Subject: GEA Newsletter #09 April 19, 2023

Newsletter #09 April 19, 2023

TRAINING UPDATES


Spaces ARE still available!!

2023 Leadership Training Virtual Series 


Virtual Workshops 

This workshop series will be held virtually. All workshops will be held online from 9:00 am – 3:30 pm, with a break between 11:30 am and 1:00 pm. Materials will be provided in PDF format by email after registration.


Dates
03/22/2023 Leadership I
04/26/2023 Leadership II
05/03/2023 Leadership III
06/07/2023 Leadership IV
07/12/2023 Leadership V

Date TBD Leadership VI


Employment Law and HR Legal Updates

Monthly Webinars

*Due to scheduling conflicts we will be moving this months webinar from Tuesday to Monday, April 24th.


Presenter: Jonathan Martin

Constangy Legal Update Series webinar

This month Jonathan will be discussing "Union/Labor Update for Georgia" 

 

Rescheduled Date: April 24, 2023

Time: 11:00am EST


GEA Members - Free

Non-Members - $50.00


If you are interested in

Georgia Employers’ Association membership, please contact

Buddy McGehee, Executive Director at


EMPLOYMENT LAW NEWS

SHRM.org STATE & LOCAL UPDATES

Supreme Court Clears Constitutional Challenges to Federal Agencies to Proceed in District Court

By Leah Shepherd  / April 17, 2023


Employers may find it easier to win legal battles against federal agencies, based on the U.S. Supreme Court's unanimous ruling in two cases consolidated into one decision on April 14.


The two cases examined whether federal district courts can hear constitutional challenges to the Federal Trade Commission's (FTC's) and Securities and Exchange Commission's (SEC's) authority before the agency completes its own appeals process, or whether targets of these agencies must wait for a final determination from the agency before that can be appealed in federal circuit court.


"Both respondents claim that the agencies' administrative law judges are insufficiently accountable to the president, in violation of separation of powers principles," wrote Justice Elena Kagan for the court. "And one respondent attacks as well the combination of prosecutorial and adjudicatory functions in a single agency. The challenges are fundamental, even existential. They maintain in essence that the agencies, as currently structured, are unconstitutional in much of their work."....Continue Reading >>


Constangy.com Blog

3 strikes, and this employer is OUT!

BY ROBIN SHEA ON 4.7.23
POSTED IN HARASSMENTSEXUAL HARASSMENT


Firm must go to trial on same-sex harassment claim.


If one employer's swings and misses can help other employers -- this case is a grand slam.


An executive recruiting firm hired a kid right out of college to work out of its Washington, D.C., office. The Managing Partner of the D.C. office was a longtime partner in the firm, had made tons of money for the firm, and was good buddies with the founder and Chief Executive Officer of the firm. 


The Kid was bisexual, and the Managing Partner knew it. For most of the Kid's tenure with the firm, the MP behaved very inappropriately toward him, and on the record (usually via text messages). According to the Kid, in addition to making sleazy comments, the MP groped him three times. 


The Kid was inappropriate with the MP, too, but only verbally. He said he talked and texted inappropriately because he felt pressured to do it to keep his job.

I won't recount any more details of the alleged harassment in this post, or we'd be here all day, but the court's decision has plenty.


The Kid eventually quit and did not cite sexual harassment as the reason for his resignation. But not long after, he sued the firm for hostile work environment sexual harassment under the D.C. Human Rights Act, negligent supervision, and intentional infliction of emotional distress, among other claims. Apparently the evidence was so overwhelming that the firm had to admit to many of the MP's harassing behaviors. (The MP was eventually terminated.)


Bold move, Cotton


Despite the odds, the firm moved for summary judgment. 

According to the firm, it wasn't liable for the MP's harassment because the Kid did not report the harassment until almost two months after he resigned. The firm contended that it was protected by the Faragher/Ellerth defense.


The Faragher/Ellerth defense is named after two Supreme Court decisions from the late 1990s involving Title VII: Faragher v. City of Boca Raton, and Burlington Industries v. Ellerth. The Court said that when workplace harassment results in a "tangible job detriment" to the victim, the employer is strictly liable for that harassment -- unless the employer can show (1) that it took reasonable measures to prevent and correct workplace harassment, and (2) that the plaintiff unreasonably failed to avail himself of those measures.


In support of its argument that it was entitled to the defense, the firm made three contentions, none of which are entirely out of left field: 

  • First, the Kid didn't suffer a "tangible job detriment" as a result of the harassment.

  • Second, the firm had a policy prohibiting sexual harassment and told employees they could report alleged harassment to any member of management, all the way up to the CEO. The firm also had harassment training that was presented by its outside counsel and was attended by both the Kid and the MP.

  • Third, the Kid didn't report the harassment until after he was long gone.


Decent arguments, but the firm struck out.

Firm strikes out


On the "tangible job detriment," the evidence showed that the MP had promised a bonus to the Kid upon hire if his performance (no, not that kind of performance! I'm talking about work!) met certain conditions. Arguably, the Kid met the conditions for eligibility but didn't get the bonus. And this could have been because he had started rejecting the MP's sexual advances. Oh, and I forgot to mention that the MP was solely responsible for making all of the bonus decisions for employees in his office. Denying a bonus to an otherwise-qualified employee because he refused to grant sexual favors would be a "tangible job detriment" anywhere. Strike one.


On the preventive and corrective measures, there were problems, too. The policy -- like most at the time -- didn't provide any avenue to complain if the victim was not comfortable with taking it to the CEO or to another member of management. This all happened in 2019, as "#MeToo" was just starting to crank up. Since #MeToo, we've recommended that harassment policies allow complaining parties to bypass the entire chain of command, including the CEO, if circumstances warrant. This can be done by letting employees complain to a designated member or members of the employer's Board of Directors, or to an outside ombudsperson. The firm's harassment training consisted of a one-hour session, and the MP walked out early. Then he joked about it, indicating that he didn't take it seriously. Strike two.


On the Kid's failure to report, the court found some problems that precluded summary judgment. First, the MP was the top guy in the office, making it a little awkward to go to him to complain about harassment . . . by him. In any event, the Kid did complain to the MP numerous times (as in, "Stop groping me, you sleaze!") but, amazingly, the MP didn't report the Kid's complaints to anyone. The court found that the Kid had reason to fear going to the CEO, since the CEO and the MP were such close friends. (There was even a seemingly incriminating photo of the CEO with the MP, although they had an innocent explanation for it.) Again, with post-#MeToo hindsight, the firm's harassment policy should have allowed employees to bypass even the CEO. On top of all that, a co-worker quit before the Kid quit and sent an email alleging that the MP was "inappropriate" with the Kid, although she didn't provide details and it wasn't clear that she was referring to anything sexual. Did the firm follow up on that email? No, it did not. So, that's strike three. Yer out!


And for essentially the same reasons, the court refused to grant summary judgment on the negligent supervision and intentional infliction claims.


  • WHAT "SUMMARY JUDGMENT" MEANS. Summary judgment is a way to end a lawsuit without the expense, hassle, and unpredictability of a trial. When a court rules on a motion for summary judgment, it has to resolve any disputed facts in favor of the "non-movant" -- that is, in favor of the party who is not moving for summary judgment. If the motion is granted, that is the end of the lawsuit subject to the losing party's right to appeal. If the motion is denied, it means the parties will have to go to trial and a jury or judge will have to consider the facts and come to a decision. (In real life, it isn't quite that simple because a motion for summary judgment can be granted as to some claims and denied as to others.) A party can lose on summary judgment but still win at trial, depending on what the jury or judge ultimately decides.

So this firm could still win at trial, even though most of its summary judgment motion was denied. But it appears to be the bottom of the ninth with bases loaded, no outs, and the plaintiff's designated hitter, Hank Greenberg, heading to the plate.

In baseball, you can't settle, but I suspect that this case will.


Yes, I am a fan of the Detroit Tigers. I could be in for a rough year. (Again.)

On a more pleasant note, I wish you all a very happy Passover, Easter, Ramadan, or weekend, as the case may be!

Image credits: Cartoon clip from Baseball Bugs (1946). Other images from flickr, Creative Commons license. First by Bryan Debus (I believe it's a strike being called on Miguel Cabrera), second by Rick Briggs (Ian Kinsler, but I think it may be a hit instead of a strike -- kind of hard to tell).


Tags: #MeTooBugs BunnyDetroit TigersDodgeball (2004)Faragher/EllerthFeighan v. Resource Systems GroupHarassmentHarassment PolicyHarassment TrainingSame-Sex HarassmentSexual HarassmentSummary Judgment



HRDIVE.com BRIEF

Cost of benefits strain employers and workers alike

Published April 13, 2023

Emilie Shumway / Editor


Dive Brief:

  • The rising cost of benefits — and the insufficiency of their support in covering employee costs — are straining both employers and workers, a report from Aflac has shown. Three in 4 employers responding to a survey said their benefits costs went up in the last year, naming prescription drug costs and an increased need for mental healthcare and medical appointments as factors.

  • Of all challenges when it comes to employee engagement and satisfaction, employers named providing a competitive total compensation package as their No. 1 struggle, with 47% picking this option — topping training and development (40%), implementing tech solutions (38%) and offering optimal flexible work arrangements (37%).

  • Despite employers’ desire to offer competitive benefits, they remain overconfident in employees’ satisfaction with and understanding of their benefits packages, the Aflac report showed, with a 22% gap between employer assessment of employee satisfaction and employees’ own reporting. Employees said they had to make difficult financial decisions about healthcare, with 21% saying they had to decide between healthcare or paying a bill, 17% reporting difficulty affording a prescription and 15% reporting difficulty affording healthcare recommended by a doctor or specialist. Just under half expressed skepticism they would be well-covered in the event of an extreme illness, and only 1 in 5 thought they would be covered “extremely well....Continue Reading >>


Membership Information


GAMA -  Golf Tournament Benefiting SAWF

Date: Thursday, April 27, 2023

Location:  Callaway Gardens in Pine Mountain, Georgia (just south of the Kia Plant)

Time:  9:00 – Shotgun Start

More info and registration at www.GAMA-Georgia.org.  


The Southern Automotive Women’s Forum (SAWF)is a 501(c)(3) nonprofit dedicated to the personal and professional advancement of women in the automotive industry.  SAWF achieves this mission by collaborating with industry partners to create educational, mentoring, and networking opportunities for its members. Its members serve as strong role models for one another and for young women of all ages who are interested in STEM fields (Science, Technology, Engineering, and Math) with the hope that they will apply these skills to the automotive industry of the future. Established in 2010, SAWF has awarded over $401,000 in scholarship funds to young women beginning their careers in STEM, and to women seeking to enhance their opportunities.


Rick Walker
President & CEO
GAMA – Georgia Automotive Manufacturers Association, Inc.
GLAMA – Global Automotive Mobility Association, Inc. 
4080 McGinnis Ferry Road, Suite 1004
Alpharetta, GA  30005
770-314-9040
rwalker@GAMA-Georgia.org

and

Rick Walker, Partner
CLEMENTS BERNARD WALKER PLLC
Patent, Trademark, and Trade Association Attorneys
4080 McGinnis Ferry Road, Suite 1004
Alpharetta, GA  30005
770-314-9040
rwalker@worldpatents.com 
www.LinkedIn.com/pub/rick-walker/2/22/a30/



Georgia Employers' Association

Phone: 478-722-8282 or Email: director@georgiaemployers.org



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