President Obama Signs Expansion of FMLA Leave for Military Families

Earlier this week, President Obama signed the Fiscal Year 2010 National Defense Authorization Act (NDAA), a federal law that is enacted each fiscal year to specify the budget and expenditures of the United States Department of Defense.  This year, the NDAA contains two expansions of the exigency and caregiver leave provisions for military families under the Family and Medical Leave Act (FMLA):

  1. Caregiver Leave:  Employees could previously take up to 26 weeks of unpaid leave to care for a family member (spouse, child, parent or next of kin) who is an active service member currently undergoing treatment for a serious injury sustained on active duty; that leave has been expanded to allow leave to care for a veteran family member undergoing medical treatment, recuperation or therapy for a serious injury or illness that was sustained any time during the five years preceding the treatment.
  2. Exigency Leave:  Employees could previously take up to 12 weeks of unpaid leave for qualifying exigencies relating to a reservist family member's call to active service; that leave has now been expanded to provide exigency leave benefits to the family of a member of any armed service on active duty. 

These expansions became immediately effective when the law was signed. 

For more information on the military leave provisions of FMLA, check out this Fact Sheet on FMLA Military Family Leave Entitlements from the Department of Labor Wage and Hour Division.  While the fact sheet doesn't reflect these recent expansions, it does provide valuable information, including who is a qualifying family member and what is a qualifying exigency. 

Recovery of Attorney Fees for the Employer in Oregon Wage and Hour Cases

A recent Oregon Court of Appeals case, Rogers v. RGIS, LLP, presents an opportunity for employers.  In Rogers, the court awarded an employer a whopping $180,854.09 in attorney fees.  The plaintiff brought one lawsuit but several wage and hour claims (overtime, minimum wage, late payment of final wages, unpaid wages for rest and meal breaks).

The court found the plaintiff prevailed on a few claims, but the employer prevailed on most.  As a result the employer was awarded six figures and the plaintiff was awarded only $880 to cover fees.

This case is saying that a prevailing party may recover fees, which relate to each separate wage claim.  For example, if the plaintiff brings five separate wage claims and the employer prevails on four, the employer will (in the court’s discretion) get to recover its fees to defend against the four claims upon which it prevailed.

If you’re sued under Oregon wage and hour laws, you should seek fees under ORS 20.077 and 653.055(4).  You can also use the potential for recovering fees as leverage before a lawsuit is filed.  Will this logic be extended to other employment claims, such as discrimination and retaliation claims?

Washington Wal-Mart Workers Get Their Wish - $35 Million

The Washington state class action by Wal-Mart employees for missed meal and rest breaks and for being forced to work off the clock finally ended this week with a payment to the workers of $35,000,000 and $10,000,000 to their attorneys.  Wal-Mart (are you surprised?) denies any wrongdoing.  For more on the lawsuit and subsequent settlement, click to read the Huffington Post's analysis or this coverage by Forbes. The settlement, which is just one of many for Wal-Mart, is another important reminder that liability for wage and hour violations can really add up.  And it adds up really fast when the class size is over 80,000 workers.

Washington employers should check with the Washington State Department of Labor and Industries for information on meal and rest break rules

Now, Washington Wal-Mart workers, go spend those "stimulus" dollars!  You have until August 19 to fill out your claim form.

Starbucks Obtains Reversal of $105 Million "Tip Sharing" Case

Just over a year ago, we reported about a $105 million California verdict in favor of Starbucks baristas who were required to pool their tips with supervisors.  As you might expect, Starbucks appealed that decision.  Yesterday, a California Court reversed the decision.  Click here to read the decision in Chau v. Starbucks.

The 4th District Court of Appeal in San Diego ruled Tuesday that supervisors "essentially perform the same job as baristas," so they should get their fair share of the collective tips.  (We wonder what that says about the supervisors' exempt status?)  Attorneys for the baristas have indicated they will appeal to the California Supreme Court, and the World of Work will be watching, its $3.50 latte in hand. 

Minnesota Wal-Mart Employees Get $54 Million Christmas Present

Wal-Mart Stores Inc. announced yesterday that it will pay $54.25 million to settle a class-action lawsuit over allegations that Wal-Mart made its employees work during break time and off the clock after regular working hours.  The class consists of approximately 100,000 current and former hourly employees who worked at Minnesota Wal-Marts and Sam's Clubs between September 11, 1998 and November 14, 2008.  Click here to read MSNBC's coverage of the settlement

This isn't Wal-Mart's first major settlement, and it might not be the last:  according to Wal-Mart's 10-K filings with the SEC, it has to date settled 76 similar class-action lawsuits across the country.  The lesson for employers?  Carefully follow the wage and hour laws of each state in which you do business.  If you have employees in Minnesota, the state's Department of Labor and Industries has a great website with lots of valuable compliance tips and information.