Justia Government & Administrative Law Opinion Summaries

A long-term employee of a county government began experiencing workplace difficulties after a new supervisor was assigned. The employee alleged that the supervisor engaged in repeated, unwelcome comments about her appearance and closely monitored her, behavior corroborated by coworkers. After reporting the supervisor’s conduct to union representatives, who then informed higher management, the employee was subjected to increased scrutiny, including a performance improvement plan, a written warning, and public criticism of her work. The employee filed internal and external complaints alleging sexual harassment and retaliation. Following these events, her health deteriorated, leading her to take medical leave and ultimately retire early.The Utah Labor Commission’s Antidiscrimination and Labor Division initially found no reasonable cause for her claims. On appeal, an administrative law judge (ALJ) held an evidentiary hearing but was replaced by another ALJ, who dismissed her claims. The Labor Commission Appeals Board reviewed the case, reinstated her retaliation claim using the McDonnell Douglas burden-shifting framework, and remanded for a damages determination. The Board and ALJ denied her request for attorney fees, citing a Utah Supreme Court decision, Injured Workers Ass’n of Utah v. State, as precluding such awards. Both parties appealed aspects of the Board’s decision to the Utah Court of Appeals, which adopted the U.S. Supreme Court’s Burlington Northern standard for “adverse action” in retaliation claims, upheld the retaliation finding, and ruled that attorney fees could be awarded but not assessed for reasonableness.The Supreme Court of the State of Utah reviewed the case. It held that the Burlington Northern standard—defining adverse action as conduct likely to dissuade a reasonable worker from making or supporting a discrimination charge—applies to retaliation claims under the Utah Antidiscrimination Act. However, the court found the Board had not applied this standard or made sufficient factual findings, so it remanded the case for further proceedings. The court also clarified that the McDonnell Douglas framework is a procedural device, not a set of claim elements, and that the Labor Commission may award and assess the reasonableness of attorney fees. The court affirmed in part, reversed in part, and remanded. View "Christensen v. Labor Commission" on Justia Law

A shift supervisor at a coffee shop in Ann Arbor, Michigan, led efforts to organize a union at her workplace. She was a prominent organizer, engaging in various activities such as wearing union buttons, speaking to customers about unionization, and attending a labor board hearing. Several months into the campaign, she was terminated by her employer, who cited her violation of a company policy requiring at least two employees to be present in the café. The supervisor had left a barista alone at the store at the end of her shift without notifying management, which the company claimed was the reason for her discharge.After her termination, Workers United filed unfair labor practice charges with the National Labor Relations Board (NLRB), alleging that the discharge was motivated by anti-union animus. An Administrative Law Judge found in favor of the union, concluding that the employer’s stated reason was pretextual and that the discharge was unlawfully motivated. The NLRB affirmed the ALJ’s decision and expanded the remedy, ordering the employer to compensate the supervisor not only for lost earnings and benefits but also for any “direct or foreseeable pecuniary harms” resulting from the discrimination.The United States Court of Appeals for the Sixth Circuit reviewed the case on the NLRB’s application for enforcement of its order. The court held that substantial evidence supported the NLRB’s finding that the supervisor’s discharge was motivated by anti-union animus and thus constituted an unfair labor practice. However, the court determined that the NLRB exceeded its statutory authority under the National Labor Relations Act by awarding compensation for “direct or foreseeable pecuniary harms” beyond lost earnings and benefits. The court granted enforcement of the unfair labor practice finding but vacated the expanded remedy and remanded for further proceedings. View "National Labor Relations Board v. Starbucks Corp." on Justia Law

Hiran Management, a small karaoke restaurant in Houston, Texas, employed eight front-of-house workers who became dissatisfied with their manager’s practices, including being assigned extra duties without increased pay and inconsistent compensation for “shift supervisor” roles. After a contentious meeting with management, the employees walked out, went on strike, and presented a list of demands. The employer subsequently terminated all eight striking employees.Following these terminations, the National Labor Relations Board (NLRB) filed an administrative complaint, alleging that Hiran Management violated section 8(a)(1) of the National Labor Relations Act (NLRA) by firing the employees for engaging in protected concerted activity. An administrative law judge (ALJ) ruled in favor of the NLRB, and the Board adopted the ALJ’s findings with minor adjustments. The Board ordered Hiran to cease its unfair labor practices, reinstate the employees, and compensate them for lost earnings and all other direct or foreseeable pecuniary harms resulting from the terminations.Hiran Management petitioned the United States Court of Appeals for the Fifth Circuit for review, while the NLRB sought enforcement of its order. The Fifth Circuit held that the NLRB lacks statutory authority under the NLRA to award full compensatory damages for all direct or foreseeable pecuniary harms, as such damages are legal rather than equitable remedies. The court granted Hiran’s petition in part, denied the NLRB’s enforcement petition in part, and remanded the case for further proceedings consistent with its opinion, limiting the NLRB’s remedial authority to equitable relief such as reinstatement and backpay. View "Hiran Management v. National Labor Relations Board" on Justia Law

North Mountain Foothills Apartments (NMFA), a company managing a large apartment complex in Phoenix, Arizona, hired Jasper Press as a maintenance technician during a period of increased workload due to a heatwave. Press discussed his compensation and the poor conditions at the complex with several coworkers. Management became aware that other employees knew about Press’s pay and housing benefits, leading to a meeting where Press was reprimanded for these discussions and told not to talk about pest issues with residents. The day after this meeting, Press was terminated, allegedly for failing to complete work orders. Press filed a complaint with the National Labor Relations Board (NLRB), alleging unfair labor practices.An administrative law judge held an evidentiary hearing and found that NMFA violated Section 8(a)(1) of the National Labor Relations Act by interrogating Press about his wage discussions, issuing overly broad directives restricting such discussions, threatening reprisals, and discharging Press for engaging in protected activities. The NLRB adopted these findings and ordered remedies including reinstatement and back pay for Press. NMFA appealed, raising for the first time constitutional challenges to the NLRB’s structure and process, and also contested the Board’s factual findings.The United States Court of Appeals for the Ninth Circuit held that it had jurisdiction to consider NMFA’s unexhausted constitutional claims because such structural challenges are not suited to agency resolution. The court rejected NMFA’s Article II removal protection challenge for lack of demonstrated harm, found no Seventh Amendment right to a jury trial in NLRB proceedings, and held that the combination of investigatory and adjudicatory functions within the NLRB does not violate due process. On the merits, the court found substantial evidence supported the NLRB’s finding that Press was discharged for protected activity and granted enforcement of the NLRB’s order. View "NATIONAL LABOR RELATIONS BOARD V. NORTH MOUNTAIN FOOTHILLS APARTMENTS, LLC" on Justia Law

A flight attendant employed by an airline and represented by a labor union was terminated after sending graphic anti-abortion images and messages to the union president and posting similar content on social media. The employee, a pro-life Christian and vocal opponent of the union, had previously resigned her union membership but remained subject to union fees. The union’s leadership had participated in the Women’s March, which the employee viewed as union-sponsored support for abortion, prompting her messages. The airline investigated and concluded that while some content was offensive, only certain images violated company policy. The employee was terminated for violating social media, bullying, and harassment policies.Following termination, the employee filed a grievance, which the union represented. The airline offered reinstatement contingent on a last-chance agreement, which the employee declined, leading to arbitration. The arbitrator found just cause for termination. The employee then sued both the airline and the union in the United States District Court for the Northern District of Texas, alleging violations of Title VII and the Railway Labor Act (RLA), among other claims. The district court dismissed some claims, allowed others to proceed, and after a jury trial, found in favor of the employee on several Title VII and RLA claims. The court awarded reinstatement, backpay, and issued a broad permanent injunction against the airline and union, later holding the airline in contempt for its compliance with the judgment.On appeal, the United States Court of Appeals for the Fifth Circuit reversed the judgment for the employee on her belief-based Title VII and RLA retaliation claims against the airline, remanding with instructions to enter judgment for the airline on those claims. The court affirmed the judgment against the airline on practice-based Title VII claims and affirmed all claims against the union. The court vacated the permanent injunction and contempt sanction, remanding for further proceedings, and granted the employee’s motion to remand appellate attorney’s fees to the district court. View "Carter v. Transport Workers Union of America Local 556" on Justia Law

Two police officers employed by a city were injured in separate incidents while on duty. After their injuries, both received payments from the city under section 1(b) of the Illinois Public Employee Disability Act, which provides that eligible employees unable to work due to a duty-related injury must continue to be paid “on the same basis” as before the injury, without deductions from sick leave, compensatory time, or vacation. The city continued to pay their salaries as before, including withholding federal and state income taxes, Social Security, and Medicare taxes. The officers filed suit, alleging that the city violated the Disability Act by withholding employment taxes and, for one officer, by deducting accrued leave time.The Circuit Court of Tazewell County granted summary judgment for the officers, finding that section 1(b) prohibited the withholding of employment taxes and required payment of “gross pay.” The court also found the city had improperly deducted leave time and held that the ten-year statute of limitations for breach of contract applied, awarding damages and fees to the plaintiffs. On appeal, the Illinois Appellate Court, Fourth District, reversed, holding that section 1(b) does not prohibit withholding employment taxes, and that the five-year statute of limitations applied. The appellate court also found a genuine issue of fact regarding whether leave time was improperly deducted and remanded for further proceedings.The Supreme Court of Illinois reviewed the case and affirmed the appellate court’s judgment. The court held that section 1(b) of the Disability Act does not prohibit a public employer from withholding employment taxes from payments made to an injured employee under that provision. The court reasoned that the statute’s language requires payment “on the same basis” as before the injury, which includes continued tax withholding, and expressly prohibits only certain deductions, not taxes. The case was remanded for further proceedings on the leave time deduction claim. View "Bitner v. City of Pekin" on Justia Law

A police officer employed by a city in Kentucky worked a rotating schedule of 36 and 44 hours per week, but was paid for 40 hours each week without overtime for hours worked beyond 40 in a given week. After a state audit revealed the city’s payroll practices violated overtime requirements, the city issued back pay to affected employees and revised its procedures. The officer, believing the back pay was insufficient and that certain categories of compensation were miscalculated, rejected the payment and filed suit for unpaid overtime, vacation, and sick leave, as well as liquidated damages and attorney’s fees. The relevant period for the claim was limited by statute to the officer’s last three years of employment.The Bullitt Circuit Court, after a bench trial, found the city liable for unpaid overtime and vacation pay, but denied liquidated damages and retirement hazardous duty pay, and initially awarded sick leave. Upon the city’s motion to amend, the trial court corrected calculation errors, eliminated the sick leave award based on a city ordinance, and reduced the overtime award. The court also awarded only $2,500 in attorney’s fees, far less than the amount requested and supported by detailed billing records. The Kentucky Court of Appeals affirmed the denial of liquidated damages, sick leave, and retirement hazardous duty pay, but reversed and remanded for reconsideration of statutory interest and attorney’s fees.The Supreme Court of Kentucky affirmed the Court of Appeals in full. It held that the trial court properly amended its judgment to correct errors based on evidence presented at trial, that liquidated damages under the wage statute are discretionary when the employer acts in good faith, that statutory interest applies from the date of judgment, and that the trial court abused its discretion by arbitrarily reducing attorney’s fees without explanation. The case was remanded for proper calculation of interest and attorney’s fees. View "WHEELER V. CITY OF PIONEER VILLAGE, KENTUCKY" on Justia Law

An employee with over twenty years of service at the State of Hawai‘i Department of Public Safety was discharged from her position as warden of a correctional facility following allegations of creating a hostile work environment and sexual harassment. The investigation led to multiple charges, some of which were sustained by a hearings officer, resulting in the Director’s decision to terminate her employment. The employee had no prior disciplinary record and had previously received recognition for her service.The employee appealed her discharge to the Merit Appeals Board (MAB), which held a contested case hearing. The MAB found credible evidence to sustain some, but not all, of the charges, including one for sexual harassment under a progressive discipline policy. However, the MAB found no credible evidence to support the charge brought under the employer’s zero-tolerance workplace violence policy. Considering the employee’s long, discipline-free record and the principle of progressive discipline, the MAB modified the discharge to a sixty-day suspension and ordered her reinstatement.The Department of Public Safety appealed to the Circuit Court of the First Circuit, which reversed the MAB’s decision, concluding that the MAB exceeded its statutory authority by applying progressive discipline rather than deferring to the zero-tolerance policy. The Intermediate Court of Appeals affirmed the circuit court’s judgment.The Supreme Court of the State of Hawai‘i reviewed the case and held that the MAB acted within its statutory authority under Hawai‘i law when it modified the disciplinary action from discharge to a sixty-day suspension. The Supreme Court determined that the sustained charges were not subject to the zero-tolerance policy, and the MAB’s application of progressive discipline was proper. The Supreme Court reversed the lower courts’ decisions and affirmed the MAB’s order. View "Department of Public Safety v. Forbes" on Justia Law

A civilian employee of the Defense Logistics Agency in Hawaii, who had served in the National Guard and developed post-traumatic stress disorder, alleged that his employer discriminated against him on the basis of disability in violation of the Rehabilitation Act of 1973. After a series of workplace incidents, the agency suspended him indefinitely, citing concerns about his access to sensitive information. The employee claimed that the agency failed to provide reasonable accommodations and improperly deemed him a direct threat.The employee filed an Equal Employment Opportunity complaint, which eventually led to a final agency decision (FAD) against him. The agency transmitted the FAD and related documents electronically using a secure system, but made several errors in providing the necessary passphrase to decrypt the document. As a result, the employee’s attorney was unable to access the FAD for several weeks, despite repeated requests for assistance and clarification. The attorney finally received an accessible, decrypted copy of the FAD by email on December 5, 2022. The employee filed suit in the United States District Court for the District of Hawaii 88 days later. The district court granted summary judgment for the Secretary of Defense, finding the complaint untimely because it was not filed within 90 days of the initial electronic transmission, and denied equitable tolling.On appeal, the United States Court of Appeals for the Ninth Circuit reversed. The court held that the 90-day limitations period for filing suit under the Rehabilitation Act did not begin until the attorney received effective notice of the agency’s decision, which occurred when he received the decrypted FAD on December 5. Alternatively, the court held that equitable tolling was warranted because the attorney diligently sought access to the FAD and was prevented by extraordinary circumstances. The case was remanded for further proceedings on the merits. View "ASUNCION V. HEGSETH" on Justia Law

A small business that imports and sells shea butter hired an individual in 2017 to provide communication, marketing, and sales support, particularly focusing on social media. The individual worked under a contract that labeled her as an independent contractor, but after the contract expired, she continued to perform a mix of social media, event, and administrative tasks. She stopped working regularly for the business in September 2018. A dispute arose over unpaid wages, with the individual claiming she was owed for work performed, and the business asserting that she was paid for all work under the terms of the contract.The Office of Wage-Hour (OWH) initially determined that the business owed the individual back wages, liquidated damages, and a statutory penalty. The business appealed to the Office of Administrative Hearings (OAH), arguing that the individual was an independent contractor. The Administrative Law Judge (ALJ) found that the individual was an employee, not an independent contractor, and awarded damages. On the first petition for review, the District of Columbia Court of Appeals held that the individual worked in both capacities—sometimes as an employee and sometimes as an independent contractor—and remanded for OAH to determine the hours worked in each capacity and adjust the damages accordingly. On remand, the ALJ used a percentage-based approach to allocate hours and payments between employee and independent contractor work, ultimately awarding the individual approximately $26,550 in unpaid wages and damages, plus a statutory penalty.The District of Columbia Court of Appeals, reviewing the case again, affirmed the OAH’s amended final order. The court held that under the current D.C. Wage Payment and Collection Law, employees may pursue claims for disputed wages even if the employer paid conceded wages. The court also held that, due to inadequate recordkeeping by the employer, the burden of proof shifted to the employer to disprove the employee’s evidence regarding hours worked and payments received. View "Shea Yeleen Health & Beauty, LLC v. Office of Wage-Hour" on Justia Law