Iván López García de la Riva discusses Spain’s plan to raise severance payments in certain situations. 

CincoDías

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Paul Piccigallo talks about considerations for employers when raising minimum wage in the midst of rising inflation.

SHRM Online

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Melissa Cee and Erin Webber discuss hiring the sixth shareholder at Littler – Noah Garber – since July as part of Littler’s new talent strategy that the firm began developing last year. 

The Recorder

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Michael Lotito weighs in on the U.S. Department of Labor's Wage and Hour Division’s key proposals and nominations.

Law360 Employment Authority

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Claire Deason weighs in on whether employers are obligated to pay for remote employees' commutes into work, business expenses and paid sick time.

Law360 Employment Authority

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Joy Rosenquist offers employers tips to manage compliance challenges that may arise from California’s new regulations that are designed to increase pay transparency.

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While significant bills impacting Connecticut employers were signed into law, proposed employer mandates on pay transparency, paid sick leave, and predictive scheduling failed to gain the necessary votes for passage in 2023. Here are some of the year’s notable legislative developments.

What Passed . . .

Effective October 1, 2023, unless otherwise noted:

The First Special Session of the 131^st Maine Legislature included debate about more than 2,000 bills. Many that were adopted will impact employers in the Pine Tree State. Below is a brief summary of important employment law changes enacted this session. 

An Act to Create the Maine Paid Family and Medical Leave Benefits Program

The budget signed by Maine Governor Janet Mills on July 11, 2023, included funding for one of the broadest and most generous paid family and medical leave programs in the country.

On August 8, 2023, the Governor of Puerto Rico signed into law Act No. 85-2023, effective immediately. The statute amends Puerto Rico’s Workers’ Compensation Act by further incentivizing safe workplaces.

With 2023 in the rearview mirror, Connecticut employers may want to confirm they have implemented the necessary changes to address legislative developments that became effective January 1, 2024.

Connecticut Minimum Wage

Stephen T. Melnick discusses the Massachusetts Department of Industrial Accidents (DIA)’s revised workers’ compensation notice for employees, which Massachusetts employers will start using Sept. 16, 2024.

SHRM

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On January 8, 2021, the Pension Benefit Guaranty Corporation (PBGC) issued its final rule modifying the calculation of withdrawal liability by multiemployer pension plans.  This final rule amends the agency’s regulations on allocating unfunded vested benefits to withdrawing employers (29 C.F.R. § 4211) and notice, collection, and redetermination of withdrawal liability (29 C.F.R. § 4219).

House Education and Labor Chairman Bobby Scott (D-VA) recently introduced legislation that seeks to provide aid to multiemployer pension plans (MEPs) facing insolvency. Entitled the Emergency Pension Plan Relief Act (EPPRA), the bill would fund this aid directly from the U.S. Treasury.

Sarah Bryan Fask provides insight on multi-employer pension plans. 

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On March 11, 2021, President Biden signed into law the $1.9 trillion American Rescue Plan Act of 2021, which includes the Butch Lewis Emergency Pension Plan Relief Act of 2021.  This law is designed to forestall the insolvency of approximately 100 multiemployer pension plans that were expected to run out of money necessary to pay vested benefits over the next 20 years.  Included among these funds is a particularly large fund that – absent congressional intervention – would have gone insolvent by 2025, leaving millions of retirees without their expected monthly pension. 

On March 10, 2021, the Department of Labor’s Employee Benefits Security Administration (EBSA) announced that it will not enforce or otherwise pursue enforcement actions with respect to two recently issued final rules amending the “investment duties” regulation under Title I of the Employee Retirement Income Security Act (ERISA).

Sarah Bryan Fask shares her insight about the future of pension plans for unionized employees.

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A federal court in New Jersey recently applied the arbitrary and capricious standard of review for a denial of benefits claim despite the enactment of an anti-discretionary statute in Minnesota, which governed the benefit plan policy. Hocheiser v. Liberty Mut. Ins. Co., 2021 U.S. Dist. LEXIS 32154 (D.N.J. Feb. 22, 2021).

Sarah Bryan Fask explains how the special financial assistance will affect union-brokered pensions.

Bloomberg Law

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The Colorado Court of Appeals recently decided an issue of first impression regarding the Employee Retirement Income Security Act’s (ERISA) preemptive power over Colorado’s divorce-revocation statute. The decision in Ragan v. Ragan, 2021 COA 75, settled an open question in Colorado regarding whether ERISA preempts “post-distribution” lawsuits under Colorado’s divorce-revocation statute. Specifically, the court held that ERISA preempts lawsuits against a former spouse to recover plan benefits that were distributed to the former spouse as the named beneficiary.

The U.S. Supreme Court declined to review the Second Circuit’s decision in Laurent v. PricewaterhouseCoopers LLP, which held that retirees could receive money damages in the form of recalculated benefits in a class action over how the company’s cash balance pension plan calculated lump-sum benefits.

Sarah Bryan Fask talks about the federal government’s temporary rescue of more than 200 union-brokered pension plans.

Bloomberg Law

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On January 27, 2022, in New York State Teamsters Conference Pension and Retirement Fund v. C&S Wholesale Grocers, Inc., the Second Circuit joined the Third, Seventh, and Ninth Circuits in applying the doctrine of successor liability to claims for withdrawal liability under the Employee Retirement Income Security Act (ERISA). The court did not, however, find successor liability in this case because the acquiring company specifically did not acquire the facility or employees that triggered the liability.

On March 10, 2022, the Department of Labor issued guidance on the use of cryptocurrency in plans governed by ERISA.  The announcement applies to cryptocurrencies as well as digital assets, which include “tokens,” “coins,” “crypto assets” and any derivates thereof.

Anne Sanchez LaWer advises employers to evaluate the extent to which state laws restricting abortion may impact their healthcare plans, privacy practices, leave accommodations, company culture and other employment policies.

SHRM Online

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On October 14, 2022, the Pension Benefit Guaranty Corporation (PBGC), the federal agency that insures and regulates private-sector defined benefit pension plans under Title IV of the Employee Retirement Income Security Act of 1974 (ERISA), published a proposed rule governing employer withdrawal liability.

(November 3, 2022) – Littler, the world’s largest employment and labor law practice representing management, has earned “Law Firm of the Year” status in the category of Employment Law – Management on the 2023 U.S. News – Best Lawyers^® “Best Law Firms” list. The firm also received “National Tier 1” rankings for the 13th consecutive year in the following practice areas:

Employers offering 401(k) and similar retirement plans should familiarize themselves with a new rule published by the Employee Benefits Security Administration of the U.S. Department of Labor, Prudence and Loyalty in Selecting Plan Investments and Exercising Shareholder Rights, which takes effect on January 30, 2023.

Sarah Bryan Fask comments on the Pension Benefit Guaranty Corp.’s proposed rules that would govern interest rate assumptions for calculating withdrawal liability in a pension fund and how they will affect cases like Energy West.

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Lawsuits against employers offering retirement benefit plans have been on the rise.  Recent suits, discussed in this update, have provided some guidance for employers. 

A recent federal appeals court case clarifies that, under ERISA, the regulations governing disability plans’ claims review procedures apply to claims that predate the 2018 changes to the regulations. The decision also serves as a reminder for plan administrators to review their claims review procedures to ensure compliance with the current requirements for a “full and fair review” benefits appeal process.

The Claims Review Regulations

Fiduciaries of retirement plans continue to be plagued by class actions brought under the Employee Retirement Income Security Act (ERISA) challenging their fiduciary management of investment options and participant fees. A recent federal court decision, however, shows that fiduciaries of ERISA retirement plans may be able to attack and defeat complaints alleging breaches of ERISA fiduciary duties at the pleading stage if the right arguments are made and if certain fact patterns are present. 

Littler, the world’s largest employment and labor law practice representing management, was named “Law Firm of the Year” for Labor Law - Management in the 14th edition of Best Law Firms^®, ranked by Best Lawyers^®. The firm also earned “National Tier 1” rankings for the 14th consecutive year in the following practice areas:

On February 9, 2024, the U.S. Court of Appeals for the D.C. Circuit issued its decision in Trustees of IAM Nat'l Pension Fund v. M & K Emp. Sols., LLC, No. 22-7157 (D.C. Cir. Feb. 9, 2024), affirming the district court’s decision to vacate an arbitration award for the employer in a pension fund withdrawal liability case.  The D.C.

In honor and celebration of Asian American and Pacific Islander Heritage Month, Littler attorneys William Ng (Long Island), Hinna Upal (Rochester) and Gregory Iskander (Walnut Creek) discuss how their journeys to leadership were built on promoting collaboration, finding community and creating opportunities for other diverse attorneys.
 

In honor and celebration of Asian American and Pacific Islander Heritage Month, Littler attorney, Judy Iriye (L.A. – Century City) talks with fellow Littler attorney, Kevin Yam (New York) and Littler alum, Fran Barbieri (Chief Counsel, Litigation and Employment at World Wide Technology in St Louis, Missouri), about personal experiences where they were able to overcome feelings of foreignness to achieve personal and professional success.
 

Employers are under the microscope from internal and external stakeholders to weigh in on myriad social issues and current events. To publish, or not to publish in each instance? That is the question. In this brief “podcast-ette,” Alyesha Asghar Dotson highlights the self-assessment that an employer ought to engage in before pressing that publish or print button.
 

As Pride Month comes to a close, we are celebrating with a very special podcast that features the personal stories and perspectives from two members of the Littler family.

Littler Knowledge Management Counsel, Betsy Cammarata (GSC – Kansas City) talks with Littler alum, Bennett Kaspar-Williams (Corporate Counsel for Labor Relations at Amazon Studios) about:

Jasper Hoffstedde and Eric van Dam of Littler’s Amsterdam office discuss non-compete clauses in Dutch employment agreements. A non-compete clause may be agreed upon in writing in indefinite-term employment agreements with a person of age (18+). For fixed-term employment agreements, additional conditions apply. Such conditions are strict, which more often than not lead to invalidity or voidability of the clause.

Jasper Hoffstedde and Fleur van Lieshout of Littler’s Amsterdam office discuss the termination clause in Dutch employment agreements. The termination clause seems an easy and straightforward clause; you simply invoke the clause and terminate employment, right? For the employee that is indeed in the case, but the employer has another hoop to jump through if the employee doesn’t want to agree to termination. He then has the obligation to substantiate the reason for termination, the so-called valid ground.

Before offering a foreign national a permanent position, an employer must demonstrate to the Department of Labor that it tested the market and could not find a U.S. worker to fill the role. How can an employer show it properly tested the U.S. labor market to satisfy the DOL’s requirements under the Program Electronic Review Management (PERM) process?

Labor force participation is falling, the skills gap is widening, and certain industries are struggling to recover post-pandemic. In this podcast, Michael Lotito, co-chair of Littler Workplace Policy Institute (WPI) and Shannon Meade, executive director of WPI, discuss the historic transformation of the American workforce and what needs to be done on a national level to address the challenges employers and employees are facing.
 

Jeronimo Simonovis and Lavanga Wijekoon discuss an asylum case before U.S. immigration authorities that Jeronimo won involving a woman and her 8-year-old son.

Littler attorneys provide pro bono services in a variety of areas, depending on the interests of individual attorneys. The firm values and encourages the community-minded and pro bono efforts of our lawyers and staff.
  

Renea Saade and Breanne Martell talk about an Alaska adoption case with a great outcome.

Littler attorneys provide pro bono services in a variety of areas, depending on the interests of individual attorneys. The firm values and encourages the community-minded and pro bono efforts of our lawyers and staff.
  

Nicole LeFave, Vinay Patel and Garrick Chan share their experience with Jenny Schwendemann of working on a collaborative effort through the Law Firm Antiracism Alliance.

Littler attorneys provide pro bono services in a variety of areas, depending on the interests of individual attorneys. The firm values and encourages the community-minded and pro bono efforts of our lawyers and staff.