Justia Government & Administrative Law Opinion Summaries
Articles Posted in Labor & Employment Law
Lenander v. Dep’t of Retirement Sys.
In 2000, the Department of Retirement Systems (DRS) created a new option for eligible retirees in which the retiree could opt for a pension that would allow a surviving spouse to continue to receive monthly pension benefits at the same amount after the retiree's death. To make this pension actuarially equivalent in value to the previous pension, the DRS provided for a greater reduction in the retiree's monthly benefits. In 2010, the DRS adopted rules that modified the degree of the actuarial reduction. Appellant Tim Lenander challenged the changes to the reduction, arguing that the changes violated the statutory scheme and impaired his contract right to a lower reduction in his pension payment. The Supreme Court found Lenander's arguments unavailing, holding that the DRS acted within its authority in amending the survivor benefit actuarial reduction regulations as set forth under former WACs 415-02-380 (2010) and 415-103-215 (2010). In amending these regulations, the DRS did not violate the contract clause of article I, section 23 of the Washington Constitution. Consequently, the Court held that the DRS did not infringe on Lenander's right to an "actuarial equivalent" survivor benefit, and that Lenander did not suffer substantial impairment to his pension contract rights. View "Lenander v. Dep't of Retirement Sys." on Justia Law
Rogers v. Russell Constr. Co., Inc.
In 2013, William Rogers was working for Russell Construction Company (Russell) when he claimed to have fallen against a ledge of old concrete. In 2014, the Workers' Compensation Division issued a determination that Rogers had suffered a compensable injury. Russell objected to that determination, arguing that the claim was fraudulent. A hearing officer with the Office of Administrative Hearing denied Rogers’s claim for worker’s compensation benefits, concluding that Rogers had not proved that he suffered a compensable injury in 2013. The district court affirmed. The Supreme Court affirmed, holding that the hearing examiner’s determinations of fact were reasonable and based on substantial evidence. View "Rogers v. Russell Constr. Co., Inc." on Justia Law
Marin Ass’n of Pub. Employees v. Marin Cnty. Employees Retirement Ass’n
To combat the practice known as “pension spiking,” by which public employees use various stratagems to inflate their income and retirement benefits, the County Employees Retirement Law, was amended, effective 2013, to exclude specified items from the calculation of retirement income. The trial court concluded application of the new formula to current employees did not amount to an unconstitutional impairment of the employees’ contracts. The court of appeal affirmed, holding that the Legislature did not act impermissibly by amending Government Code section 31461. While a public employee does have a “vested right” to a pension, that right is only to a “reasonable” pension; it is not an immutable entitlement to the most optimal formula of calculating the pension. The Legislature may, prior to the employee’s retirement, alter the formula, thereby reducing the anticipated pension, as long as the modifications do not deprive the employee of a “reasonable” pension. The Legislature did not forbid the employer from providing the specified items to an employee as compensation, only the purely prospective inclusion of those items in the computation of the employee’s pension. View "Marin Ass'n of Pub. Employees v. Marin Cnty. Employees Retirement Ass'n" on Justia Law
Kerrigan v. Merit Sys. Protection Bd.
In 1985-1986, Kerrigan was a Navy carpenter. He injured his back and was awarded workers’ compensation benefits by the Office of Workers Compensation (OWCP). In 1993, Kerrigan raised concerns regarding his benefits. Over several years, Kerrigan made multiple requests, some of which were denied. In 2001, Kerrigan contacted the Department of Labor Office of Inspector General (OIG) alleging that DOL employees had based one denial on a form that they falsified or destroyed. The OIG did not investigate, but forwarded the letter to OWCP. Kerrigan pursued, over several years, a suit against DOL for illegal termination of benefits and a suit against the physician who reviewed his medical records. Both were dismissed. In 2013, Kerrigan filed a complaint with the U.S. Office of Special Counsel, which chose not to investigate, but referred him to the Merit Systems Protection Board, where Kerrigan alleged retaliatory termination of benefits. The ALJ dismissed Kerrigan’s appeal, stating that the Whistleblower Protection Act only covers actions taken by an agency concerning its own employees. The Board stated that 5 U.S.C. 8128(b) provides that benefits determinations are within the exclusive jurisdiction of the DOL and are unreviewable and that Kerrigan failed to nonfrivolously allege that his protected disclosures were a contributing factor in the decision to terminate benefits. The Federal Circuit affirmed. While 5 U.S.C. 8128(b) does not bar review, Kerrigan failed to nonfrivolously allege that his protected disclosure was a contributing factor in the decision. View "Kerrigan v. Merit Sys. Protection Bd." on Justia Law
Phila. Fed. of Teachers v. SD of Phila.
The issue raised by this appeal centered on whether power was invested in a school reform commission, under a statutory regime designed to facilitate rehabilitation of financially distressed school districts, to unilaterally alter terms and conditions of employment for teachers whose interests were represented by a bargaining unit. In December 2001, the Secretary of Education issued a declaration of financial distress pertaining to the District, and a school reform commission (SRC or “Commission”) was constituted and assumed responsibility for the District’s operations, management, and educational program, per Section 696 of the School Code. Throughout the ensuing years, the SRC and appellee Philadelphia Federation of Teachers, AFT, Local 3, AFL-CIO (the “Union”), negotiated several collective bargaining agreements. The SRC invoked Sections 693(a)(1) of the School Code, as incorporated into Section 696(i), to “make specific limited changes and to implement . . . modified economic terms and conditions for employees in the bargaining units represented by the [Union], consistent with economic terms proposed in negotiations, while maintaining all other existing terms and conditions to the extent required by law[.]” The Commission predicted that the changes would save about $44 million in 2014 through 2015 and $198 million over four years. Ultimately, the resolution purported to cancel the most recent collective bargaining agreement between the District and the Union, to the extent that it continued to govern the parties’ relations. The Commission, the District, and the Department of Education then filed a declaratory judgment action at the Commonwealth Court, asking the Court to uphold the imposition of the new economic terms and conditions as being authorized by applicable law. The Court found that the right of cancellation under Sections 693(a)(1) and 696(i) did not reach such agreements, and that on account of a prescription within Section 693 that “the special board of control shall have power to require the board of directors within sixty (60) days” to implement measures encompassing the cancellation power, the cancellation power could only have been exercised within 60 days after the December 2001 declaration of distress. The Supreme Court reviewed the Commonwealth Court's judgment, and affirmed the outcome, but on differing grounds. The Supreme Court held at least insofar as teachers were concerned, that collective bargaining agreements were “teachers’ contracts” which were excepted from a school reform commission’s cancellation powers. View "Phila. Fed. of Teachers v. SD of Phila." on Justia Law
State ex rel., Dep’t of Workforce Servs., Unemployment Ins. Comm’n v. Kinneman
Petitioner was discharged from her position as high school principal of the St. Stephens Indian School for “not promptly assessing a student who was potentially intoxicated and allowing the student to remain in class while [Petitioner] left the building.” Petitioner applied for unemployment insurance benefits. A deputy for the Unemployment Insurance Division denied Petitioner’s claim, determining that she was discharged for misconduct connected with her work. On appeal, a hearing officer ruled that Petitioner was discharged from her unemployment but not for misconduct connected with her work. The Department of Workforce Services, Unemployment Insurance Commission reversed. The district court reversed, ruling that the Commission’s decision was not supported by substantial evidence. The Supreme Court affirmed, holding that the record did not support a conclusion that Petitioner’s action was anything more than ordinary negligence or a good faith error in judgment. View "State ex rel., Dep’t of Workforce Servs., Unemployment Ins. Comm’n v. Kinneman" on Justia Law
Bastille v. Maine Pub. Employees Ret. Sys.
The Board of Trustees of the Maine Public Employees Retirement System affirmed an administrative determination that Appellant was ineligible for disability retirement benefits. Appellant later filed an incomplete petition for review of final agency action in the superior court. The complete petition was required to be filed on or before April 7. Appellant did not file a complete petition under April 15. The superior court dismissed as untimely Appellant’s petition for review of the Board’s decision. The Supreme Judicial Court affirmed, holding that the superior court did not err in dismissing the petition as untimely or in denying Appellant’s subsequent motion for reconsideration. View "Bastille v. Maine Pub. Employees Ret. Sys." on Justia Law
Cooper v. Alsco, Inc.
Alsco, Inc. was a textile rental and sales company that supplied uniforms, linens, and other products to other businesses in industrial, hospitality, health care, and other fields. Alsco did not provide products or services for resale. Alsco and its employees were covered by a collective bargaining agreement (CBA). The issue this case presented for the Supreme Court's review turned on whether Alsco was a "retail or service establishment" (RSE) under chapter 49.46 RCW for purposes of an exemption to the overtime pay requirement. The trial court granted the employees' motion for summary judgment regarding entitlement to overtime pay, finding that Alsco was not an RSE for purposes of the overtime pay exception. In granting the employees' subsequent motion for summary judgment on the issue of calculating the amount of overtime due, the court calculated the "regular rate of pay" by dividing the total weekly compensation actually paid by 40 hours, not by hours actually worked. The Washington Supreme Court accepted direct review and reversed the trial court. The Supreme Court held that Alsco was an RSE for purposes of the overtime pay requirement. View "Cooper v. Alsco, Inc." on Justia Law
Nam v. Regents of UC
"The facts as alleged in the complaint and in plaintiff’s declaration in opposition to the motion to strike are not at all clear." Plaintiff Un Hui Nam, a new medical resident in the anesthesiology department at UC Davis Medical Center, "got off to a rocky start" in July of 2009. The Court of Appeal surmised that there appeared to have been some tension and misunderstandings right from the beginning of plaintiff's residency. What occurred thereafter and why was the subject of the underlying lawsuit and appeal. Plaintiff labeled the hospital's actions as "retaliation" when she questioned whether residents were allowed to intubate patients. She expressed her disagreement with any policy that would compel the residents in an emergency to wait for the on-call team rather than independently intubating a patient. The week prior to this email, she had received excellent performance evaluations. Plaintiff copied all of the residents in her email. Some of these residents thereafter informed her that she should expect retaliation for sending it. Defendant, however, insisted the e-mail excited no such reaction. Defendant’s version of plaintiff's residency file consisted of a series of complaints, warnings, investigations, and leaves of absence necessitated by plaintiff’s "shortcomings" over a three-year period and culminating in her ultimate termination. The record contained both complaints and testimonials about plaintiff’s performance. Apparently she had a particularly good rapport with nurses. Defendant built a paper trail of warnings for unprofessional conduct and an inability to get along with other doctors. But many of defendant’s allegations were not substantiated during the internal investigations that ensued, and the anesthesiology department was criticized repeatedly for what it did, and did not do, to teach plaintiff the clinical and interpersonal skills needed to succeed in the program. Plaintiff requested, without success, a formal hearing to contest the termination. In January 2013 she filed her complaint for retaliation, discrimination, sexual harassment, wrongful termination, violations of the Business and Professions Code, and breach of contract. Defendant filed a motion to strike pursuant to section 425.16 of the Code of Civil Procedure, alleging that plaintiff’s complaint constituted a SLAPP (strategic lawsuit against public participation) and arose from written complaints made in connection with an official proceeding. Defendant argued that the investigations and corrective action were protected conduct. The trial court disagreed and denied the motion. The trial court's denial of defendant's motion to strike was affirmed: "It is hard to imagine that a resident’s complaint alleging retaliatory conduct was designed to, or could, stifle the University from investigating and disciplining doctors who endanger public health and safety. The underlying lawsuit may or may not have merit that can be tested by summary judgment, but it is quite a stretch to consider it a SLAPP merely because a public university commences an investigation." View "Nam v. Regents of UC" on Justia Law
Rembisz v. Lew
Rembisz, an IRS investigator, did not obtain sought-after promotions. He filed an administrative charge of discrimination, claiming ongoing discrimination against his sex (male) and race (Caucasian) or color (white). The Treasury Department investigated and rejected the claim. Federal employees must file a civil action for discrimination “[w]ithin 90 days of receipt of final action,” 42 U.S.C. 2000e-16(c). He filed suit on June 21, 2013, alleging that he received notice of the final agency decision on March 25, within the 90-day window. The Sixth Circuit rejected a motion to dismiss in 2014, stating that Rembisz would have to “come forward with evidence” to support his allegation concerning notice. On remand, he never did so. The Sixth Circuit affirmed summary judgment in favor of the government. It is presumed that notice is given, “and hence the ninety-day limitations term begins running, on the fifth day following the [] mailing of [a right-to-sue] notification to the claimant[].” The agency served its notification by first class and certified mail on March 15, making March 20 the presumptive date that the limitations period began. Rembisz offered no evidence to the contrary. The government submitted a certified-mail receipt, showing that Rembisz received the notice on March 22, so that his complaint was one day late. View "Rembisz v. Lew" on Justia Law