National Labor Relations Board Issues Proposed Rule to Limit Joint Employer Liability

On September 14, 2018, the federal agency that oversees labor practices nationwide, the National Labor Relations Board (“NLRB”), proposed a new rule that would redefine the standard for determining whether a company is considered a joint employer of its franchisees’


New Jersey Law Does Not Protect Employees Who Use Medical Marijuana from Employer Drug Testing Requirements

On August 10, 2018, the United States District Court for the District of New Jersey dismissed an employee’s claims in Cotto v. Ardagh Glass Packing, Inc., holding that neither the New Jersey Compassionate Use Medical Marijuana Act (“NJCUMMA”) nor the


New Jersey Appeals Court Holds Sexual Harassment Claim Must Be Arbitrated, but Arbitration Clause Cannot Bar Punitive Damages

On August 23, 2018, a panel of judges on the Superior Court of New Jersey, Appellate Division, held in Roman v. Bergen Logistics that, while the plaintiff was bound to arbitrate her claims against the company, the clause in the


New Jersey Court Rules that Employee Who Voluntarily Resigned is Not Disqualified from Receiving Unemployment Benefits

On March 29, 2018, the Superior Court of New Jersey, Appellate Division held in Cottman v. Bd. of Review that an employee who voluntarily resigned from her job when she was facing imminent termination was eligible for unemployment benefits. Plaintiff


New Jersey’s New Paid Sick Leave Law

On May 2, 2018, Governor Phil Murphy signed into law the New Jersey Paid Sick Leave Act (“NJPSLA”), which guarantees paid sick leave to every employee in the State of New Jersey. The new law takes effect on October 29,


Houlihan’s Restaurant Operator in New Jersey and New York Settles Tip-Pooling and Wage Case for $5 Million

On April 2, 2018, A.C.E. Restaurant Group (“A.C.E.”), an operator of Houlihan’s restaurants in New Jersey and New York, agreed to pay $5 million in a consent judgment to settle a case brought against it by the U.S. Department of


No-Poach Agreements for Fast Food Employees are Under Scrutiny

Many fast food franchise operators have “no-poach” clauses in their franchise agreements, which prevent low-wage fast food workers from moving to higher-paid jobs at other franchises. While a non-compete agreement appears in an employee’s contract and prevents them from working


New Jersey Court Holds that Job Transfer is Retaliation under Whistleblower Law

On May 14, 2018, the Superior Court of New Jersey, Appellate Division held that laterally transferring an employee to a different job can constitute retaliation under the New Jersey whistleblower law, the Conscientious Employee Protection Act (CEPA). The plaintiff, Jeffrey


New York State Says #TimesUp on Sexual Harassment in its 2019 Budget Bill

Showing a strong response to the nationwide #MeToo and #TimesUp movements, the New York State legislature recently passed the “New York State Budget Bill for Fiscal Year 2019” (S-7848A), signed into law by Governor Andrew Cuomo on April 12, 2018,


No-Fault Attendance Policies Unfairly Penalize Pregnant and Sick Workers

Many workplaces have what’s called a “no-fault attendance policy.” This means that the employer records every absence or lateness as a mark against the employee, regardless of the reason. When the employee reaches a certain number, it results in discipline

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