enacted September 28, 2012). Full text, State Employment Law Library ¶5-44,238a and ¶5-44,238b. Summaries, State Employment Law Library ¶5-1400.

California Minimum Wage

Effective January 1, 2013, in addition to any other penalty, an employer who willfully fails to pay and has the ability to pay a final court judgment or final order issued by the Labor Commissioner for all wages due to an employee who has been discharged or who has quit within 90 days of the date that the judgment was entered or the order became final is guilty of a misdemeanor. “Final court judgment or final order” means a court judgment or order as to which the time to appeal has expired and there is no appeal pending. If the total amount of wages due is $1,000 or less, upon conviction, the employer shall be fined not less than $1,000 nor more than $10,000 or imprisoned in a county jail for not more than six months, for each offense. If the total amount of wages due is more than $1,000 upon conviction, the employer shall be fined not less than $10,000 nor more than $20,000, or imprisoned in a county jail for not less than six months, nor more than one year, or both the fine and imprisonment, for each offense. If there are multiple failures to pay wages involving more than one employee, the total amount of wages due to all employees shall be aggregated together for purposes of determining the level of fine and the term of imprisonment (Ch. 867 (S. 1144), L. 2012, enacted September 30, 2012). Full text, State Employment Law Library ¶5-41,046a. Summaries, State Employment Law Library ¶5-1000 and ¶5-1200.

California Overtime Pay

California law generally requires payment of overtime rates for hours worked over eight hours in a day or 40 hours in a workweek. Overtime at the rate of one and one-half times the employee’s regular rate applies for hours worked in excess of eight hours in one day, any hours worked in excess of 40 hours in a workweek, and the first eight hours worked on seventh day of work. Overtime at the rate of twice the regular rate applies for hours worked over 12 hours in any one day, as well as for hours worked in excess of eight on the seventh day.

This law also provides that for the purpose of computing the overtime rate for a nonexempt full-time salaried employee, the employee's regular hourly rate shall be 1/40th of the employee's weekly salary.

This law has been amended to clarify that payment of a fixed salary to a nonexempt employee shall be deemed to provide compensation only for the employee's regular, nonovertime hours, notwithstanding any private agreement to the contrary. In making these changes, the California Legislature seeks to overturn the 2011 decision in Arechiga v Dolores Press, 192 Cal.App.4th 567 (Ch. 820 (A. 2103), L. 2012, enacted September 30, 2012, and effective January 1, 2013). Full text, State Employment Law Library ¶5-44,007. Summaries, State Employment Law Library ¶5-1100.

California Social Media Privacy

California Governor Edmund G. Brown, Jr. has signed two bills that increase privacy protections for social media users in California. Assembly Bill 1844 (Ch. 618) and Senate Bill 1349 (Ch. 619) prohibit universities and employers from requiring that applicants give up their email or social media account passwords.

Assembly Bill 1844 prohibits employers from demanding user names, passwords or any other information related to social media accounts from employees and job applicants. Employers are banned from discharging or disciplining employees who refuse to divulge such information under the terms of the bill. However, this restriction does not apply to passwords or other information used to access employer-issued electronic devices. The bill further stipulates that nothing in its language is intended to infringe on employers’ existing rights and obligations to investigate workplace misconduct.

Senate Bill 1349 establishes a similar privacy policy for postsecondary education students with respect to their use of social media. While the bill prohibits public and private institutions from requiring students, prospective students and student groups to disclose user names, passwords or other information about their use of social media, it stipulates that this prohibition does not affect the institution’s right to investigate or punish student misconduct.

California Veterans’ Preference

The state has enacted a law specifying that veterans who have completed acceptable training in the United States Armed Forces as military law enforcement officers shall be allowed 15 additional points for any entrance examination for a peace officer position (Ch. 768 (S. 1563), L. 2012). Full text, State Employment Law Library ¶5-21,750.08.

California Violence in the Workplace

The state’s Welfare and Institutions Code has been amended to add requirements that state mental health hospitals update their injury and illness prevention plans at least once each year; establish an injury and illness prevention committee; and develop an incident reporting procedure that can be used to develop reports of patient assaults on employees and assist the hospital in identifying risks of patient assaults on employees (Ch. 751 (A. 2399), L. 2012). Summaries, State Employment Law Library ¶5-3300.

California Wage Payment

Itemized wage statements. Employers are required, semimonthly or at the time of each payment of wages, to furnish each employee with an accurate itemized statement, in writing, that includes certain specific wage and hour information. Beginning July 1, 2013, temporary services employers must also include on this statement the rate of pay and the total hours worked for each temporary services assignment. However, this requirement for temporary service employers would not apply to a security services company that is licensed by the Department of Consumer Affairs and that solely provides security services (Ch. 842 (A. 2674), Ch. 843 (S. 1255) and Ch. 844 (A. 1744), L. 2012, enacted September 30, 2012, and effective January 1, 2013). Full text, State Employment Law Library ¶5-46,043 and ¶5-46,043a. Summaries, State Employment Law Library ¶5-1200.

Notice at time of hiring. Employers must provide each employee, at time of hire, with a written notice, in the language the employer normally uses to communicate employment-related information to the employee, that contains certain specified information, including rate of pay, how paid, the employer’s regular pay day, employer contact information, etc. This law has been amended effective January 1, 2013, to provide that if the employer is a temporary services employer, such notice must also include the name, the physical address of the main office, the mailing address if different from the physical address of the main office, and the telephone number of the legal entity for whom the employee will perform work, and any other information the Labor Commissioner deems material and necessary; this requirement for temporary services employers does not apply to a security services company that is licensed by the Department of Consumer Affairs and that solely provides security services (Ch. 844 (A. 1744), L. 2012, enacted September 30, 2012). Full text, State Employment Law Library ¶5-46,109a. Summaries, State Employment Law Library ¶5-1200.

Employment contracts; Commissions. When entering an employment contract that involves commissions, employers are required, by January 1, 2013, to put such contracts in writing and to include the method by which the commissions will be computed and paid. The employer must give a signed copy of the contract to every employee who is a party to the contract, and must obtain a signed receipt for the contract from each employee. This law is amended to exempt from this requirement covering commissions “temporary, variable incentive payments that increase, but do not decrease, payment under the written contract” (Ch. 826 (A. 2675), L. 2012, enacted September 30, 2012). Full text, State Employment Law Library ¶5-46,215. Summaries, State Employment Law Library ¶5-1200.

California Whistleblower Protection

Effective January 1, 2013, protection will be expanded for whistleblowers under the False Claims Act. Relief will be available to employees, contractors and agents (Ch. 647 (A. 2492), L. 2012). Summaries, State Employment Law Library ¶5-3600.

California Workers’ Compensation

As previously reported, California Governor Edmund G. Brown Jr. has signed landmark legislation – backed by both Democrats and Republicans – to reduce costs to businesses and protect workers by cutting out hundreds of millions of dollars in waste from California’s workers’ compensation system. The bill, S. 863, reverses a four-year trend of rate increases. Without reform, these costs would continue to escalate, which would mean higher costs for businesses and smaller payments for injured workers.

In the past two years, the costs of workers’ comp insurance have risen from $14.8 billion to $19 billion, with an estimated 12.6% increase projected in the near future. By reducing systemic inefficiencies and unnecessary expenses, Senate Bill 863 will save businesses $1 billion in 2013, increase payments to disabled workers by 30%, and improve the delivery of medical treatment, retraining and other benefits (Office of the Governor News Release, September 18, 2012; Ch. 363 (S. 863), L. 2012, effective January 1, 2013). Summaries, State Employment Law Library ¶5-4300.

Colorado Minimum Wage

The Colorado Department of Labor and Employment, Labor Standards, has scheduled a hearing on November 1 to consider adoption of Colorado Minimum Wage Order Number 29, 7 CCR 1103-1, to reflect the new state minimum wage rate for 2013, pursuant to Article XVIII, Section 15, of the Colorado Constitution. The new Order Number 29, if approved, would increase the state minimum wage from $7.64 to $7.78 per hour effective January 1, 2013. The minimum wage rate for tipped employees would increase from $4.62 to $4.76 per hour. The hearing on the proposed rule or amendment is set for Thursday, November 1, 2012, at 2:00 p.m., at the Colorado Division of Labor, 633 17th Street, Second Floor, Suite 200, Denver CO 80202. Comments must be received by November 5, 2012, and can be sent by mail, by FAX to (303) 318-8400, or by email to isabel.cummings@state.co.us. For more information about the proposed rule or amendment, contact Isabel Cummings, Rule Coordinator at (303) 318-8458 at the Department of Labor and Employment (Colorado Department of Regulatory Agencies (DORA) Bulletin, September 27, 2012). Full text, State Employment Law Library ¶6-41,001. Summaries, State Employment Law Library ¶6-1000.

Connecticut Family Medical Leave

Although an employer employed more than 1,000 employees nationwide, because it did not employ 75 or more employees within the state of Connecticut, it was not subject to the provisions of the Connecticut Family and Medical Leave statute, ruled the Connecticut Supreme Court (Velez v Commissioner of Labor, official release date September 25, 2012, Palmer, R). Contrary to the determination of the trial court, the Connecticut high court agreed with the state’s labor commissioner and employer that Sec. 31-51qq-42 of the regulations was dispositive of the meaning of Conn Gen Stat Sec. 31-51kk(4) because agency regulations are presumed to be valid and have the force and effect of a statute. Summaries, State Employment Law Library ¶7-7000.

Iowa Unemployment Insurance

The taxable wage base in Iowa for 2013 will be $26,000, an increase of $700 from the 2012 taxable wage base amount of $25,300. Summaries, State Employment Law Library ¶16-1700.

Michigan Background Checks

The state has enacted a law extending until October 1, 2015, the sunset on processing fees for fingerprinting and criminal record checks that are requested for employment-related or licensing-related purposes (P.A. 318 (H. 5793), L. 2012). Full text, State Employment Law Library ¶23-23,601.21. Summaries, State Employment Law Library ¶23-9000.

Michigan Garnishment

State law covering writs of garnishment of periodic payments has been revised to provide that a writ of garnishment of wages, salary, commissions or other earnings remains in effect for 182 days (P.A. 304 (H. 5592), L. 2012, effective September 25, 2012). Full text, State Employment Law Library ¶23-46,027. Summaries, State Employment Law Library ¶23-5600.

Michigan Medical Marijuana

The Sixth Circuit in a split decision has affirmed a district court’s dismissal of a former Wal-Mart employee’s claim that he was wrongfully discharged for testing positive for marijuana that he used in accordance with the Michigan Medical Marijuana Act (MMMA) because the Act does not regulate private employment (Casias v Wal-Mart Stores, Inc, September 19, 2012, Clay, E). In order to reach the issue, the appeals court first affirmed the lower court’s refusal to remand the case back to state court for lack of complete diversity; the defendant manager who merely delivered the corporate office’s command to fire the employee was fraudulently joined to defeat diversity because he could not be held liable under Michigan law for a decision in which he did not participate. Summaries, State Employment Law Library ¶23-2600.

Minnesota Employee Misclassification

The independent contractor exemption certificate (ICEC) program has been replaced with a simplified two-year pilot project for the registration of contractors who provide building construction and improvement services on or after September 15, 2012. The new law establishes a framework, including the nine-factor test, within which individual construction workers shall be determined to be employees or independent contractors. Contractors must also ensure their subcontractors' business filings are active with the Secretary of State and must have written contracts with their subcontractors in order to be able to treat them as independent contractors rather than employees. Online registration is available at . Penalties may be assessed for failure to register, hiring unregistered contractors, misclassifying workers and coercing others to form a business entity (Ch. 295 (S. 1653), L. 2012). Full text, State Employment Law Library ¶24-48,003.

Minnesota Unemployment Insurance

Minnesota’s taxable wage base for 2013 will be $29,000. This is a $1,000 increase from the 2012 base amount of $28,000. Summaries, State Employment Law Library ¶24-1700.

Missouri Health Insurance Benefit Coverage

On September 12, 2012, members of the Missouri House voted to override Governor Jay Nixon’s July 12th veto of Senate Bill 749, legislation designed to protect employers who have a religious or moral objection to providing a health plan that offers coverage for abortion, contraception or sterilization. The House approved the override motion by a vote of 109-45. The override was approved by the Senate earlier in the day by a vote of 26-6. The law will go into effect October 12, 2012 (Missouri House of Representatives, House Communications – News, September 12, 2012). Summaries, State Employment Law Library ¶26-4000.

Missouri Unemployment Insurance

Missouri’s taxable wage base will remain $13,000 for 2013. Summaries, State Employment Law Library ¶26-1700.

Montana Medical Marijuana

Vacating a preliminary injunction that barred the state from enforcing a law limiting the distribution of medical marijuana, a divided Montana Supreme Court held there was no fundamental right for individuals to use the drug or to pursue employment by distributing it (Montana Cannabis Industry Association v State of Montana, September 11, 2012, Wheat, M). As such, the lower court erred in applying strict scrutiny when it enjoined enforcement. Summaries, State Employment Law Library ¶27-2600.

Montana Minimum Wage

The minimum wage in Montana will increase from $7.65 per hour to $7.80 per hour, effective January 1, 2013.

Montana law requires that the state minimum wage be adjusted each year based on changes in inflation as measured by the Consumer Price Index, to be calculated each September 30 based on any increase in the CPI, rounded to the nearest five cents. The 2013 rate reflects a 1.7 percent increase in the CPI from August 2011 to August 2012, calculated as $7.65 x .017% equals $0.13 rounded to $0.15.

No tip credit, training wage or meal credit is allowed in the state of Montana. Businesses not covered by the federal Fair Labor Standards Act whose annual gross sales are $110,000 or less may pay $4.00 per hour. However, if an individual is producing or moving goods between states or otherwise covered by the Fair Labor Standards Act, the employee must be paid the greater of either the federal minimum wage ($7.25) or Montana’s minimum wage (Montana Department of Labor and Industry, Commissioner’s Office, News Release, October 1, 2012). Full text, State Employment Law Library ¶27-41,009. Summaries, State Employment Law Library ¶27-1000.

Montana Posters

A revised 2012/2013 Minimum Wage Poster has been added. Summaries, State Employment Law Library ¶27-9900.

Montana Unemployment Insurance

The taxable wage base in Montana for 2013 will be $27,900, an increase of $900 from the 2012 taxable wage base of $27,000. Summaries, State Employment Law Library ¶27-1700.

New Jersey Equal Pay

Effective November 19, 2012, each employer with 50 or more employees must conspicuously post notice in each workplace, in a form issued by regulation promulgated by the Commissioner of Labor and Workforce Development, detailing the right to be free of gender inequity or bias in pay, compensation, benefits or other terms or conditions of employment under state and federal law prohibiting discrimination based on gender in the payment of wages or compensation. Employees must be provided with a written copy of the notice not later than 30 days after the form of notification is issued by the commissioner; at the time of the worker’s hiring, if the worker is hired after the issuance; annually, on or before December 31 of each year; and at any time, upon the first request of the worker (Ch. 57 (A. 2647), L. 2012). Full text, State Employment Law Library ¶31-42,012. Summaries, State Employment Law Library ¶31-2500.

New Jersey Posters

Effective November 19, 2012, each employer with 50 or more employees must conspicuously post notice in each workplace, in a form issued by regulation promulgated by the Commissioner of Labor and Workforce Development, detailing the right to be free of gender inequity or bias in pay, compensation, benefits or other terms or conditions of employment under state and federal law prohibiting discrimination based on gender in the payment of wages or compensation. The employer must post and provide such notice to employees, in writing, in English, Spanish, and any other language the commissioner has made available and for which the employer reasonably believes is the first language of a significant number of the employer’s workforce (Ch. 57 (A. 2647), L. 2012). Summaries, State Employment Law Library ¶31-9900.

Ohio Minimum Wage

Effective January 1, 2013, the minimum wage rate in Ohio will increase to $7.85 per hour for non-tipped employees, and to $3.93 per hour for tipped employees, plus tips. The increased minimum wage will apply to employees of businesses with annual gross receipts of more than $288,000 per year.

Currently, the state minimum wage is $7.70 per hour for non-tipped employees and $3.85 for tipped employees, plus tips, and applies to employees of businesses with annual gross receipts of more than $283,000 per year. The Constitutional Amendment passed by Ohio voters in November 2006 states that Ohio’s minimum wage shall increase on January 1 of each year by the rate of inflation. The state minimum wage is tied to the Consumer Price Index (CPI) for urban wage earners and clerical workers for the 12-month period prior to September. This CPI index rose 1.7 percent from September 1, 2011, to August 31, 2012. The Amendment also states that the wage rate for non-tipped employees shall be rounded to the nearest five cents.

For employees at smaller companies (with annual gross receipts of $283,000 or less per year in 2012, or $288,000 or less per year after January 1, 2013) and for 14- and 15-year-olds, the state minimum wage is $7.25 per hour. For these employees, the state wage is tied to the federal minimum wage of $7.25 per hour, which requires an act of Congress and the President’s signature to change (Ohio Department of Commerce News Release, September 28, 2012). Full text, State Employment Law Library ¶36-41,001. Summaries, State Employment Law Library ¶36-1000.

Ohio Posters

The 2013 Ohio Minimum Wage Poster has been added. Summaries, State Employment Law Library ¶36-9900.

Oregon Minimum Wage

The minimum wage in Oregon will increase from $8.80 to $8.95 an hour on January 1, 2013. State law enacted by Oregon voters in 2002 directs the BOLI Commissioner to adjust the minimum wage for inflation every September and round it to the nearest five cents. The adjustment accounts for inflation as measured by the Consumer Price Index (CPI), a statistic published by the United States Bureau of Labor Statistics measuring the average change in prices over time for a fixed “market basket” of goods and services, such as food, shelter, medical care, transportation fares and other goods and services people purchase for day-to-day living. Based on an increase in the CPI of 1.69% from August 2011 to August 2012, the calculation used for determining the minimum wage rate for 2013 is $8.80 x .0169 = $.1487, rounded to $.15 (Oregon Bureau of Labor And Industries (BOLI) Press Release, September 17, 2012). Full text, State Employment Law Library ¶38-41,005. Summaries, State Employment Law Library ¶38-1000.

Oregon Posters

The Oregon Bureau of Labor and Industries has issued an updated minimum wage poster for 2013, reflecting the new minimum wage of $8.95 that goes into effect on January 1, 2013. Summaries, State Employment Law Library ¶38-9900.

Rhode Island Access to Personnel Files

Rhode Island’s Access to Public Records Act has been amended with respect to what constitutes a public record, inspection and copying, and other procedural concerns (Ch. 448 (H. 7555), L. 2012). Full text, State Employment Law Library ¶41-23,800.01—¶41-23,800.06. Summaries, State Employment Law Library ¶41-8500.

Washington Minimum Wage

The minimum wage will increase to $9.19 per hour effective January 1, 2013. The state minimum wage applies to workers in both agricultural and non-agricultural jobs, although 14- and 15-year-olds may be paid 85 percent of the adult minimum wage ($7.81 for 2013). The Department of Labor and Industries calculates the state's minimum wage each year as required by Initiative 688, approved by Washington voters in 1998. The 15-cent-per-hour increase, from $9.04 to $9.19 an hour, reflects a 1.67-percent increase in the Consumer Price Index (for Urban Wage Earners and Clerical Workers, CPI W) announced earlier in September by the federal Bureau of Labor Statistics (BLS). The CPI-W measures average price changes for goods and services purchased by urban wage earners and clerical workers (Washington State Department of Labor and Industries News Release, September 28, 2012). Full text, State Employment Law Library ¶50-41,003. Summaries, State Employment Law Library ¶49-1000.

Washington Sexual Orientation Discrimination

A 2006 amendment to the Washington Law Against Discrimination adding sexual orientation as a protected class did not apply retroactively, the Washington Supreme Court ruled (Loeffelholz v University of Washington, September 13, 2012, Owens, S). Therefore, alleged discriminatory conduct against a lesbian employee that occurred pre-amendment was not actionable, the state high court held. However, the pre-amendment conduct was still admissible as background evidence to prove why a single comment made by the supervisor post-amendment was discriminatory. In so ruling, the state high court affirmed an appellate court’s reversal of summary judgment in her employer’s favor, but clarified that the court below erred in allowing recovery for the alleged pre-2006 conduct. Summaries, State Employment Law Library ¶49-2500.

................
................

In order to avoid copyright disputes, this page is only a partial summary.

Google Online Preview   Download