Laborsphere

Employment Law Update: Employer Restrained from ‘Firing and Rehiring’, Dismissal for Raising Frivolous Grievances, and Employment Status of Taxi Driver

Tesco Restrained From ‘Firing and Rehiring’ Employees

In USDAW and ors v Tesco Stores Ltd [2022] EWHC 201 (QB), the High Court (HC) granted an injunction to restrain U.K. supermarket giant, Tesco, from ‘firing and rehiring’ employees who did not agree to the removal of a permanent right to a benefit.

This decision is significant as it offers a potential new legal remedy for employees whose employers are looking to ‘fire and rehire’ them in order to remove a permanent entitlement. The practice of ‘fire and rehire’ was already controversial and under increasing scrutiny prior to this decision, and it will be interesting to see the extent to which employers will try to deploy it in the future.

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NLRB’s General Counsel Announces Support for White House Labor Report

On February 10, 2022, the National Labor Relation Board’s (NLRB) General Counsel, Jennifer Abruzzo, issued Memorandum GC 22-03 announcing her agreement with and support of the Biden administration’s Task Force on Worker Organizing and Empowerment (Task Force) February 7, 2022 report. The Task Force was created by executive order in April 2021 to identify ways the executive branch can promote worker organization and collective bargaining through existing policies and programs. The Task Force’s report included recommendations to increase organizing and encourages collaboration between government agencies focused on worker protection. In addition to instructing field offices to adopt the recommendations outlined in the report, Abruzzo’s memorandum details current interagency undertakings and outlines future efforts to strengthen those collaborations.

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Austria Implements Sweeping COVID Vaccination Mandate

Austria made headlines this week by becoming the first country in Europe to implement a general mandate for vaccinations against COVID-19.

The regulation applies to all adults, with limited exemptions for individuals who are pregnant, who cannot be vaccinated for medical reasons, and who have recovered from COVID-19 within the last 180 days.

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Luxembourg Transposes EU Whistleblower Protection Law

On January 12, 2022, Luxembourg’s Minister of Justice submitted to the country’s legislature Bill 7945, which transposes Directive (EU) 2019/1937, otherwise known as the Whistleblower Protection Directive (“Directive”). The official deadline for EU member states to transpose the Directive into national law was December 17, 2021, however, nearly every state, including Luxembourg, failed to meet this deadline. Now that Bill 7945 has been presented to the legislature, experts will review it and compare the legislation against the requirements of the Directive. Given the expiration of the deadline for transposition in December, the legislature is expected to act quickly in passing Bill 7945 into law, so as to avoid the European Commission taking legal action for non-implementation.

Bill 7945 provides a framework to protect individuals who have obtained information in the work context about acts or omissions that violate national law or are against the public interest, and report protected information in any of the manners proscribed by the draft law. Specifically, Bill 7945 protects reports made by current and former employees, prospective employees, volunteers, trainees, self-employed individuals, shareholders, contractors, subcontractors, and suppliers. To be protected under the draft law, individuals must have reasonable grounds to believe the information they report is true and that it falls within the scope of the measure. The measure prohibits retaliation against individuals based on them reporting protected information in accordance with the draft law’s provisions.

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Several States are Increasing Penalties for Enforcing Non-Compete Agreements

As non-competition laws and the scrutiny of non-compete agreements continue to be in the spotlight, several states are revisiting their non-compete laws. Colorado has been in the spotlight after the Colorado Legislature passed S.B. 21-271 on July 6, 2021 in an effort to reform the sentencing provisions related to numerous petty offenses and misdemeanors. As a result, several Colorado laws related to labor and employment are affected, including Colorado’s statute addressing restrictive covenant agreements, C.R.S. § 8-2-113.

Under C.R.S. § 8-2-113, it is unlawful to: intimidate workers in order to limit their ability to engage in lawful work; and enter into covenants that restrict trade, such as non-compete and non-solicitation agreements, unless the covenants fit within limited exceptions provided under the statute. The penalty if convicted for violating the non-compete statute is currently a misdemeanor punishable by a fine between $10–$250, or jail time of not more than 60 days, or both. C.R.S. § 8-2-115. Effective March 1, 2022, the penalty for violating the non-compete statute will be increased to a class 2 misdemeanor punishable by up to 120 days in jail, or a fine of up to $750, or both, as a result of the changes from S.B. 21-271. S.B. 21-271 also amends the text of C.R.S. § 8-2-113 to include the increased penalty as a new subsection (4).

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Summary of New California COVID-19 Supplemental Paid Sick Leave – What Employers Need to Know

On February 9, 2022, California Gov. Gavin Newsom signed Senate Bill 114, which provides COVID-19 supplemental paid sick leave (SPSL) for covered employees who are unable to work or telework due to COVID-19 related reasons from January 1, 2022 through September 30, 2022. SB 114 is nearly identical to Assembly Bill 84 (AB) which was passed by the California Legislature on February 7, 2022. SB 114 takes effect on February 19, 2022, (10 days after the bill is signed by Gov. Newsom) and adds Sections 248.6 and 248.7 to the California Labor Code.

Among other things, SB 114:

Applies to employers with more than 25 employees.
Establishes a new bank of COVID-19 related SPSL.
Broadens the reasons employees can take COVID-19 SPSL
Permits employers to request proof of a positive COVID-19 test as to the employee or the employee’s family member.
Requires retroactive payment if an employee would have been eligible for SPSL since January 1, 2022.
Will remain in effect until September 30, 2022.

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