HR TIP OF THE MONTH
Do You Remember the Last Time You Reviewed Your Company’s Handbook?
With the New Jersey Supreme Court’s recent decision declaring unlawful an employment application provision shortening the statute of limitations to bring a claim under the Law Against Discrimination (discussed below), it is important for employers to remember that the best designed and intended policies are always subject to judicial interpretation and scrutiny. And a company can never be certain that a policy implemented previously will still be enforceable years later. It is important for companies to evaluate their handbooks and policies annually, and work with their labor and employment attorney when doing so, to ensure the policies are up to date and enforceable.
REGULATORY UPDATE
New Jersey Supreme Court Rules Against Shortened Statute of Limitations for Employment Discrimination Claims
In a long awaited decision by employers, the New Jersey Supreme Court, in Rodriguez v. Raymours Furniture Company, Inc., reversed two lower court decisions and held that an employer in New Jersey cannot shorten the two year statute of limitations for an employee or prospective employee to bring an employment discrimination or other claim under the New Jersey Law Against Discrimination (“LAD”). The employer in the case had a provision in an employment application that required the employee to bring any claims within six months of the date of the alleged adverse employment action. The takeaway from this decision for employers is that any employment agreements or other policies that purport to shorten the LAD’s two year statute of limitations are unenforceable in New Jersey.
New Jersey Supreme Court Rules That Unlawful Marital Status Discrimination Includes Employees Who Are In the Process of Getting Divorced
In another decision by the New Jersey Supreme Court, in Smith v. Millville Rescue Squad, the Court held that “marital status,” which is a protected class under the New Jersey Law Against Discrimination (“LAD”), includes employees who are separated from their spouse and who are in the process of getting a divorce. The employer in this case allegedly terminated an employee because the employer believed the employee would have an “ugly divorce.” This case involved a husband and wife who both worked for the employer, and the husband then had an affair with a volunteer worker. The Court interpreted the “marital status” protected class as including employees who have never married, who are engaged, separated, involved in divorce litigation, or recently widowed. The takeaway for employers from this case is not to let an employee’s separation or pending divorce factor into any employment decisions.
While You Are on Vacation, the U.S. Equal Employment Opportunity Commission is Staying Busy This Summer
In a flurry of activity this month, the U.S. Equal Employment Opportunity Commission (“EEOC”) has announced:
- Its task force formed in 2015 to study harassment in the workplace has called on employers to “double down” and “reboot” workplace harassment efforts. To read the report and the EEOC’s comments, click here.
- The issuance of its final rules on employer wellness programs. To read the final rules, click here. To obtain the EEOC’s sample notice for employers offering wellness programs, click here.
- It is seeking input on proposed national origin discrimination guidance. To read the draft guidance and the EEOC’s comments about the effort, click here.
- Effective July 5, 2016, it has increased its penalties for failure to post notices required by Title VII, the ADA, and GINA by 150%. The fines will increase from $210 to $525 per violation.
Brach Eichler Employment Services Group attorneys represent employers of all sizes in New Jersey and New York in connection with their labor and employment needs. Our services range from compliance and counseling advice to defending employers in court against claims of wage and hour violations, unlawful employment practices, discrimination and retaliation. We encourage you to contact Brach Eichler Employment Services Group for all of your labor and employment law issues.
