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New York City law protects unpaid interns

by New York Employment Law Letter A new law that aims to protect unpaid interns in New York City from discrimination and harassment on the job will take effect June 15. The legislation, which was unanimously passed by the city council in March and signed by Mayor Bill de Blasio in April, is in response […]

When this CEO Says ‘No Bonuses,’ You Can Believe It

When this “CEO” says something, you can believe it! Citing the world’s poor economy, this administrator says he is out to cut expenses, and he is starting at the home office. Yes, numerous media report that newly elected Pope Francis has instructed that there be no bonuses given to staff to honor his election. Instead […]

FAQs Describe How Plans, Administrators Will Pay Reinsurance Contributions

On May 22, CMS issued guidance (registration required) describing how plans, third-party administrators and insurers will pay reinsurance contributions required under health care reform for the next three years. The guidance says a contributing entity can complete all required steps for the reinsurance contributions process on Pay.gov, including registration, submission of the annual enrollment count and remittance of […]

Fight Continues Against Tax on Private Flights

Employers that operate private airplanes for the use of their executives may want to stay tuned to some controversy over a recent IRS legal memorandum outlining the tax collector’s stance on aircraft management fees. The IRS shared its views on federal excise tax in Chief Counsel Advice Memorandum 201210026, which concludes that the tax applies […]

News Notes: Court Tosses Out Class-Action Suit Against State Fund

Following a 113-day trial, a San Francisco judge threw out a $1.1 billion class-action lawsuit charging State Compensation Insurance Fund, the state’s largest workers’ comp insurer, with unfair claims reserving and business practices. The suit alleged that from 1989 to 1995, State Fund maintained an illegal claims reserving standard, overcharging its policyholders. The judge’s written […]

Canadian Public Official Acquitted on Charges of Fraud, Breach of Trust

By Mark Colavecchia and Derek Knoechel In June 2003 George Radwanski, Canada’s federal privacy commissioner, resigned three years into his seven-year term amid parliamentary inquiries into travel and hospitality expenses. Several months later, the auditor general released a report leading to a lengthy police investigation of Radwanski’s expense claims. In March 2006, the former privacy […]

There’s No ‘I’ in ‘Team’ — FLSA ‘Executive Exemption’ Doesn’t Require Independence

Do employees who oversee different teams within a company that perform the same job, in the same location and at the same time as other teams, fall into the category of an “executive” under the Fair Labor Standards Act? Recently several employees argued that their responsibilities were so standardized that they did not fall under […]

Arbitration: High Court Says Employers Can Require Workers To Arbitrate Employment Disputes; Make Sure Your Agreements Will Hold Up

State and federal courts have grappled for years with the question of whether employers can compel workers to submit their employment disputes to arbitration. Now, in a major victory for employers, the U.S. Supreme Court has cleared up the confusion, giving employers the go-ahead to use mandatory arbitration agreements. The high court decision, coupled with […]

News Notes: EEOC Settles Genetic Testing Case

The Burlington Northern and Santa Fe Railroad Company will pay $2.2 million to settle a genetic testing lawsuit filed by the federal Equal Employment Opportunity Commission. The EEOC charged that Burlington Northern conducted genetic testing as part of a medical exam required of employees who had filed work-related carpal tunnel syndrome claims. Burlington Northern agreed […]