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Showing posts from November, 2019

Revise Your Personnel Policies Before January 1!

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On January 1, recreational cannabis becomes legal in Illinois. Here are five changes that you may need to make to your personnel policies before cannabis becomes legal on January 1: Remove all provisions that discipline an employee for using cannabis outside of work.  Along with the passage of the Cannabis Regulation and Tax Act last June, the Right to Privacy in the Workplace Act was amended to make it illegal for an employer to discipline an employee for using products legal under state law, like cannabis, outside of work. Disciplining an employee for using cannabis outside of work could lead to fines and lawsuits. As we recently discussed , this provision probably does not apply to public safety personnel. So, police, firefighters, and paramedics can be prohibited from using cannabis outside of work and disciplined for doing so. Remove any provisions disciplining an employee or job applicant solely for testing positive for cannabis. Limitations in drug t...

Court Finds PSEBA Recipients Only Eligible for “Basic” Coverage

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Last week the 3rd District Appellate Court affirmed the practice of a number of municipalities who limit their PSEBA recipients to only their “basic,” or lowest level, health insurance plan. In Esser v. City of Peoria , the plaintiff, a former police officer, had suffered a catastrophic injury as defined under the Public Safety Employee Benefits Act (“PSEBA”). He received a duty disability and applied for and was ultimately found eligible for benefits under PSEBA, which states in pertinent part, that an employer is required to pay the entire premium amount for “basic” health coverage for public safety employees who qualify under the Act. The City had two health insurance plans from which employees could choose – a low deductible, and more expensive plan, and a high deductible, less costly plan. Previous to the plaintiff’s injury and a subsequent application for benefits under the Act, the City had approved an ordinance identifying its high deductible health insurance plan as...

General Assembly Amends the Law Legalizing Cannabis with Significant Impact on Employers

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On Thursday, the General Assembly passed a bill amending the Cannabis Regulation and Tax Act, the law legalizing cannabis in Illinois (the full text of the bill is available by clicking here ). Two modifications to the law will affect employers. Firstly, section 10-50(e) of the Act was amended to make it clear that employers cannot be held liable for drug testing employees and disciplining them as a result of these tests. There were no changes to the Right to Privacy in the Workplace Act, so it is still illegal to fire an employee solely for testing positive for cannabis. Here is the modification: (e) Nothing in this Act shall be construed to create or imply a cause of action for any person against an employer for: (1) actions  taken pursuant to an employer’s reasonable workplace drug policy, including but not limited to subjecting an employee or applicant to reasonable drug and alcohol testing, reasonable and nondiscriminatory random drug testing, and discip...

Free Speech in the Workplace Series

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Last week, Americans watched the opening proceedings of the third impeachment inquiry of a President in less than a century. In a couple of months, most of the nation's attention will be on the weekly slog of the Democratic Presidential Primaries for the 2020 General Election. From mass shootings to Brexit , and protests in Hong Kong, the current state of affairs is ripe for all manner of political debate and discussion. What happens, however, when our personal political views enter the workplace? Do employers have a right to regulate speech in the workplace? And, more importantly, what can employers do to ensure political discussion among employees during work hours does not impact workplace cohesion and decorum? Over the next couple of weeks, The Workplace Report with Ancel Glink will explore three distinct areas of free speech in the workplace. Each post will include a summary of the governing law, a brief analysis of the issues, and practical solutions and tools ...

Janus Decision Does Not Require Union to Pay Back Fees

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Let’s call it Janus – 1; AFSCME – 1 in the battle over agency fees. Last week the 7th Circuit Court of Appeals affirmed the district court’s grant of summary judgment in Mark Janus’ lawsuit seeking repayment of agency fees withheld from his wages and paid to AFSCME prior to the Supreme Court’s landmark ruling last year overturning its prior rulings that agency fees (fair share) collected from public employees by unions was not unconstitutional. As readers recall, Janus challenged that status quo, successfully arguing to the Supreme Court that requiring him and other public employees to pay agency fees despite their choice against union membership violated their 1st Amendment rights because it, in effect, controlled their speech by making them subsidize political and other public efforts by the union on positions that were contrary to their personal convictions. Having achieved relief from the Court from being forced to pay agency fees, Janus went back for a second bite of ...

Independent Contractor or Employee?

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I provide advice to some small businesses, and one question I often receive is whether they can classify their workers as independent contractors. We have discussed this topic on this blog before, but I think it is worth discussing it again. And with California requiring ride-sharing services to classify their drivers as employees, this topic is now in the news again. So what is the difference between an independent contractor and employee, and what happens if you classify an employee as an independent contractor? An independent contractor is someone who enters into a contract with an employer to perform some specific task. For example, an independent contractor would be a plumber whom an employer calls periodically to fix problems with sinks or toilets. An employee is someone who works regularly for someone else, under that person or organization’s orders in a continuous relationship. Here are some of the things courts look at to determine whether a worker is an employee: ...

DOL Proposes Change to FLSA Fluctuating Work Week Rule

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Earlier this week, the DOL proposed a change to the lesser-used FLSA overtime rule that allows employers to pay nonexempt employees who work variable hours each week a set weekly salary from which the regular rate of pay is calculated. Here’s an example: A water operator works 40 hours every other week, but on the opposite weeks is required to go to the water plant on weekends and make various checks on water levels and purity tests. This might mean that the employee works somewhere between four and six hours extra in those opposite weeks. The employee and employer to that the employee will receive a set salary for every week, let’s say $1,000. So, when the employee works 40 hours in a week, the employee’s hourly or regular rate of pay is $25 per hour. When the employee works 44 hours, the hourly or regular rate of pay drops to $22.73 per hour. Since the fluctuating workweek rule allows the employee and employer to agree that the $1,000 is the straight time rate, the employee only ...

FAQs on Workplace Issues and Adult-Use of Cannabis

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The unknown impact of adult-use cannabis and the workplace remains a rich source of discussion among employers and employees alike. Many of our clients ask similar questions in anticipation of the new legislation. Below is a compilation of the most frequently asked questions regarding adult-use cannabis in Illinois after January 1st: Can we still have a zero-tolerance employee drug policy? Yes, insofar as your policy prohibits being under the influence of alcohol or drugs while at work, the legalization of cannabis for adults changes nothing. Since cannabis has behavior-altering effects, you can and should treat it like alcohol and prohibit employees from being under the influence while at work. Should we still test for cannabis during post-employment drug and alcohol screens? Testing decisions are the tricky part for employers. Because cannabis metabolizes slowly and at different rates for different individuals, it may take a month or more for a person to rid their ...

What Would Happen to Employers Under Elizabeth Warren’s Healthcare Plan?

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Last Friday, Elizabeth Warren rolled out the details of her healthcare plan. She estimates the plan would create $20.5 trillion dollars in new federal spending over a 10-year period (although rivals like Joe Biden claim it would be much more than that). How does she plan to pay for that? Mainly by increasing taxes on employers. Her plan would impose a new tax on employers equal to 98% of their current health care costs.  Employers would calculate their contribution by averaging healthcare costs per employee over the last three years, multiplying that average by their total number of employees, and paying 98 percent of the total to the government. In effect, Warren’s plan would shift employer healthcare payments from insurance companies to the government. Warren estimates that this tax would raise $8.8 trillion in new revenue over the next ten years. Small businesses that do not offer their employees health insurance (those with fewer than 50 full-time employees are not r...

Third Shift Employees Affected by Falling Back

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Most of our clocks automatically reset in the early hours of Sunday when Daylight Savings Time officially ended, but what about your employees who worked that third shift? Do they have to work an hour longer for the same pay because after all, 11:00 pm to 7:00 am is the shift, regardless of whether that totals seven hours (spring forward) or nine hours (when we fall back)? It’s twice a year when we have to adjust payroll for the clock change. I once had a union actually propose that the morning shift (7:00 to 3:00) be required to come in a half hour early at the end of Daylight Savings Time and leave a half hour early at the start of Daylight Savings Time, thereby “splitting the difference” of the hour swing. Ridiculous . Even though we don’t have to remember to turn back many clocks, employers do have to remember that third-shift employees who normally work a full 40-hour workweek actually will earn time and one half on that extra hour that they worked yesterday. No way a...