Legislative Update for the Week of July 19
House Committee Approves Miner Safety Bill
The House Committee on Education and Labor approved the Robert C. Byrd Miner Safety and Health Act of 2010, legislation that - in addition to addressing mine safety - would significantly increase employer civil and criminal penalties for violations of the Occupational Safety and Health (OSH) Act, strengthen whistleblower protections, and provide greater rights for victims of accidents and their family members to participate in proceedings under the OSH Act. Read the full post here. (July 23)
MSHA Reporting Obligations in Wall Street Reform and Consumer Protection Act
The Dodd-Frank Wall Street Reform and Consumer Protection Act contains some surprising provisions. Safety and health professionals should note that Miner Safety and Health Act reporting obligations for any covered entity that is a mine operator (or has a subsidiary that is a mine operator) of a "coal or other mine" are included. Read the full post here. (July 23)
Financial Reform Act Contains Many Executive Compensation Provisions
On July 21, 2010, President Obama signed into law the Dodd-Frank Wall Street Reform and Consumer Protection Act (H.R. 4173) (the "Act"), which is intended "to promote the financial stability of the United States by improving accountability and transparency in the financial system" and "to protect the American taxpayer by ending bailouts, to protect consumers from abusive financial services practices, and for other purposes." While the Act is directed at the financial system, it incorporates broad executive compensation provisions that apply beyond the financial services industry. Publicly-traded companies need to understand and prepare for these new requirements. Included in Subtitle E of Title IX - Accountability and Executive Compensation ("Subtitle E") - of the Act are laws generally related to executive compensation practices of publicly-traded companies and certain financial institutions. The laws enacted under Subtitle E amend the Securities Act of 1933 and Securities Exchange Act of 1934 (the "Exchange Act"), and also direct the Securities Exchange Commission (SEC) and certain other Federal Regulators to adopt rules consistent with the new law. Continue reading about this development in Littler's ASAP: Executive Compensation and the Wall Street Reform and Consumer Protection Act by Nick Linn, Ilyse Schuman, and Ellen Sueda.
Legislative Update for the Week of July 12
Senate Approves Wall Street Reform Bill
The Senate voted 60-39 to pass the Dodd-Frank Wall Street Reform and Consumer Protection Act, the sweeping financial overhaul legislation otherwise known as the "Wall Street" reform bill. Read the full post here. (July 15)
House Committee Holds Hearing on Miner Safety and Health Act
The House Education and Labor Committee held a hearing on the Miner Safety and Health Act of 2010, the worker safety bill that, in addition to addressing mine safety, increases penalties and strengthens whistleblower protections under the Occupational Safety and Health (OSH) Act. Read the full post here. (July 14)
NLRB Ratifies Authority of General Counsel, 2-Member Board During 27-Month Period
The National Labor Relations Board (NLRB) announced that it has ratified the General Counsel's litigation authority and the Board's administrative, personnel, and procurement actions taken during the 27-month period when the Board operated with only two acting members. Read the full post here. (July 12)
Legislative Update for the Week of July 5
Rule to Require Contractors to Disclose Executive Compensation and Contract Awards
A number of federal agencies plan to issue an interim rule that will require federal contractors and subcontractors to disclose executive compensation details and first-tier subcontractor awards on contracts expected to be for $25,000 or more. Read the full post here. (July 7)
OSHA Proposes Rule to Update Various Standards
The Occupational Safety and Health Administration (OSHA) has issued a proposed rule designed to "remove or revise outdated, duplicative, unnecessary, and inconsistent requirements in its safety and health standards." Read the full post here. (July 6)
Huge Increase in Employment Tribunal Claims
The latest annual statistics (PDF) published by the UK's Tribunals Service have revealed a very significant increase in claims received by Employment Tribunals, which are now at their highest ever level. The number of claims in 2009-10 rose to 236,100, representing a 56% increase on the number of claims lodged in 2008-9. However, the report suggests that this is largely attributable to a rise in the number of multiple claims (i.e. arising out of the same or similar circumstances).
Ontario Pension Reform Legislation Receives Royal Assent
Bill 236, the Pension Benefits Amendment Act, 2009 received Royal Assent late last month. While the new requirements in the Bill will not come into effect until proclaimed, the changes are significant and employers, plan sponsors and administrators should start planning for implementation now.
The Bill introduces the immediate vesting of benefits, rather than requiring of two years of participation in a pension plan. It also allows employers to extend the eligibility period to the maximum of two years or exclude participation in the plan to certain defined classes of employees. New provisions in the Bill will also help facilitate the often complicated task of obtaining regulatory approval for pension transfers in the purchase and sale of businesses where seller and buyers have pension plans. The Bill will also allow for the introduction of phased retirement and electronic transmittal of Plan member consents, notices, statements and other communications.
For more information on Bill 236, please see Heenan Blaikie's Pension Pulse " Ontario Pension Reform Bill 236 Given Royal Assent: Time to Act for Plan Sponsors and Administrators" (pdf).
Significant Amendments to Impending Korea Industrial Relations Laws
On 1 January 2010, the Korean National Assembly passed a Bill significantly affecting labour unions and employers with unionised workforces. The Bill also sets out the timetable for implementation in 2010 and 2011.
The provisions, which were strongly opposed by unions 13 years ago, deal with:
- prohibiting employers from paying remuneration to full-time union officials (currently this is permitted); and
- giving legal permission for multiple unions to be established at a single worksite (currently each enterprise may legally only have one trade union).
To read more about this development, click here.
Contributors: George Cooper, Partner, and Celia Yuen, Senior Associate
Legislative Update for the Week of June 28
NLRB Explains How It Will Address Two-Member Decisions
In the wake of the recent Supreme Court decision holding that the National Labor Relations Act requires that the National Labor Relations Board (NLRB) must operate with at least three members in order to exercise its full authority, the NLRB has issued a roadmap explaining how it will handle cases sent back to the agency that were decided by only two acting members. Read the full post here. (July 2)
House Passes Appropriations Bill that Includes Public Safety Personnel Collective Bargaining Rights
The House of Representatives approved the Supplemental Appropriations Act of 2010 that included an amendment incorporating the Public Safety Employer-Employee Cooperation Act, which would provide firefighters, police officers, and emergency medical personnel with collective bargaining rights in states and localities that do not currently provide them; establish minimum standards for collective bargaining rights for these groups; and give the Federal Labor Relations Authority the power to regulate and enforce these rights. Read the full post here. (July 2)
Training of Employees
New Rules on Paying Social Security Dues in Cross-Border Employment
Some EU Directives May be Invoked in Court Even When Not Implemented into Polish Law
Consultations Before Decision by Parent Company
A Criminal Conviction Does Not Necessarily Justify a Sanction for a Disciplinary Fault
French courts have ruled that a failing linked to an employee's private life cannot be grounds for a disciplinary sanction by their employer. For example, a court decided that the fact that an ambulance driver couldn't be reached on his professional mobile phone outside his working hours was not a fault, even when such failing took place in the context of an emergency.
Continue Reading...Russian Government Considers the Draft Federal Law Regarding ILO Paid Leaves Convention
The draft federal law "On ratification of the Convention N 132 "On paid leaves" of the International Labor Organization" is now under consideration of the Government of the Russian Federation.
The Convention was adopted on June 24, 1970 and stipulates the main rights of individuals on guaranteed annual paid leave. According to the provisions of the Convention, each member of the International Labor Organization upon its ratification is obliged to establish a minimal term of paid annual leave as well as the categories of employees it shall apply to. Therefore the draft federal law on ratification of the Convention envisages that the guaranteed annual paid leave in Russia comprises 28 calendar days and is applicable to the employees both of agricultural and non-agricultural economic sectors.
The currently effective legislation of the Russian Federation complies with the Convention. But the Government intends to ratify it in order to constitute Russian legislation basing on universally recognized norms of labor law which serve as the basis for all national labor laws.
Amendments to the Legislation Concerning Foreign Citizens
On July 1, 2010 amendments to the federal law "On legal status of foreign citizens in the Russian Federation" came into force. These amendments are aimed at facilitation of migration rules for certain categories of employees and at improvement of investment climate in Russia.
For detailed information about the amendments to Russia legislation on foreign citizens, please continue reading ALRUD's newsletter (pdf) "Amendments to legislation on foreign citizens."
Government of the Russian Federation Approves Amendments Stipulating Liability of the Host Party for Foreign Employees
The Government of the Russian Federation approved the draft bill on amendments to the Code on administrative offenses of the Russian Federation and federal law "On legal status of foreign citizens in the Russian Federation."
Continue reading ALRUD's newsletter (pdf) "Government of the Russian Federation approved the amendments stipulating liability of the host party for foreign employee."
Russia Improves its Investment Climate
Russia is strongly aimed at improvement of its attractiveness for investors. Recently the Ministry for Economic Development of the Russian Federation presented its proposals where the main areas for development are tax regulation, administrative procedures, customs administration, investment support, and optimization of infrastructure access procedures. Notably, the utmost position is allotted for simplification of the migration regime.
Please continue reading about this development in ALRUD's newsletter (pdf) on improvement of the investment climate in Russia and unofficial translation (pdf) of the Presentation of the Ministry for Economic Development of the Russian Federation on measures to improve the investment climate.
Ontario Court of Appeal Rules that Employees Cannot Sue Employers in Tort for Negligent Infliction of Mental Suffering
In Piresferreira v. Ayotte, the Ontario Court of Appeal held that employees cannot sue their employers for the negligent infliction of mental suffering in tort; rather, aggrieved employees must pursue contractual remedies.
In this case, an employee went off work on stress leave after a series of workplace conflicts that culminated in the employee allegedly being yelled at and pushed by her manager. The employee never returned from stress leave and sued her employer for wrongful dismissal. The employee also sued in tort for negligent infliction of mental suffering. The trial judge awarded the employee more than $
This decision is significant for employers because damages for mental suffering awarded under a contract will generally be smaller than tort awards. In addition, requiring employment relationships to end before a claim can be filed should create certainty in employee relations and reduce workplace conflict.
Social Media Can Create Advantages in the Workplace
The potential for decreased productivity, online harassment or disclosure of trade secrets are all reasons cited by employers for not integrating social media into their businesses. However, as reported by the Courier Post, a Forrester Research survey of IT workers indicates that 72% found social media helpful in getting questions answered, and 68% noted its benefit when gathering information necessary for business success. And, according to a separate study by Right Management, employers that recognized social media's numerous business advantages, e.g., attracting job applicants and creating brand awareness, could actually see productivity increase.
Although employers' concerns are not unfounded, for some businesses the benefits of using social media tools outweigh the risks. Employers can guard against the risks by developing and implementing effective social media policies. However, a Manpower survey found that 75% of employers had no policy on the use of social media in the workplace.
Immigration Update for the Week of July 19
United States: ICE Has Fined Texas Businesses over $600K Since October
Since October 2009, U.S. Immigration and Customs Enforcement (ICE) has levied over $600,000 in fines against Texas businesses for immigration-related violations ranging from incomplete I-9 records to employment of illegal immigrants. Read the full post here. (July 25)
United States: USCIS Issues Guidance on Determining Hire Date for E-Verify Purposes
United States Citizenship and Immigration Services (USCIS) has created a webpage providing guidance aimed at helping employers comply with the rule requiring an E-Verify case to be created no later than three business days after an employee first works for pay. Read the full post here. (July 23)
United Kingdom: Interim Limit Takes Effect for Tier 2 (General) Certificates of Sponsorship
As of July 19, 2010, rules for the United Kingdom's Points Based System have changed, permitting the Secretary of State to limit the number of Certificates of Sponsorship (CoS) assigned to sponsors, and to limit the number of CoS assigned to specific sponsors in any one period. Read the full post here. (July 22)
Image credit: CDH Design
Immigration Update for the Week of July 12
United States: State Department Releases August 2010 Visa Bulletin
The State Department released the August 2010 Visa Bulletin, which summarizes visa availability. Some movement occurred in the oversubscription date (i.e., the date on which the availability quota was met) for EB-2 and EB-3 employment-based visas. Read the full post here. (July 18)
United States: Few Utah Businesses Have Complied with Mandatory E-Verify Enrollment
Since the July 1, 2010, effective date of a Utah law requiring businesses with 15 or more employees to verify new hires' work status through E-Verify, less than one-third have done so. Read the full post here. (July 15)
United States: Audits, Not Raids, Central to Obama Administration's Immigration Enforcement Strategy
Under Obama, Immigration and Customs Enforcement has audited over 2,900 business and imposed $3 million in civil fines. Read the full post here. (July 15)
Immigration Update for the Week of July 5
U.S. / China: U.S. Consular Offices in China to Open on Saturdays to Expedite Visa Process
The U.S. State Department announced that the U.S. Embassy in Beijing, and four other consular offices in other Chinese cities, will be open on Saturdays to accommodate Chinese nationals seeking to visit the United States. Read the full post here. (July 6)
Immigration Update for the Week of June 28
United Kingdom: Limits Being Introduced on Tier 1 (General) Work Permits
The UK Border Agency announced that, beginning July 19, 2010, it will limit how many applications submitted under Tier 1 (General) of the points-based system will be considered per month. Read the full post here. (July 2)
United Kingdom: Interim Limit on Sponsorship Certificates Under Tier 2 (General)
The UK Border Agency announced that on July 19, 2010, it will introduce an interim limit on the number of sponsorship certificates employers can issue to migrant workers. Read the full post here. (July 2)
United States: Due to Privacy Concerns, New E-Verify Registrants Will Need to Supply More Information
The Department of Homeland Security will be implementing additional requirements for employers who register for the E-Verify electronic employment verification system, in order to provide additional protection for employees' personal information. Read the full post here. (July 1)