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LABOR & EMPLOYMENT NEWS
Walking to Don and Doff Safety Gear is Compensable. In a unanimous opinion, the U.S. Supreme Court recently ruled that time spent walking related to donning and doffing safety gear is compensable under the Fair Labor Standards Act (FLSA). In cases involving meat and chicken processing plants, the Justices ruled that time spent walking between locker rooms where protective safety gear is stored and the plant floor is a "principal activity" under FLSA. Therefore, the time spent walking that occurs after dressing and before undressing in the protective gear is compensable. However, the Justices noted that walking to the locker room before starting work is not compensable. (IBP Inc. v. Alvarez)
California Requires Interactive Harassment Prevention Training. California now requires employers with 50 or more employees to train their supervisors at least once every two years on sexual harassment prevention. The training must be at least two hours long and be interactive. The initial training must be completed by January 1, 2006, unless training that complies with the law has already been provided since January 1, 2003. This law appears to apply to any employer who has supervisors working in California, as long as the employer has 50 or more total employees, regardless of the number of employees who work in California. If you would like to discuss such interactive training for your California employees, please contact us.
Full-Day Deductions for Weather-Related Absences for Exempt Employees. Recognizing that some businesses must remain open during weather emergencies (such as hospitals), the Department of Labor (DOL) in a recent opinion letter authorized such employers to make full-day deductions from salaried employees who choose not to work during a weather emergency. DOL considers absences during weather emergencies as personal leave instead of leave because of a sickness or disability. The employer must take only full-day deductions. Thus, if an employee is absent for one and a half days because of adverse weather, the employer may only deduct the employee's salary for one day. DOL noted that businesses like hospitals remain open during weather emergencies. (DOL Opinion Letter FLSA 2005-46)
WORKPLACE HEALTH & SAFETY NEWS
Overlapping Awards of Permanent Partial and Temporary Total for the Same Injury. An employee sustained a work accident and filed a workers' compensation claim. One year after the accident, he was awarded permanent partial disability compensation for his physical and psychological conditions. Later, he filed for temporary total disability compensation for his psychological condition. The Industrial Commission granted temporary total and backdated the award, making it effective for part of the period during which claimant had been paid permanent partial. The employer appealed arguing that an employee may not receive temporary total and permanent partial for the same condition over the same period because an employee's condition must be either temporary or permanent. The Ohio Supreme Court ruled that an employee may receive overlapping awards of permanent partial and temporary total for the same injury. The court reasoned that an employee's condition may be permanent in that there will always be a degree of impairment and simultaneously be temporary in that the condition may not always prevent a return to the former position of employment. (State ex rel. Advantage Tank Lines v. Indus. Comm'n)
EMPLOYEE BENEFITS & EXECUTIVE COMPENSATION NEWS
Can protected health information be used as a basis for termination in cases of fraud? Officials from Health and Human Services recently cautioned that health plans should not disclose evidence of fraud to the plan sponsor as a basis for terminating an employee if the information communicated is protected health information (PHI) under HIPAA privacy rules. Generally, HIPAA permits a group health plan to disclose PHI to the plan sponsor only if the plan documents have been amended and the disclosure is for plan administrative functions. Alternatively, the plan may conduct audits to detect fraud and use the audit information to terminate coverage. Also, if the fraud involves an enrollment issue, the plan may be able to disclose the fraud to the plan sponsor as part of its routine enrollment and disenrollment information provided to the plan sponsor. HIPAA provides that such enrollment and disenrollment information provided to the plan sponsor is not PHI.
Coming Soon - Roth 401(k). Beginning in January 2006, traditional Section 401(k) retirement plans can be amended to permit employee contributions to be made after-tax as Roth 401(k) contributions. If you would like more information on the Roth 401(k) feature, please click here to read a reprint of an article on this subject that appeared in a recent edition of the Cincinnati Business Courier.
OFFICES
Graydon Head & Ritchey has locations across the Greater Cincinnati region.
Downtown Cincinnati
1900 Fifth Third Center
511 Walnut St.
Cincinnati, OH 45202
p: (513) 621-6464
f: (513) 651-3836
Northern Kentucky
2500 Chamber
Center Dr. Suite 300
P.O. Box 17070
Ft. Mitchell, KY 41017
p: (859) 282-8800
f: (859) 525-0214
Coming Soon!
Northern Cincinnati Office
HR Matters is a publication of the Graydon Head & Ritchey Human Resources Department, the Employee Benefits & Executive Compensation and Labor & Employment practice groups and their members. Click here to learn more about our team.
This Newsletter is a periodic publication of Graydon Head & Ritchey LLP and should not be construed as legal advice or legal opinion on any specific facts or circumstances. The contents are intended for general information purposes only, and you are urged to consult your own advisor concerning your situation and any specific legal question you may have.