Temporary Worker Legal News

Temporary Worker News

California Labor Paid Sick Leave Laws Clarified, Still Complicated

Sacramento, CA While recent changes in California labor law relating to sick pay and paid time off for illness were designed as a help and support for California workers, implementing and maintaining those changes has served as a bit of a headache for employers.

July 20, 2015

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Respecting Caitlin Jenner and Her Community Under the Law

Sacramento, CA Our introduction this past week to Caitlin Jenner, as sensational as it may have been played out in the media, reminds us that with the modern realities of tolerance and equality, transgendering is anything but sensational and is increasingly accepted carte blanche as an aspect of the new normal. As a result, lawmakers have been grappling with updates of definitions and approaches to traditional bastions such as public and workplace washrooms.

June 6, 2015

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Summer Intern? Maybe You Should Be Getting Paid

Los Angeles, CA Increasingly, unpaid interns are reporting that they are treated as unpaid employees and their employers are violating California labor laws and the FLSA (Wages and Fair Labor Standards Act).

Employers would be wise to brush up on the FLSA Act and the Department of Labor’s (DOL’s) criteria, to ensure their interns are not misclassified and exploited. In the past year, several class actions have resulted in unpaid interns being awarded unpaid wages and California overtime pay. (Do a quick Google search for “intern class action lawsuits” to see how much trouble you can get into: Paying interns minimum wage would be more cost-effective than settling an unpaid intern lawsuit.)

The latest suit filed May 1, 2015 in New York state court alleges the Giorgio Armani Corp uses interns for free labor. The proposed class action against the fashion giant was filed by former intern Claire Malnar. According to Law360, Malnar performed work duties including data entry, unpacking boxes and organizing inventory when she interned for the company for three months in 2010. The DOL clearly states that:

• The internship, even though it includes actual operation of the facilities of the employer, is similar to training which would be given in an educational environment.
• The employer derives no immediate advantage from the activities of the trainees or students, and, on occasion, the employer’s operations actually may be impeded.

The suit seeks payment of back wages under New York labor law. The case is Claire Malnar et al. v. Giorgio Armani Corp. et al., case number 154399/2015, in the Supreme Court of the State of New York, County of New York.

Just one day before the Armani suit was filed, Metro-Goldwyn-Mayer (MGM) HD Productions LLC was hit with a putative class action in California court. Kimi Gupta claims she worked for the TV channel about nine hours per day, two days a week before she was fired for “making mistakes.” Gupta claims that MGM systematically hired interns to work for free.

The complaint states that “Defendants lured students and others into providing free labor and services as interns under various pretexts, including telling them that ‘there was always a chance of getting hired’ if they worked for a period of time without compensation.”

One of the Department of Labor’s (DOL) six criteria is that “The trainees or students are not necessarily entitled to a job at the conclusion of the training period.”

Further, the lawsuit adds that, “By engaging in such tactics and schemes, defendants procured the labor of unsuspecting and vulnerable persons, illegally reduced labor costs on its productions, and unfairly competed with others in the market.” The MGM lawsuit, which claims violations of California’s minimum wage law and the Unfair Competition Law, could involve more than 100 former MGM interns.

Last year Viacom Inc. settled with former MTV Networks and Viacom interns for $7.2 million and Condé Nast settled with 7,500 former interns for $5.8 million. The latter terminated its internship program. And thirdly in 2014, NBC Universal agreed to settle with about 8,000 former unpaid interns at Saturday Night Live and MSNBC for $6.4 million.

Obviously, it doesn’t pay to treat interns like unpaid employees.

The Fair Labor Standards Act’s (“FLSA”) six criteria for unpaid interns are as follows:

• the position be educational;
• benefit the intern;
• not displace other workers;
• provide no immediate advantage for the employer;
• have no promise of future employment;
• a clear understanding that it is an unpaid position.

Visit FLSA (Wages and Fair Labor Standards Act) for more information about unpaid internships.

May 11, 2015

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California Labor Law Protection for Discrimination and Retaliation?

Bakersfield, CA The State of California’s Division of Labor Standards investigates complaints that allege discrimination in the workplace. It states that “As an employee in the State of California…your employer cannot fire, demote, suspend or discipline you for answering any questions or providing any information to a government agency.” Although most employees know their basic rights and that discrimination is a violation of the California labor law, they are afraid to speak out for fear of retaliation. Juan feels he has nowhere to turn.

February 24, 2015

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California Assembly Bill Protecting Temporary Workers Takes Effect

Sacramento, CA A California bill designed to protect temporary workers from California labor code violations took effect at the start of January. The law now makes companies responsible for the actions of temp agencies that they subcontract to. In other words, if a temp agency violates California labor law, the company that hired the temp agency could also be liable for those California employee violations.

January 26, 2015

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California Passes New Labor Law

Sacramento, CA With Governor Jerry Brown signing a new California labor law, the state has now addressed issues about California labor issues in the temp industry. Although temps were already covered by some California labor codes, it was not always clear whether the temp agencies or the companies hiring the agencies were responsible for California labor violations.

October 6, 2014

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Exotic Dancers Bring California Labor Lawsuit

San Jose, CA Women who dance at a strip club have a California labor lawsuit against the club’s owners alleging the company violated California labor law by not paying minimum wage or overtime. The lawsuit alleges a variety of California labor code violations.

May 26, 2014

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California Labor Law Gets New Look for New Year

Sacramento, CA With a new year, comes a new era in California labor law. Nothing iconic, mind you, but a culmination nonetheless in various reforms that took effect the first of the year or due to come into play later in 2014. Among them, a boost in the minimum wage in the state and other reforms that help to further protect workers’ rights.

January 6, 2014

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ERISA Not Just About Protecting Investments

San Diego, CA While many people think the Employee Retirement Income Security Act (ERISA) has to do with investments and

November 24, 2012

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California Labor Law and Misclassification with the IRS

Oakland, CA If your business uses independent contractors, you would be wise to determine that they aren't misclassified as employees before the IRS knocks at your door. According to federal law and the California Labor Law, "You may be at risk for an employment tax audit," says attorney Leonard Emma of The Law Office of Randall Crane.

August 22, 2011

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