Justia U.S. Supreme Court Opinion Summaries
Articles Posted in Labor & Employment Law
Ohio Adjutant General’s Department v. Federal Labor Relations Authority
The Federal Service Labor-Management Relations Statute (FSLMRS) provides for collective bargaining between federal agencies and their employees’ unions and establishes the Federal Labor Relations Authority (FLRA) to investigate and adjudicate labor disputes, 5 U.S.C. 7101. The Union represents federal civil-service employees (dual-status technicians) who work for the Ohio National Guard. After their prior collective-bargaining agreement (CBA) expired, the Guard, the Ohio Adjutant General, and the Ohio Adjutant General’s Department (petitioners) asserted that they were not bound by the FSLMRS. The Union filed a complaint with the FLRA. An ALJ concluded that the FLRA had jurisdiction over the Guard; the dual-status technicians had collective bargaining rights under the FSLMRS; and repudiating the CBA violated the FSLMRS. The Sixth Circuit upheld the decision.The Supreme Court affirmed. A State National Guard acts as a federal agency for purposes of the FSLMRS when it hires and supervises dual-status technicians serving in their civilian roles. When the Guard employs dual-status technicians, it exercises the authority of the Department of Defense, an agency covered by the FSLMRS. The statutory authority permitting the Ohio Adjutant General to employ dual-status technicians as civilian employees in the federal civil service is found in 5 U.S.C. 2105(a)(1)(F). Dual-status technicians are ultimately employees of the Secretaries of the Army and the Air Force, and the petitioners are the Secretaries’ designees for purposes of dual-status technician employment. View "Ohio Adjutant General's Department v. Federal Labor Relations Authority" on Justia Law
Helix Energy Solutions Group, Inc. v. Hewitt
Hewitt filed suit under the Fair Labor Standards Act (FLSA), which guarantees overtime pay to covered employees when they work more than 40 hours a week. From 2014-2017, Hewitt typically worked 84 hours per week on Helix's offshore oil rig, while on the vessel. Helix paid Hewitt a daily rate. Hewitt’s paycheck amounted to his daily rate times the number of days he worked. Hewitt earned over $200,000 annually.Helix argued that Hewitt was exempt from the FLSA as “a bona fide executive,” 29 U.S.C. 213(a)(1). An employee is considered an exempt bona fide executive if the employee meets the “salary basis” test, which requires that an employee receive a predetermined and fixed salary that does not vary with the amount of time worked, the “salary level” test, and the job “duties” test.The Supreme Court affirmed the Fifth Circuit. Hewitt was not exempt from the FLSA’s overtime pay guarantee. A daily-rate employee does not fall within the main salary-basis provision of 29 CFR 541.602(a)--the employee regularly receives each pay period a predetermined amount, “not subject to reduction because of variations in the quality or quantity of the work performed.” A daily-rate worker is paid for each day he works and no others. Daily-rate workers, of whatever income level, qualify as paid on a salary basis under 29 CFR 541.604(b) only if an employer also provides a guarantee of weekly payment approximating what the employee usually earns. Reading 602(a) also to cover daily- and hourly-rate employees would subvert 604(b)’s strict conditions on when their pay counts as a “salary.” There is no simple income level test for the exemption. View "Helix Energy Solutions Group, Inc. v. Hewitt" on Justia Law
Posted in:
Labor & Employment Law
United States v. Washington
Washington enacted a workers’ compensation law that applied only to Hanford site workers who were “engaged in the performance of work, either directly or indirectly, for the United States.” The Hanford site, once used to produce nuclear weapons, is undergoing decontamination. Most workers involved in the cleanup process are employed by private companies under contract with the federal government; a few are state employees, private employees, and federal employees. As compared to Washington’s general workers’ compensation scheme, the law made it easier for Hanford's federal contract workers to establish entitlement to workers’ compensation, thus increasing workers’ compensation costs for the federal government. The Ninth Circuit upheld the law as within the scope of a federal waiver of immunity, 40 U.S.C. 3172.A unanimous Supreme Court reversed. Washington’s law facially discriminates against the federal government and its contractors; section 3172 does not clearly and unambiguously waive immunity from discriminatory state laws, so Washington’s law is unconstitutional. While section 3172(a) says that “[t]he state authority charged with enforcing and requiring compliance with the state workers’ compensation laws . . . may apply [those] laws to all land and premises in the State which the Federal Government owns,” and “to all projects, buildings, constructions, improvements, and property in the State and belonging to the Government, in the same way, and to the same extent as if the premises were under the exclusive jurisdiction of the State,” the waiver does not “clear[ly] and unambiguous[ly]” authorize a state to enact a discriminatory law that facially singles out the federal government for unfavorable treatment.The Court held that the case was not moot, despite Washington’s enactment of a new statute that, arguably, applies retroactively. View "United States v. Washington" on Justia Law
Viking River Cruises, Inc. v. Moriana
California’s Labor Code Private Attorneys General Act (PAGA) authorizes any “aggrieved employee” to initiate an action against a former employer on behalf of himself and other current or former employees to obtain civil penalties that previously could have been recovered only by California’s Labor and Workforce Development Agency. California precedent holds that a PAGA suit is a “representative action” in which the plaintiff sues as an “agent or proxy” of the state. Moriana filed a PAGA action against her former employer, Viking, alleging multiple violations with respect to herself and other employees. Moriana’s employment contract contained a mandatory arbitration agreement with a “Class Action Waiver,” providing that the parties could not bring any class, collective, or representative action under PAGA, and a severability clause. California courts denied Viking’s motion to compel arbitration.The Supreme Court reversed. The Federal Arbitration Act, 9 U.S.C. 1 (FAA), preempts California precedent that precludes division of PAGA actions into individual and non-individual claims through an agreement to arbitrate. Viking was entitled to compel arbitration of Moriana’s individual claim. Moriana would then lack standing to maintain her non-individual claims in court.A PAGA action asserting multiple violations under California’s Labor Code affecting a range of different employees does not constitute “a single claim.” Nothing in the FAA establishes a categorical rule mandating enforcement of waivers of standing to assert claims on behalf of absent principals. PAGA’s built-in mechanism of claim joinder is in conflict with the FAA. State law cannot condition the enforceability of an agreement to arbitrate on the availability of a procedural mechanism that would permit a party to expand the scope of the anticipated arbitration by introducing claims that the parties did not jointly agree to arbitrate. View "Viking River Cruises, Inc. v. Moriana" on Justia Law
Southwest Airlines Co. v. Saxon
Saxon, a Southwest Airlines ramp supervisor, frequently loads and unloads cargo alongside the ramp agents. Alleging that Southwest was failing to pay proper overtime wages to ramp supervisors, Saxon brought a putative class action under the Fair Labor Standards Act. Saxon’s employment contract required her to arbitrate wage disputes individually; she claimed that ramp supervisors were a “class of workers engaged in foreign or interstate commerce,” exempt from the Federal Arbitration Act, 9 U.S.C. 1.The Supreme Court affirmed the Seventh Circuit, holding that the act of loading cargo onto a vehicle to be transported interstate is itself commerce according to the “ordinary, contemporary, common meaning” of the word. By referring to “workers” rather than “employees,” the FAA directs attention to “the performance of work” and the word “engaged” similarly emphasizes the actual work that class members typically carry out. Saxon is a member of a “class of workers” based on what she frequently does, physically loading and unloading cargo on and off airplanes, and not on what Southwest does generally. Exempted workers must at least play a direct and “necessary role in the free flow of goods” across borders. Cargo loaders exhibit this central feature of a transportation worker. View "Southwest Airlines Co. v. Saxon" on Justia Law
Posted in:
Arbitration & Mediation, Labor & Employment Law
National Federation of Independent Business v. Department of Labor, Occupational Safety & Health Administration
The Secretary of Labor, through OSHA, enacted a vaccine mandate, to be enforced by employers. The mandate preempted contrary state laws and covered virtually all employers with at least 100 employees, with exemptions for employees who exclusively work remotely or outdoors. It required that covered workers receive a COVID–19 vaccine or obtain a medical test each week at their own expense, on their own time, and also wear a mask at work. Challenges were consolidated before the Sixth Circuit, which allowed OSHA’s rule to take effect.The Supreme Court stayed the rule. Applicants are likely to succeed on the merits of their claim that the Secretary lacked the authority to impose the mandate. The rule is “a significant encroachment into the lives—and health—of a vast number of employees,” not plainly authorized by statute; 29 U.S.C. 655(b) empowers the Secretary to set workplace safety standards, not broad public health measures. Although COVID–19 is a risk in many workplaces, it is not an occupational hazard in most. COVID–19 spreads everywhere that people gather. Permitting OSHA to regulate the hazards of daily life would significantly expand OSHA’s regulatory authority without clear congressional authorization. The vaccine mandate is unlike typical OSHA workplace regulations. A vaccination “cannot be undone.” Where the virus poses a special danger because of the particular features of an employee’s job or workplace, targeted regulations are permissible but OSHA’s indiscriminate approach fails to distinguish between occupational risk and general risk. The equities do not justify withholding interim relief. States and employers allege that OSHA’s mandate will force them to incur billions of dollars in unrecoverable compliance costs and will cause hundreds of thousands of employees to leave their jobs. View "National Federation of Independent Business v. Department of Labor, Occupational Safety & Health Administration" on Justia Law
Babcock v. Kijakazi
Social Security retirement benefits are calculated using a formula based on past earnings, 42 U.S.C. 415(a)(1)(A). Under the “windfall elimination” provision, benefits are reduced when a retiree receives a separate pension payment based on employment not subject to Social Security taxes. Pension payments exempt from the windfall reduction include those "based wholly on service as a member of a uniformed service.”A “military technician (dual status),” 10 U.S.C. 10216, is a “civilian employee” assisting the National Guard. Such technicians are required to maintain National Guard membership and must wear uniforms while working. For their work as full-time civilian technicians, they receive civil-service pay. If hired before 1984, they receive Civil Service Retirement System pension payments. As part-time National Guard members, they receive military pay and pension payments from a different arm of the government.The SSA applied the windfall elimination provision to the benefits calculation for Babcock, a dual-status technician. The district court and Sixth Circuit upheld that decision, declining to apply the uniformed-services exception.The Supreme Court affirmed. Civil Service Retirement System pensions generally trigger the windfall provision. Babcock’s technician work was not service “as” a National Guard member. A condition of employment is not the same as the capacity in which one serves. The statute states: “For purposes of this section and any other provision of law,” a technician “is” a “civilian employee,” “authorized and accounted for as” a “civilian.” While working in a civilian capacity, technicians are not subject to the Uniform Code of Military Justice. They possess characteristically civilian rights concerning employment discrimination, workers’ compensation, disability benefits, and overtime work; technicians hired before 1984 are “civil service” members, entitled to pensions as civil servants. Babcock’s civil-service pension payments are not based on his National Guard service, for which he received separate military pension payments. View "Babcock v. Kijakazi" on Justia Law
Cedar Point Nursery v. Hassid
A California regulation mandates that agricultural employers allow union organizers onto their property for up to three hours per day, 120 days per year. Union organizers sought access to property owned by two California growers, who sought to enjoin enforcement of the access regulation. The Ninth Circuit affirmed the dismissal of the suit.The Supreme Court reversed. California’s access regulation constitutes a per se physical taking and the growers’ complaint states a claim for an uncompensated taking in violation of the Fifth and Fourteenth Amendments. When the government, rather than appropriating private property for itself or a third party, imposes regulations restricting an owner’s ability to use his own property, courts generally determine whether a taking has occurred by applying the “Penn Central” factors. When the government physically appropriates property, the flexible Penn Central analysis has no place. California’s access regulation appropriates a right to invade the growers’ property and therefore constitutes a per se physical taking. Rather than restraining the growers’ use of their own property, the regulation appropriates for the enjoyment of third parties (union organizers) the owners’ right to exclude. The right to exclude is “a fundamental element of the property right.” The duration of a physical appropriation bears only on the amount of compensation due. The California regulation is not transformed from a physical taking into a use restriction just because the access granted is restricted to union organizers, for a narrow purpose, and for a limited time.The Court distinguished restrictions on how a business generally open to the public may treat individuals on the premises; isolated physical invasions, not undertaken pursuant to a granted right of access; and requirements that property owners cede a right of access as a condition of receiving certain benefits. Government inspection regimes will generally not constitute takings. View "Cedar Point Nursery v. Hassid" on Justia Law
Our Lady of Guadalupe School v. Morrissey-Berru
Two teachers at Roman Catholic elementary schools were employed under agreements that set out the schools’ mission to develop and promote a Catholic School faith community; imposed commitments regarding religious instruction, worship, and personal modeling of the faith; and explained that teachers’ performance would be reviewed on those bases. Each taught religion and worshipped with her students, prayed with her students. Each teacher sued after her employment was terminated. One claimed violation of the Age Discrimination in Employment Act; the other claimed she was discharged because she requested a leave of absence to obtain breast cancer treatment. The Ninth Circuit declined to apply the Supreme Court's 2012 Hosanna-Tabor “ministerial exception” to laws governing the employment relationship between a religious institution and certain key employees.The Supreme Court reversed. The First Amendment’s Religion Clauses foreclose the adjudication of employment disputes involving those holding certain important positions with churches and other religious institutions. Several factors may be important in determining whether a particular position falls within the ministerial exception. What matters is what an employee does. Educating young people in their faith, inculcating its teachings, and training them to live their faith lie are the core of a private religious school’s mission. The plaintiff-teachers qualify for the exception; both performed vital religious duties, educating their students in the Catholic faith, and guiding their students to live their lives in accordance with that faith. Their titles did not include the term “minister” but their schools expressly saw them as playing a vital role in carrying out the church’s mission. A religious institution’s explanation of the role of its employees in the life of the religion is important. The Ninth Circuit mistakenly treated the Hosanna-Tabor decision as a checklist; that court invested undue significance in the facts that these teachers did not have clerical titles and that they had less formal religious schooling than the Hosanna-Tabor teacher. The Court rejected a suggestion that an employee can never come within the Hosanna-Tabor exception unless the employee is a “practicing” member of the religion with which the employer is associated. View "Our Lady of Guadalupe School v. Morrissey-Berru" on Justia Law
Bostock v. Clayton County
Three employers each fired a long-time employee for being homosexual or transgender. Each employee sued, alleging sex discrimination under Title VII of the Civil Rights Act of 1964, which makes it “unlawful . . . for an employer to fail or refuse to hire or to discharge any individual, or otherwise to discriminate against any individual . . . because of such individual’s race, color, religion, sex, or national origin,” 42 U.S.C. 2000e–2(a)(1). The Eleventh Circuit held that the suit could be dismissed. The Second and Sixth Circuits allowed the claims to proceed.The Supreme Court ruled in favor of the employees. An employer violates Title VII when it intentionally fires an individual employee based in part on sex regardless of whether other factors besides the plaintiff's sex contributed to the decision or whether the employer treated women as a group the same when compared to men as a group. Discrimination on the basis of homosexuality or transgender status requires an employer to intentionally treat individual employees differently because of their sex. It is irrelevant what an employer or others might call the discriminatory practice; that another factor, such as the plaintiff’s attraction to the same sex or presentation as a different sex from that assigned at birth, might play an important role in the employer’s decision; or that an employer could refuse to hire a gay or transgender individual without learning that person’s sex. The Court rejected arguments that homosexuality and transgender status are distinct concepts from sex and that a stricter causation test should apply because the policies at issue have the same adverse consequences for men and women. Legislative history has no bearing where no ambiguity exists about how Title VII’s terms apply to the facts. View "Bostock v. Clayton County" on Justia Law
Posted in:
Civil Rights, Labor & Employment Law