Author Archives: Tara Ingalls

Understanding How the New NLRB Election Rules Affect Your Organization

By:  Jonathan T. Swain

Beginning April 14, 2015, the new NLRB election rules will take effect.  They promise to have a profound effect upon an NLRB election process that has remained relatively unchanged for the last 75 years.

If unions are able to take advantage of these new rules, which are designed to expedite the election process, they may be able to engineer the first successful resurgence in organizing in our time.  Those who say organized labor is on its last legs may be proven right, but these new rules are designed to give union organizing a renewed spring to its step.

If these new rules are designed to make union organizing easier, are there steps that employers can take to increase their odds of remaining union-free?  The answer is yes!  Here’s how:

It’s all about the calendars

Under the old rules employers had about six (6) weeks (39 days on average) from petition to vote to respond to an organizing effort.  Since employers enjoy broad free speech rights to lawfully discuss the issue of unionization during this time, the facts are that once fully informed of what it means to be in a union, how bargaining really works, the costs of union membership and loss of their workplace independence, employees often rejected the union’s solicitations.  Since unions and the NLRB can’t silence free speech with new laws or regulations, the one thing they can do is limit its opportunity.

Therefore, the new regulations seek to shorten the time from petition to election, to a two (2) to three (3) week period, instead of the current six (6) weeks.

This will act to substantially limit the opportunity for the traditional employer communications, including factual handouts, informational meetings, questions and answers and a review of the union’s record.

What do the new rules provide for?

  • Expedited pre-election hearings.
  • Pre-hearing employer position statements in which the employer waives any issues not raised one day before the hearing.
  • Delaying voter eligibility questions until after the vote.
  • Expanded employee information provided to unions, including employee email addresses and phone numbers, if known.
  • Greater NLRB control over the place, date and time of the election.

What can a proactive employer do?

As we know, if a union can get at least thirty percent (30%) of the employees to sign authorization cards [it almost always waits until it has over sixty percent (60%)] it can petition for an election. The key is to act now to make a union unnecessary to your employees, while at the same time taking advance steps to prepare for a drive should it come.

What to do?

  1. Review your handbooks, rules, policies and overall employee relations approach. Are they lawful, fair and understandable? Do employees have an outlet for complaints and problem-solving? Will your rules and policies pass muster with the NLRB?
  2. Train, train, train. The best defense against employee dissatisfaction is well trained supervisors and managers. If they are good managers and leaders of people, employees will follow, as will organizational success.
  3. Vulnerability assessment. Review not only policies and managers, but how employees view your organization on a variety of fronts, such as wages, benefits, communications and the like. Employees want to feel a part of their organization.
  4. Action plan. Just as you have a disaster response plan for fires, severe weather or civil unrest, have one for the union drive. Be ready to respond immediately and have a broader plan ready to put into action. Be sure to have it preapproved by labor counsel.  The old motto of “be prepared” certainly applies and the employers that take it to heart will continue to be in the best position possible to avoid a union’s efforts to organize its employees.

The old motto of “be prepared” certainly applies and the employers that take it to heart will continue to be in the best position possible to avoid a union’s efforts to organize its employees.

 

 

Registration is now open for our Annual Compliance/Best Practices Seminar!

Registration and a continental breakfast will be served beginning at 7:30 a.m.  Click here to register.

April 28, 2015

8:00 a.m. – 12:00 p.m.

Sheraton Milwaukee Brookfield Hotel

375 South Moorland Road Brookfield, Wisconsin

This FREE half-day event will address current topics in labor, employment, benefits and worker’s compensation law and provide employers across industries with practical and creative solutions for addressing their toughest workplace legal challenges.

SESSION TOPICS INCLUDE:

  • Annual Labor & Employment Update (Plenary)
  • Wellness Plans – Ensure ADA Compliance & Avoid EEOC Litigation
  • Steps To Avoid The Retaliation Claim Trap
  • Worker’s Compensation Update
  • The National Labor Relations Board And Its Impact On Non-Union Employers

Restrictive Covenant Reform Proposed for Wisconsin

On March 5, 2015, Senate Bill 69 (bill) was introduced by Senator Paul Farrow (R-Pewaukee). If passed by the Wisconsin legislature and signed by the Governor, the bill would eliminate the current version of Wisconsin’s restrictive covenant law, Wis. Stat. § 103.465. The statute applies to agreements with employee such as non-competition, non-solicitation and non-disclosure agreements. In its place, the bill would establish a new pro-enforcement stance toward restrictive covenants. Wisconsin has consistently rated among the weakest restrictive covenant enforcement states for some time; by contrast, Illinois is routinely rated among the top pro-enforcement states. The bill would place Wisconsin among the states with the best enforcement statutes, likely in front of Illinois. Specifically, the bill:

  • Clarifies existing Wisconsin law by defining the legitimate business interests that justify a restrictive covenant to include a business’s trade secrets, confidential information, its relationships with existing and prospective customers, its customer, patient, or client goodwill associated with a specific geographic location, and unique, extraordinary, or specialized training provided by business as a result of the employment relationship, among other things.
  • Clarifies that “valid consideration” for a restrictive covenant includes the continuation of an employment relationship.
  • Provides greater clarity regarding the enforceable duration of a restrictive covenant.
  • Authorizes a court to modify an overly broad and otherwise unenforceable restrictive covenant to the extent reasonably necessary to protect an established legitimate business interest. Wisconsin courts do not currently have that right, for the most part, once it finds that a restrictive covenant is overbroad. Under the bill, a court is invited to tailor a reasonable restriction under the facts presented even where the restrictive covenant is overbroad.
  • If the bill is passed by the legislature and signed by the Governor, it would first apply to any restrictive covenant that a business enters into, extends, modifies or renews following the effective date. It would not impact existing restrictive covenants. Accordingly, businesses in the process of updating or rolling out new restrictive covenants for their employees may want to reconsider in light of this bill. Restrictive covenants that are signed between now and the effective date of the new law, if passed, will be considered by Wisconsin courts under the existing law which treats such covenants more harshly than the proposed new law.

Watch for future E*Alerts as this important legislation affecting Wisconsin businesses progresses. If you have questions about the restrictive covenant bills, please contact Daniel Finerty at 414-226-4807, or any other Lindner & Marsack attorney at 414-273-3910.

USCIS Extends Eligibility for Employment Authorization to Certain H-4 Dependent Spouses of H-1B Nonimmigrants

On February 24, 2015, U.S. Citizenship and Immigration Services (USCIS) announced that the Department of Homeland Security (DHS) issued final amended regulations, revising 8 C.F.R. Parts 214 and 274a.  The revised regulations extend eligibility for employment authorization to certain H-4 dependent spouses of H-1B nonimmigrants who are seeking employment-based lawful permanent resident status.  Eligible individuals include H-4 dependent spouses of H-1B nonimmigrants who either (1) are the principal beneficiaries of an approved Form I-140, Immigrant Petition for Alien Worker; or (2) have been granted H-1B status under sections 106(a) and (b) of the American Competitiveness in the Twenty-first Century Act of 2000.

H-4 dependent spouses may file Form I-765, Application for Employment Authorization, with supporting evidence and the required fee beginning on May 26, 2015.  Forms I-765 may be filed concurrently with an Application to Extend/Change Nonimmigrant Status (Form I-539).

If you have questions about this material, please contact Laurie A. Petersen or Samantha J. Wood by email at lpetersen@lindner-marsack.com or swood@lindner-marsack.com, or any other attorney you have been working with here at Lindner & Marsack, S.C.

Wisconsin Right to Work Legislation

NOTICE OF BREAKFAST MEETING

WHEN:         Wednesday, March 11, 2015

TIME:           8:30 a.m. to 9:45 a.m.

WHERE:       411 E. Wisconsin Avenue; 12th Floor Meeting Room

As a courtesy to our clients, Lindner & Marsack will be presenting a discussion of the new Wisconsin “right to work” legislation.

We will discuss when it takes effect, how it will work, what it means for unionized employers in Wisconsin and its impact on their employees.  This new legislation is expected to be in effect by early March so you will not want to miss this important presentation.

We will also briefly discuss the impact of the NLRB’s new quickie union election rules which take effect April 1, 2015.

There is no charge for this breakfast meeting.  Please register by sending an email to Mary Gemeinhardt at mgemeinhardt@lindner-marsack.com.

Parking is available in the attached parking garage.  The parking entrance to the 411 building is on N. Jefferson Street.  You may park in the visitor parking area or any other available unreserved space.  Please bring your ticket to the meeting for validation.

Department of Labor Modifies the Definition of Spouse under the Family and Medical Leave Act (FMLA)

On February 25, 2015 the Department of Labor published a final rule effective March 27, 2015 which modifies the definition of spouse under the FMLA to include individuals in same-sex and common law marriages based on the place of celebration.  The change was made in light of the United States Supreme Court’s decision in United States v. Windsor in which the Court struck down Section 3 of the Defense of Marriage Act (DOMA).

Prior to the rule change, the state of residence controlled whether or not the term spouse included same-sex or common law marriages.  The place of celebration rule provides consistent recognition and FMLA rights for all legally married same-sex and common law employees regardless of where they live.  The place of celebration rule also recognizes FMLA rights for individuals married outside the United States as long as one state in the United States would recognize the validity of the marriage.

Employers should be aware of a couple points:

  • Civil unions are not considered marriages under the federal FMLA. However, before denying FMLA to an employee in a civil union, the employer should look to any state law benefits that may apply. For instance, the Wisconsin FMLA allows leave to domestic partners. Also, some leave types may be allowed under “in loco parentis” rules.
  • The final rule on same-sex and common law marriage states an employee may establish the requisite family relationship either by a simple statement asserting the relationship, or by providing other documentation the employee chooses to provide such as a marriage license or court document. However, employers should not require more proof of the requisite relationship from a same-sex or common law marriage employee than it would of an employee in an opposite sex marriage.
  • The rule limiting FMLA leave for spouses working for the same employer applies equally to same-sex and common law marriages.
  • The rule regarding leave to care for a stepparent or stepchild is the same for same-sex and common law marriages as for opposite sex marriages.
  • Nothing in the change to the definition of spouse changes or invalidates the rules regarding leave based on an “in loco parentis” relationship.

If you have any questions about this, please contact Laurie Petersen at lpetersen@lindner-marsack.com.

Wisconsin Very Likely to Become the Nation’s 25th Right to Work State

On February 23, 2015, Senate Bill 44 (bill) was introduced which, if passed by the legislature and signed by Governor Walker, would make Wisconsin a right to work state. Following a full-day Senate hearing on Tuesday, February 24, 2015, SB 44 was passed by the Senate Committee on Labor and Government Reform. An identical companion bill, Assembly Bill 61, was introduced the same day, which may further speed passage of the legislation by allowing the debate to proceed in both chambers. Here are some details on the bill:

  • This bill prohibits a person from requiring, as a condition of obtaining or continuing employment, an individual to refrain or resign from membership in a labor organization, to become or remain a member of a labor organization, to pay dues or other charges to a labor organization, or to pay any other person an amount that is in place of dues or charges required of members of a labor organization.
  • Any person who violates this prohibition is guilty of a Class A misdemeanor.

The bill must pass both the State Senate and Assembly before moving on to the Governor’s office. Once passed, the bill passed by the legislature will placed on the Governor’s desk. Upon signing, Governor Walker will identify the bill as 2015 Wisconsin Act 1, the first act signed in the new legislative term. 2015 Wisconsin Act 1 will be published in the Wisconsin State Journal the following day. The day following publication, Wisconsin’s right to work law will go into effect making Wisconsin the nation’s 25th right to work state.

There are several important points for unionized employers to consider regarding the bill and the timing of its passage including:

  • The right to work law will not impact current collective bargaining agreements and existing dues check-off provisions. It will first apply to collective bargaining agreements that have provisions inconsistent with the bill “upon the renewal, modification, or extension of the agreement occurring on or after the effective date of this subsection.”
  • By contrast, collective bargaining agreements that have not been ratified by the union membership on or after the date the bill goes into effect will be impacted. Accordingly, companies with open or expired collective bargaining agreements can expect pressure from their union partners to move quickly toward passage in order to preserve the unions’ existing right to collect union dues for the next contract term.
  • In addition, any mid-term contract modifications will also eliminate a union’s ability to collect union dues. Companies that have historically found their union willing to reopen the contract to address an issue requiring change, such as a change in insurance coverage, can expect resistance in attempting to re-open the agreement because doing so would negatively affect the union’s ability to collect union dues from their members.
  • It is important to note that the bill does not prohibit companies from deducting and collecting union dues from an employee’s earnings if the employee provides the company with a written, signed order authorizing such deduction. Further, the order signed by the employee must also provide that the employee may terminate the order by giving the employer 30 days’ written notice to the employer of his or her desire to terminate.
  • Employees who ultimately exercise their right to resign from the union and stop paying dues will still be covered by the collective bargaining agreement. Further, the union will still continue to owe them a duty of fair representation including the potential obligation to pursue a grievance on their behalf.

For continuous updates as the right to work legislation progresses, and updates on other legislation affecting the workplace and labor and employment-related topics, follow Daniel Finerty on Twitter: @DanielFinerty.

Proposed Changes to the Wisconsin Worker’s Compensation Act Included in Governor Walker’s 2015 Budget Bill

images[3]Governor Walker, as part of his budget bill that was released on February 3, 2015, proposed removing the Worker’s Compensation Division from the Department of Workforce Development (DWD) and moving the functions to the Department of Administration – Office of Hearings and Appeals (DOA) and to the Office of Commissioner of Insurance (OCI).  Specifically, the administrative law judges would be moved to the Office of Hearings and Appeals to join the judges currently in that office who handle hearings for many other state agencies.  The judges would be in charge of adjudicating cases only and would no longer be involved in the day-to-day administration of claims and disputes.  The rest of the staff would be moved to the Office of Commissioner of Insurance which would presumably take over all administrative functions including insurance regulation, claim  management, compensation payments and medical fee disputes. 

Previously, all amendments to the Worker’s Compensation Act have been proposed by the Advisory Council which is made of up representatives from labor, management and insurance.  The Advisory Council proposes amendments to the Act every other year which are almost always ratified by the Legislature.  Governor Walker’s budget bill marks the first time that changes to the Act have been proposed without the input or knowledge of the Advisory Council and, if passed, may make the Council’s role in legislation obsolete.   

The bill is currently being reviewed and revised by the Legislature.  If it passes the Legislature, it will become law once signed by Governor Walker.  The Governor has indicated that he would like the budget bill to be resolved by June 1, 2015, and any changes to the Act that are passed would take effect on January 1, 2016. 

There has been much conjecture regarding the effect this proposal may have on the worker’s compensation system as we know it today, but few details are known as to how this will change the day-to-day handling of claims, hearings and settlements.   The attorneys at Lindner & Marsack, S.C. are actively involved in monitoring this situation and will continue to provide our clients with updated information as it is released.    

Please contact any member of the Lindner & Marsack Worker’s Compensation Defense Practice with any questions.

 

You are Invited! 2015 Worker’s Compensation Spring Symposium

4th Annual Worker’s Compensation Spring Symposium

Register Now!

The Lindner & Marsack worker’s compensation team has been recognized by U.S. News and World Reports as one of the nation’s preeminent worker’s compensation defense practices. You now have the opportunity to join our first tier ranked team for a half-day morning worker’s compensation seminar we are conducting on March 12, 2015, at the Country Springs Hotel in Pewaukee, Wisconsin.

Our fourth annual symposium will discuss several hot topics in worker’s compensation including the top worker’s compensation trends in 2015 and 2016, the future landscape of the Wisconsin worker’s compensation system, a journey through a typical physical IME and more.  Click here for more information: 2015 Spring Symposium Final Invitation

Whether you are an insurance adjuster, safety manager or human resources professional, don’t miss this opportunity to learn about the latest developments in worker’s compensation that could affect your bottom line.

Be sure to register soon for this FREE event by emailing Chelsie Springstead at cspringstead@lindner-marsack.com.

Save the Date!

 Please mark your calendar for Lindner & Marsack, S.C.’s Annual Compliance/Best Practices Seminar 

When:  April 28, 2015

Time:  8:00 a.m. – 12:00 p.m.

Where:  Sheraton Milwaukee Brookfield Hotel – 375 South Moorland Road, Brookfield, Wisconsin

This FREE half-day event will address current topics in labor, employment, benefits & worker’s compensation law and provide employers across industries with practical and creative solutions for addressing their toughest workplace legal challenges.

 SESSION TOPICS INCLUDE:

  • Annual Labor & Employment Update (Plenary)
  • Wellness Plans – Ensure ADA Compliance & Avoid EEOC Litigation
  • Steps To Avoid The Retaliation Claim Trap
  • Worker’s Compensation Update
  • The National Labor Relations Board And Its Impact On Non-Union Employers

Watch your inbox as well as our Facebook, LinkedIn and Twitter pages for more detailed information about session topics and a link to register for this free seminar.