The RISQ RECAP – May 30th – June 3rd, 2022
May 30th – June 3rd, 2022
Each week, you’ll find specially curated news articles to keep you up to date on the ever-evolving world of insurance and risk management. The articles are divided out between items relevant to Property & Casualty, Employee Benefits/Human Resources, and Compliance. We’ve included brief summaries of each item as well as a link to the original articles.
PROPERTY & CASUALTY
New Rules Require Washington Employers to Monitor Temp, Air Quality Starting Mid-June
“Employers in Washington will be required to monitor temperature and air quality, take steps to protect workers from heat and smoke hazards, and provide training and information from June 15 through the end of September, The Washington Department of Labor & Industries on Wednesday filed emergency outdoor heat exposure and wildfire smoke rules to protect farm and construction workers, roofers, road crews, and anyone else whose job keeps them outside. The order is designed to help keep workers safe this summer.” Full Article
– Insurance Journal
EMPLOYEE BENEFITS, HUMAN RESOURCES, & COMPLIANCE
SCOTUS Resolves Circuit Split: A Showing of Prejudice Not Required to “Waive” Right to Arbitration “On May 23, in a unanimous opinion, the U.S. Supreme Court held that employers who do not act promptly to invoke an arbitration clause may be held to waive arbitration. In so holding, the Court resolved a circuit court split over whether a party arguing waiver had to demonstrate prejudice. The Court held that prejudice was not a requirement. The Court’s holding departs from its generally pro- arbitration holdings over the last 15 years. The opinion is instructive in both employment law and arbitration law.” Full Article – Troutman Pepper
Employers and Foreign Nationals Can Avoid Employment Gaps with New Automatic Work Permit Extension “U.S. employers and qualified foreign nationals should take advantage of USCIS’ recent move to increase the automatic extension period for foreign nationals waiting on employment authorization renewals. This automatic extension would make a large number of foreign nationals eligible for employment by providing up to 540 days of employment authorization. It will also help U.S. employers and their impacted employees avoid gaps in employment caused by processing backlogs.” Full Article – Phelps Dunbar LLP
Holding On, Loosely: Incentives for Employee Retention “Let’s talk about problems with retention bonuses and overtime—as if finding qualified workers wasn’t tough enough. According to the most recent report from the Bureau of Labor Statistics, nonfarm employment rose by 428,000 in April 2022. However, some sectors are still struggling and “now hiring” or “help wanted” signs are everywhere. As a result, many employers have resorted to offering financial incentives, including “sign-on” or “retention” bonuses to encourage people to sign up and to stick around.” Full Article – Ice Miller LLP
Court Allows Leeway to Employers Under Fair Credit Reporting Act “A recent decision from the 8th Circuit U.S. Court of Appeals granted employers some modest flexibility in conducting and relying on background checks for potential new hires covered by the Fair Credit Reporting Act (“FCRA”). The court made two key rulings: Employers have no obligation under the FCRA to provide job applicants with the opportunity to explain negative but accurate background check results. A job applicant cannot bring legal action against the employer based on a “technical” violation under the FCRA that does not result in concrete harm to the applicant.” Full Article – Hall Render PC
The NLRB is Actively Using the Strongest Weapon in its Arsenal – Quick Injunctions “General Counsel Jennifer Abruzzo of the National Labor Relations Board (NLRB) has continued to forcibly push the pro-union agenda by revealing the NLRB’s intent to explore doctrinal shifts in numerous key areas of labor law and opining on numerous issues ranging from her belief that some student-athletes at the collegiate level are “employees,” to urging regional staff to aggressively seek injunctions under Section 10(j) of the National Labor Relations Act. The bottom line is that defending against a 10(j) petition is a costly undertaking for employers, and therefore, employers need to be aware of the consequences of taking actions that could invite a 10(j) petition.” Full Article – Akerman LLP
Adjusting Business Policies to COVID 19 Conditions for the Future “Over the past several months as the rates of new COVID 19 cases dropped, there has been a collective celebration and a return to some sense of normal. Hopefully, we will stay there. Everyone is, frankly, tired of the Pandemic and wants tov stop talking about it. This raises the questions we have been asked frequently over the past several weeks. Can I get rid of my mask requirement? What should my policy say now? Can I just get rid of my COVID 19 policy? Most employers have lifted their mask mandate and understand that it is ok to do so, as long as the rate of new cases is low. But what exactly should the policy be going forward?” Full Article – Michael , Best and Friedrich LLP
STATE & INTERNATIONAL COMPLIANCE
In addition to the RISQ Review, RISQ Consulting also provides a resource that features changes and updates to State and International Compliance measures. We’ve included brief summaries of each item below, and also provided links to the original articles if you’d like to read further.
California
California Supreme Court Finds Meal and Rest Premiums Subject to Wage Statement and Final Pay Requirements
“The California Supreme Court’s decision in Naranjo v. Spectrum Security Services, Inc. answered in the affirmative, finding that meal and rest premium payments prescribed by the California Labor Code are “wages” subject to California’s wage statement and final pay requirements.” Full Article
– Seyfarth Shaw LLP
Delaware
Delaware Becomes Latest State to Institute Paid Family and Medical Leave
“Delaware Governor John Carey signed into law a bill that will require private employers with ten or more employees in Delaware to provide up 12 weeks of paid family and medical leave beginning in January 2026, one year after payroll tax deductions to fund the program begin on January 1, 2025.” Full Article
– Proskauer Rose LLP
New York
Remote workers outside NY can’t bring bias claims under NY state and city human rights laws, court says
“A federal court recently ruled that an employee working remotely from New Jersey cannot assert claims under New York State’s and New York City’s Human Rights Laws. Judge Edgardo Ramos said that the alleged discriminatory conduct must have an impact on the plaintiff in New York State for the NYSHRL to apply and in New York City for the NYCHRL to apply.” Full Article
– Constangy, Brooks, Smith, Prophete LLP
Ohio
No Such Thing as a Free Lunch: Compensability of Workers’ Compensation Claims During Unpaid Lunch Breaks
“In Ohio, R.C. 4123.01(C) specifies that a compensable injury must occur in the “course of, and arising out of, the injured employee’s employment.” The ability to participate in the workers’ compensation system is dependent on whether a causal connection exists between an employee’s injury and their employment, either through the activities, the conditions, or the environment of the employment.” Full Article
– Ice Miller LLP
Illinois
Illinois Amends One Day Rest in Seven Act, Adding Stricter Penalties and More Stringent Notice Requirements
“Illinois Governor J.B. Pritzker signed into law SB3146, amending the provisions of the Illinois One Day Rest in Seven Act (ODRISA), which addresses both day of rest and meal break requirements for employees in the state. Fortunately for employers, the amendments do not take effect until January 1, 2023, so there is plenty of time for Illinois employers to make sure their policies and process conform to these changes, which are significant.” Full Article
– Littler Mendelson PC
- Published in Blog
The RISQ RECAP – May 23rd – May 27th, 2022
May 23rd – May 27th, 2022
Each week, you’ll find specially curated news articles to keep you up to date on the ever-evolving world of insurance and risk management. The articles are divided out between items relevant to Property & Casualty, Employee Benefits/Human Resources, and Compliance. We’ve included brief summaries of each item as well as a link to the original articles.
PROPERTY & CASUALTY
Inflation Drives 33% Surge in Auto Telematics Adoption in Q1 2022: TransUnion
“TransUnion’s latest Personal Lines Insurance Shopping Report found the number of consumers who accepted a telematics offer from their auto insurance provider increased 33% since the end of 2021—a trend driven by consumers hoping to lower their premiums by demonstrating safe driving habits. Telematics programs use connected devices, mobile phones, or auto manufacturer car apps to monitor and report detailed driving behavior. Similarly, in homes, connected devices monitor for warning of fires, water leaks, and other hazard risks.” Full Article
– Insurance Journal
EMPLOYEE BENEFITS, HUMAN RESOURCES, & COMPLIANCE
Employee Benefits Might Still Facilitate Abortions and Reproductive Choice in a Post-Roe v. Wade America “If the Supreme Court ultimately overturns Roe, all employers should review their health plans to see what, if any, impact the applicable state laws will have. Employers will need to consider many factors, including [1] the types of abortion-related benefits to be offered; [2] whether the type of health plan involved (e.g., self-funded or fully-insured) offers any strategic protections; and [3] any federal guidance the DOL and IRS may issue.” Full Article – Michael Best
Plaintiffs’ Bar Shows Renewed Interest in COBRA Notice Litigation “Class action cases filed against high-visibility defendants in Georgia, Michigan, Florida, and elsewhere allege the companies violated federal law when they sent purportedly inaccurate, threatening, or confusing notices of former employees’ rights to elect to continue medical-insurance coverage after their employment ended.” Full Article – Jackson Lewis P.C.
The Impact of Expanding Pre-Deductible Coverage in HSA-Eligible Health Plans on Premiums “The impact on premiums of expanding pre- deductible coverage for 14 services in HSA- eligible health plans is small. Estimated premium increases range from virtually zero to 1.5 percent. EBRI found a 0.9 percent increase in premiums when use of health care services was assumed to increase because of the lower cost sharing and when employers did not impose any cost sharing.” Full Article – Employee Benefit Research Institute [EBRI]
Is the IRS Going to Fix the ‘Family Glitch’? “The IRS issued a proposed rule on April 5, 2022 to close a loophole in the ACA policy affecting subsidies in the ACA marketplace. This proposal could indirectly affect employers as many spouses and dependents may elect to enroll in the ACA marketplace plans instead of the employer plan. This also opens the door for more employers to encourage spouses and dependents off their plans by increasing the cost that they pay to stay on the plan.” Full Article – Conrad Siegel Actuaries
Court Blocks Enforcement of Certain ACA Section 1557 and Title VII Nondiscrimination Rules Against Christian Employers Group n “The court issued a preliminary injunction enjoining HHS from interpreting or enforcing Section 1557 and its regulations against the group’s present or future members in a manner that would [1] require them to provide, offer, perform, facilitate, or refer for gender transition services, or [2] prevent, restrict, or compel the group members’ speech on gender identity issues. Furthermore, the EEOC is enjoined from interpreting or enforcing Title VII against the group, its insurers, or TPAs in a manner that would require the group’s present or future members to provide insurance coverage for gender transition services.” Full Article – Thomson Reuters / EBIA
Third Circuit: ACA Individual Mandate Penalties Are Entitled to Priority Under the Bankruptcy Code “The IRS asserted that the debtors owed more than $900 for failing to maintain health insurance coverage in violation of the ACA’s individual mandate during 2018. The IRS characterized the payment as an excise tax that was entitled to priority under the Bankruptcy Code. The Third Circuit held that the individual mandate payment was a tax on or measured by income for bankruptcy purposes. The court relied primarily on a six-factor test under Third Circuit precedent for determining whether a payment is a tax.” Full Article – Thomson Reuters Practical Law
STATE & INTERNATIONAL COMPLIANCE
In addition to the RISQ Review, RISQ Consulting also provides a resource that features changes and updates to State and International Compliance measures. We’ve included brief summaries of each item below, and also provided links to the original articles if you’d like to read further.
California
Cal/OSHA Releases Updated FAQs & Fact Sheets for Third Readoption of ETS
“Cal/OSHA posted an update to the Revisions to the ETS FAQ. This FAQ details the changes in the May 6th version of the ETS and requirements from prior ETS that remain. There is a separate General COVID-19 ETS FAQ that responds more to the application of the ETS and has been updated to conform to the recent changes in the ETS.” Full Article
– Jackson Lewis
Florida
What Does Florida’s ‘Stop WOKE’ Act Mean for Employers
“Florida Governor Ron DeSantis signed the ‘Stop WOKE’ Act into law. The Act’s name is intended as an acronym for ‘Stop the Wrongs to our Kids and Employees,’ but is also obviously meant to be a play on the concept of ‘woke,’ which is defined in Merriam-Webster’s Dictionary as an adjective describing one who is ‘aware of and actively attentive to important facts and issues.” Full Article
– Lus Laboris
New York
New York Enacts Employee Privacy Law
“On May 7, New York’s new employee privacy law became effective and it requires employers to provide written notice to their employees prior to engaging in certain electronic monitoring activities. The state’s attorney general is responsible for enforcing the law (as it does not expressly provide a private right of action), and businesses may face financial penalties for noncompliance.” Full Article
– Thompson Hine
Georgia
New Georgia Employment Laws Change Definition of Employment, Restrict Local Laws Regulating Work Hours
“Governor Brian Kemp has signed into law two measures addressing the employment relationship. The first, Act 809 (H.B. 389), alters the definition of employment for purposes of unemployment benefits. The second, Act 823 (S.B. 331), precludes local governments from regulating the scheduling or work hours of a private business’s employees.” Full Article
– Jackson Lewis
Maryland
Maryland Enacts New Family Leave Law
“Maryland became the latest state to establish paid family and medical leave for employees with the enactment of the Time to Care Act of 2022 (the “Act”). The Act creates a family and medical leave fund (the “Fund”) which provides paid leave benefits to covered employees and participating self-employed individuals. The Fund will be financed by contributions from (i) employees, (ii) employers with 15 or more employees, and (iii) participating self-employed individuals.” Full Article
– DLA Piper
- Published in Blog
The RISQ RECAP – May 16th – May 20th, 2022
May 16th – May 20th, 2022
Each week, you’ll find specially curated news articles to keep you up to date on the ever-evolving world of insurance and risk management. The articles are divided out between items relevant to Property & Casualty, Employee Benefits/Human Resources, and Compliance. We’ve included brief summaries of each item as well as a link to the original articles.
PROPERTY & CASUALTY
Most Homeowners Underinsured for Trends in Inflation, Building Costs: APCIA
“A new American Property Casualty Insurance Association (APCIA) survey of over 1,000 U.S. homeowners who have a homeowners insurance policy, reveals a majority of insured homeowners have not taken important steps to ensure their insurance coverage is keeping pace with rising inflation and increased building costs, which could leave policyholders underinsured if catastrophe strikes. Only 30% of insured homeowners have purchased more insurance or increased coverage limits to compensate for rising building costs, according to the survey conducted online by The Harris Poll. Additionally, among insured homeowners who completed renovations or remodels during the pandemic, less than half (40%) updated their home insurance to account for those changes.” Full Article
– Insurance Journal
EMPLOYEE BENEFITS, HUMAN RESOURCES, & COMPLIANCE
Summertime Brings Sunny Skies, Warm Weather and Interns “Manufacturers are preparing to welcome interns into their businesses this summer. Internship programs can play a key role in a company’s ability to develop and retain talent, cultivate new ideas and perspectives, and provide valuable mentorship and opportunity to individuals entering the field, resulting in goodwill in the professional community. With the benefits of these programs come legal challenges for employers related to structuring such programs and arrangements.” Full Article – Robinson & Cole
Modernization of Manufacturers: Safety and Cybersecurity Issues “Like many other industries, manufacturing has been hit hard with labor shortages. As of April 2022, U.S. factory activity reportedly is at its slowest pace in more than 18 months. Consequently, many factories seek more agility from artificial intelligence and other automated processes to better manage disruptions and uncertainty. With these modernizations comes the threat of potential safety and health hazards and cyber threats.” Full Article – Jackson Lewis
DHS Has Temporarily Increased Automatic Extensions of Employment Authorization and/or Employment Authorization Documents (EADs) “The U.S. Department of Homeland Security (DHS) regulations provide for an automatic extension period of up to 180 days from the expiration date stated on the Employment Authorization Document (EAD) for applicants within certain employment-eligible categories who have a timely filed and pending request to renew employment authorization and/or EAD. However, due to severe backlogs with adjudication exacerbated by the COVID-19 pandemic, on May 4, 2022, DHS published a rule to temporarily increase the automatic extension period from up to 180 days to up to 540 days.” Full Article – Littler Mendelson
MORE Than Meets the Eye? How Federal Marijuana Legalization Legislation Could Affect Employers “The U.S. House of Representative voted to pass the Marijuana Opportunity Reinvestment and Expungement (MORE) Act, which decriminalizes marijuana under federal law. Most notably, the MORE Act would remove marijuana as a “scheduled” drug under the Controlled Substances Act (CSA). The proposed MORE Act also addresses other marijuana-related topics, such as taxes, denial of federal public benefits due to marijuana use, and protections for cannabis businesses. As explained below, the MORE Act may bring change for employers.” Full Article – Bradley Arant Boult Cummings
Agencies Offer Tools to Help Employers Using AI Avoid Disability Discrimination “The U.S. Equal Employment Opportunity Commission (EEOC) and the U.S. Department of Justice (DOJ) warn employers that the use of AI (artificial intelligence) tools could expose them to liability under the Americans with Disabilities Act (ADA) if the tools screen out qualified individuals with disabilities or the employer does not provide a “reasonable accommodation” that is necessary for a job applicant or employee to be rated fairly and accurately by the algorithm.” Full Article – Phelps Dunbar
Employee Retention Credit for Independent Schools “Under the CARES Act and subsequent COVID-19 legislation, independent schools may be eligible for the Employee Retention Credit (ERC), a refundable payroll tax credit for employers, including independent schools, whose operations were fully or partially suspended because of a COVID-19 related government order, or that had certain revenue losses compared to 2019. Independent schools that have not claimed the ERC but are eligible to do so can file amended payroll tax returns. The deadline to file these returns is April 15, 2024 for the 2020 ERC and April 15, 2025 for the 2021 ERC.” Full Article – Venable
STATE & INTERNATIONAL COMPLIANCE
In addition to the RISQ Review, RISQ Consulting also provides a resource that features changes and updates to State and International Compliance measures. We’ve included brief summaries of each item below, and also provided links to the original articles if you’d like to read further.
California
Cal/OSHA Releases Updated FAQs & Fact Sheets for Third Readoption of ETS
“Cal/OSHA posted an update to the Revisions to the ETS FAQ. This FAQ details the changes in the May 6th version of the ETS and requirements from prior ETS that remain. There is a separate General COVID-19 ETS FAQ that responds more to the application of the ETS and has been updated to conform to the recent changes in the ETS.” Full Article
– Jackson Lewis
Florida
What Does Florida’s ‘Stop WOKE’ Act Mean for Employers
“Florida Governor Ron DeSantis signed the ‘Stop WOKE’ Act into law. The Act’s name is intended as an acronym for ‘Stop the Wrongs to our Kids and Employees,’ but is also obviously meant to be a play on the concept of ‘woke,’ which is defined in Merriam-Webster’s Dictionary as an adjective describing one who is ‘aware of and actively attentive to important facts and issues.” Full Article
– Lus Laboris
New York
New York Enacts Employee Privacy Law
“On May 7, New York’s new employee privacy law became effective and it requires employers to provide written notice to their employees prior to engaging in certain electronic monitoring activities. The state’s attorney general is responsible for enforcing the law (as it does not expressly provide a private right of action), and businesses may face financial penalties for noncompliance.” Full Article
– Thompson Hine
Georgia
New Georgia Employment Laws Change Definition of Employment, Restrict Local Laws Regulating Work Hours
“Governor Brian Kemp has signed into law two measures addressing the employment relationship. The first, Act 809 (H.B. 389), alters the definition of employment for purposes of unemployment benefits. The second, Act 823 (S.B. 331), precludes local governments from regulating the scheduling or work hours of a private business’s employees.” Full Article
– Jackson Lewis
Maryland
Maryland Enacts New Family Leave Law
“Maryland became the latest state to establish paid family and medical leave for employees with the enactment of the Time to Care Act of 2022 (the “Act”). The Act creates a family and medical leave fund (the “Fund”) which provides paid leave benefits to covered employees and participating self-employed individuals. The Fund will be financed by contributions from (i) employees, (ii) employers with 15 or more employees, and (iii) participating self-employed individuals.” Full Article
– DLA Piper
- Published in Blog
The RISQ RECAP – May 9th – May 13th, 2022
May 9th – May 13th, 2022
Each week, you’ll find specially curated news articles to keep you up to date on the ever-evolving world of insurance and risk management. The articles are divided out between items relevant to Property & Casualty, Employee Benefits/Human Resources, and Compliance. We’ve included brief summaries of each item as well as a link to the original articles.
PROPERTY & CASUALTY
Takeaways from Our Conversation with Cannabis Data Chief
“Global cannabis sales for 2022 will reach just over $35 billion, and will almost double that in the next few years – and with newly legal states coming online, continued growth in the big states, more products, and more marketing of those products, it’s not hard to believe. A report from BDSA provides a deep look at where the industry is heading, but there’s a lot more behind the numbers to know for cannabis businesses and firms that serve those businesses. The report outlines key takeaways, market forecasts and consumer insights.” Full Article
– Insurance Journal
EMPLOYEE BENEFITS, HUMAN RESOURCES, & COMPLIANCE
DOL and HHS Meet with Health Insurance and Business Leaders to Discuss Mental Health, Substance Use Disorder Parity “DOL Secretary Marty Walsh and HHS Secretary Xavier Becerra met with industry leaders in a constructive dialogue, with commitments from attendees to continue to engage on these critical issues. They also raised the importance of contraceptive coverage and the need to do more to ensure women and families get this essential care.” Full Article – U.S. Department of Labor
Sixth Circuit: Employers Act as Fiduciaries When Managing Premium Payments for Benefit Plan “This case serves as an important reminder to employers that they may be held liable where their employees experience a loss in coverage under their welfare benefit plans from the mishandling of premium payments.” Full Article – The Wagner Law Group
State Policy Levers to Improve Access to Telebehavioral Health “States are utilizing a variety of policy levers to maintain access to telebehavioral health services. Commonly used levers include: [1] Creating allowances for out-of-state behavioral health providers; [2] Enabling coverage for audio-only telebehavioral health services; [3] Expanding telehealth-eligible provider types to include a broad range of behavioral health providers; and – Manatt, Phelps & Phillips, LLP
[4] Requiring payment parity for telebehavioral health visits.” Full Article
Employers Rush to Bolster Abortion-Travel Aid with Roe in Doubt “If the high court overturns the landmark 1973 decision, large employers that operate self-funded health plans could add provisions for beneficiaries in states that restrict the procedure to travel to other states to get abortion services. Employers that provide travel expenses for abortion could run afoul of state laws. Employers that don’t offer self-funded plans need to be aware of changes in state abortion laws because their health plans are covered by state insurance laws rather than ERISA.” Full Article – Bloomberg Law
Transparency Rules are in Full Force – Be Sure You are Ready! “The transparency rules do set forth protections for insured arrangements when the group health plan requires the insurer to provide such information via a written agreement. If insurer fails to comply, then the insurer violates transparency disclosure requirements, not the group health plan. A self- funded group health plan can enter into a written agreement requiring the TPA to provide the information. However, the plan is still responsible if the TPA fails to comply. Therefore, it is imperative to have an indemnification agreement with the TPA.” Full Article – Fraser Trebilcock
HHS Notice of Benefit and Payment Parameters for 2023 Final Rule: Fact Sheet “Overall, the final rule seeks to strengthen the coverage offered by qualified health plans (QHPs) on the federal Marketplace. These policies will also ensure consumers can more easily find the right form of quality, affordable coverage for their circumstances: [1] Standardized plan options; [2] Network adequacy; [3] Changes to actuarial value (AV) de minimis ranges; [4] Refine essential health benefits (EHB) nondiscrimination policy for health plan designs; [5] Special enrollment period (SEP) verification; [6] FFM and SBM-FP user fees; [7] Risk adjustment; [8] HHS risk adjustment data validation; [9] Advanced payments of the premium tax credit (APTC) proration; and [10] Require the display of explanations for QHP recommendations on web-broker websites.” Full Article – Centers for Medicare & Medicaid Services, U.S. Department of Health and Human Services
STATE & INTERNATIONAL COMPLIANCE
In addition to the RISQ Review, RISQ Consulting also provides a resource that features changes and updates to State and International Compliance measures. We’ve included brief summaries of each item below, and also provided links to the original articles if you’d like to read further.
California
Judge Rules That Race and LGBT Quotas for Corporate Board Members Violate the California Constitution
“A Los Angeles Superior Court judge recently ruled that a California law (Assembly Bill 979) requiring California corporations to implement race and LGBT quotas for their board of directors is unconstitutional.” Full Article
– Greenberg Traurig
Massachusetts
Massachusetts Paid Family and Medical Leave Updates – What You Need to Know
“The Massachusetts Department of Family and Medical Leave has issued a series of updates concerning Massachusetts Paid Family and Medical Leave (“MAPFML”). These updates reflect the latest changes made to MAPFML since the Department’s last quarterly briefing.” Full Article
– Mintz
New York
New York Employers Must Comply with Electronic Monitoring Notice and Acknowledgment Requirements by May 7, 2022
“The New York Attorney General’s Office will begin enforcing the new law on May 7, 2022. Potential penalties for violations range between
$500 for a first offense and up to $3000 for three or more offenses. Fines are per violation, i.e. per employee, so aggregate penalties under this format for even medium-sized employers may be significant for companies that ignore this obligation.” Full Article
– Nelson Mullins
Maine
Amended Maine Law Will Require Vacation Payout When Employment Ends
“Maine’s governor recently signed H.P. 160 – L.D. 225, amending the state’s final wages statute to require that “[a]ll unused paid vacation accrued pursuant to the employer’s vacation policy on and after January 1, 2023 must be paid to the employee on cessation of employment.” The amendment provides that private employers with 11 or more employees must pay all unused vacation to a separated employee at the cessation of employment.” Full Article
– Littler Mendelson
Mississippi
Mississippi Pay Equity Bill Crosses Finish Line
“Mississippi’s new law prohibits employers from paying “an employee a wage at a rate less than the rate at which an employee of the opposite sex in the same establishment is paid for equal work on a job, the performance of which requires equal skill, education, effort and responsibility, and which is performed under similar working conditions.” Full Article
– Jackson Lewis
- Published in Blog
The RISQ RECAP – May 2nd – May 6th, 2022
May 2nd – May 6th, 2022
Each week, you’ll find specially curated news articles to keep you up to date on the ever-evolving world of insurance and risk management. The articles are divided out between items relevant to Property & Casualty, Employee Benefits/Human Resources, and Compliance. We’ve included brief summaries of each item as well as a link to the original articles.
PROPERTY & CASUALTY
Report Forecasts ‘Above-Normal’ U.S. Wildfire Season, Worse in Drought-Plagued West
“The U.S. has in store an “above-normal” wildfire season if a prediction out on Wednesday from fire weather experts holds true – “intense” may be a better word for the expectations in Western region. Early predictions for the 2022 fire season point to 68,000 to 72,000 fires across the nation burning 8.1 to 8.3 million acres. The national average from 2001 to 2020 was 68,707 fires burning 7 million acres, according to the National Interagency Fire Center.” Full Article
– Insurance Journal
EMPLOYEE BENEFITS, HUMAN RESOURCES, & COMPLIANCE
Five Steps Employers Can Take to Create a More Diverse, Equitable and Inclusive Workplace “Having a diverse hiring strategy is an essential piece of the puzzle, but it’s not the only piece. Not only is it important to focus on bringing in diverse talent, but it’s two-fold. Employers must also equip current employees with the skills necessary for success in their roles, while fostering a culture of equity and inclusion.” Full Article – Haynsworth Sinkler Boyd
Form I-9 Requirements Flexibility Extended Until October 31, 2022 “The U.S. Department of Homeland Security (DHS) and U.S. Immigration and Customs Enforcement (ICE) have announced another extension to flexibility relating to in-person Form I-9 compliance. The policy, which was originally announced on March 19, 2020, was previously set to expire on April 30, 2022. Through this new extension, the policy will remain in effect until October 31, 2022.” Full Article – Mintz
EEOC To Permit Short Window of Additional Time for Late EEO-1 Report Submissions “A new FAQ explains that EEOC will permit employers to submit their EEO-1 Reports after the May 17, 2022 deadline—during what EEOC is calling the “failure to file” phase, stating “All filers who have not submitted and certified their mandatory 2021 EEO-1 Component 1 Report(s) by the Tuesday, May 17, 2022 published deadline will receive a notice of failure to file instructing them to submit and certify their data AS SOON AS POSSIBLE, and NO LATER THAN TUESDAY, JUNE 21, 2022. This additional time, through Tuesday, June 21st, 2022, will be available to ALL filers who have not submitted and certified their 2021 EEO-1 Component 1 Report(s) by the May 17, 2022 published deadline.” Full Article – Jackson Lewis
Silica is the New Asbestos: New OSHA Regional Emphasis Program Will Target Respirable Silica Hazards in Six States “OSHA has developed a new Regional Emphasis Program (REP) to identify and reduce hazards in the cut stone and stone products industry, which OSHA alleges to have the highest documented overexposures to respirable crystalline silica in the Denver region over the past 10 years. Crystalline silica is a common mineral found in sand, concrete, natural stone, artificial stone, mortar and other materials, and generates respirable dust – dust that can be inhaled – during cutting, grinding and polishing. Exposures to crystalline silica are common in both construction and general industry, and OSHA has been targeting silica enforcement in the Biden administration.” Full Article – Seyfarth Shaw
How the Pandemic Changed Parental Leave Policies “In an article published by the Society of Human Resource Management addressing how employers are responding to parental leave policies following pandemic-era routines, which have shown employees can be productive in remote and hybrid working environments while juggling home responsibilities, Phillip J. Strach, Raleigh-based partner at Nelson Mullins, said employers considering making policy changes should ensure updates comply with the Family and Medical Leave Act.” Full Article – Nelson Mullins
Weed policy options for multi-state employers — are there any? “As we all know, a growing number of states have legalized marijuana use to varying degrees. In some states, medical marijuana is permitted, but not recreational. In some states, anything goes. In some states, including New Jersey and New York, even testing for marijuana is illegal in most circumstances. And we still have states where use of marijuana is illegal. (As of today, marijuana is still an illegal drug under federal law. Legislation to legalize it at the federal level is pending, but its fate is not clear.) If an employer has operations in multiple states, chances are good that its obligations will be different in different locations.” Full Article – Seyfarth Shaw
STATE & INTERNATIONAL COMPLIANCE
In addition to the RISQ Review, RISQ Consulting also provides a resource that features changes and updates to State and International Compliance measures. We’ve included brief summaries of each item below, and also provided links to the original articles if you’d like to read further.
California
Judge Rules That Race and LGBT Quotas for Corporate Board Members Violate the California Constitution
“A Los Angeles Superior Court judge recently ruled that a California law (Assembly Bill 979) requiring California corporations to implement race and LGBT quotas for their board of directors is unconstitutional.” Full Article
– Greenberg Traurig
Massachusetts
Massachusetts Paid Family and Medical Leave Updates – What You Need to Know
“The Massachusetts Department of Family and Medical Leave has issued a series of updates concerning Massachusetts Paid Family and Medical Leave (“MAPFML”). These updates reflect the latest changes made to MAPFML since the Department’s last quarterly briefing.” Full Article
– Mintz
New York
New York Employers Must Comply with Electronic Monitoring Notice and Acknowledgment Requirements by May 7, 2022
“The New York Attorney General’s Office will begin enforcing the new law on May 7, 2022. Potential penalties for violations range between
$500 for a first offense and up to $3000 for three or more offenses. Fines are per violation, i.e. per employee, so aggregate penalties under this format for even medium-sized employers may be significant for companies that ignore this obligation.” Full Article
– Nelson Mullins
Maine
Amended Maine Law Will Require Vacation Payout When Employment Ends
“Maine’s governor recently signed H.P. 160 – L.D. 225, amending the state’s final wages statute to require that “[a]ll unused paid vacation accrued pursuant to the employer’s vacation policy on and after January 1, 2023 must be paid to the employee on cessation of employment.” The amendment provides that private employers with 11 or more employees must pay all unused vacation to a separated employee at the cessation of employment.” Full Article
– Littler Mendelson
Mississippi
Mississippi Pay Equity Bill Crosses Finish Line
“Mississippi’s new law prohibits employers from paying “an employee a wage at a rate less than the rate at which an employee of the opposite sex in the same establishment is paid for equal work on a job, the performance of which requires equal skill, education, effort and responsibility, and which is performed under similar working conditions.” Full Article
– Jackson Lewis
- Published in Blog
The RISQ RECAP – April 25th – April 29th, 2022
April 25th – April 29th, 2022
Each week, you’ll find specially curated news articles to keep you up to date on the ever-evolving world of insurance and risk management. The articles are divided out between items relevant to Property & Casualty, Employee Benefits/Human Resources, and Compliance. We’ve included brief summaries of each item as well as a link to the original articles.
PROPERTY & CASUALTY
PFAS, Microplastics, Baby Food: Emerging Casualty Risks Keep Coming
“There is no longer a need to ponder the “next asbestos” because the current litigation environment and the recent pace of additions to the list of emerging risks and trends in casualty insurance is enough to keep the industry on its toes.” Full Article
– Insurance Journal
EMPLOYEE BENEFITS, HUMAN RESOURCES, & COMPLIANCE
Employee’s Widow Can Sue Walmart for Life Insurance Benefits – 6th Circ. “The 6th U.S. Circuit Court of Appeals said a lower court erred in dismissing Ruth Mae Chelf’s claims for breach of fiduciary duty based on the ‘ministerial function’ exception to ERISA. That defense was unavailable to Walmart because Walmart was a fiduciary as it indisputably exercised control over the Plan’s assets when it handled Mr. Chelf’s premiums, exercised control over the disposition of the Plan’s assets, and had discretionary authority over the administration of the Plan.” Full Article – Reuters
Qualified Parking Compensation Reductions Unused Due to COVID-19 Cannot Be Transferred to Health FSA “The Code prohibits cafeteria plans from offering qualified transportation fringe benefits, and IRS rules do not permit unused compensation reduction amounts under a qualified transportation plan to be transferred to a health FSA under a cafeteria plan. Because some risk of loss due to changing circumstances is unavoidable, employers should clearly articulate that risk to employees before they make compensation reduction elections.” Full Article – Thomson Reuters / EBIA
Deadline Approaching Under Health Plan Price Transparency Rules – Public Disclosure of Provider Reimbursement Rates Due by July 1, 2022 “To meet the Transparency in Coverage requirements that will be enforced starting on July 1, 2022, plans and issuers must create two files — one to disclose in-network provider rates for covered items and services and another to disclose out-of-network allowed amounts and billed charges for covered items and services.” Full Article – Foley & Lardner LLP
Ohio’s Surprise Billing Law – Impact on Health Plans “While the Ohio Surprise Billing Law intends to shield insureds from surprise medical costs, health plans and insurers may end up paying these costs in some instances. These additional costs are expected, at least in large part, to be ultimately borne by employers through increased reimbursement rates and higher premiums.” Full Article – Jackson Lewis P.C.
A Fix for the ACA’s ‘Family Glitch’ “If an employee in a family was offered affordable self-only coverage, the employee would still not be eligible for premium tax credits. The family would thus have to purchase two policies — one for the employee through the employer and one through the marketplace for the remaining family members. The family also may have to meet two deductibles, be subject to two out-of-pocket limits, and might find itself in two different provider networks. Families with more than one employee offered self-only coverage may need to purchase several policies, one for each employee and a marketplace plan for the remaining family members.” Full Article – The Commonwealth Fund
Washington State Retools First-In-the-Nation Long-Term Care Benefit “The WA Cares Fund, which was set to begin collecting money for the program with a mandatory payroll tax on workers in January, has been delayed while lawmakers made adjustments during the current legislative session. Payroll deductions will start in July 2023, and benefits will become available in July 2026. Other states are watching Washington closely as they weigh offering coverage for their own residents.” Full Article – Kaiser Health News
STATE & INTERNATIONAL COMPLIANCE
In addition to the RISQ Review, RISQ Consulting also provides a resource that features changes and updates to State and International Compliance measures. We’ve included brief summaries of each item below, and also provided links to the original articles if you’d like to read further.
Washington
Washington Revises Its Pay Transparency Law to Require Proactive Salary Disclosure
“Governor Jay Inslee signed Senate Bill (SB) 5761, updating Washington’s existing pay transparency law. Previously, after an employer made an initial job offer to an external applicant, the employer was required to provide the minimum wage or salary to the applicant if the applicant requested the information. Under the revised law, an applicant’s request is no longer required.” Full Article
– Jackson Lewis
Massachusetts
Don’t Be Late on Wage Payments To Terminated Employees In Massachusetts
“The Massachusetts Supreme Judicial Court (SJC) issued a surprising decision on April 4, holding that an employer is strictly liable for treble damages if it fails to make timely wage payments, regardless of whether the employer remedies the violation prior to the employee asserting a wage claim.” Full Article
– Day Pitney
New York
New York City Issues Guidance on Required Salary Disclosures In Job Postings
“A new “NYC Salary Disclosure Law” will soon require employers to include a good faith salary range for every job, promotion, or transfer opportunity advertised. While the NYC Salary Disclosure Law is scheduled to take effect on May 15, 2022, it may now be pushed out to November 1, 2022 due to a recently introduced bill that would amend the new law, including the effective date.” Full Article
– Goodwin Procter
Ohio
New Ohio Law Revamps the Landscape of Overtime Exemptions and Collective Action Procedures
“On Governor Mike DeWine signed Senate Bill 47 (“SB 47”) into law, signaling significant changes to overtime exemptions in the state and restructuring the procedure by which an employee may join a collective action for alleged state overtime violations.” Full Article
– Benesch Friedlander Coplan & Aronoff LLP
D.C.
D.C.’s Noncompete Ban Is Delayed Until October 1, 2022
“The District of Columbia passed arguably one of the most sweeping non- compete bans in the country. In order to consider some amendments to address serious concerns from the business community, however, the effective date of this law was previously delayed until April 1, 2022 and, as the amendments are still pending, now has been further delayed until October 1, 2022.” Full Article
– Shawe Rosenthal
- Published in Blog
The RISQ RECAP – April 18th – April 22nd, 2022
April 18th – April 22nd, 2022
Each week, you’ll find specially curated news articles to keep you up to date on the ever-evolving world of insurance and risk management. The articles are divided out between items relevant to Property & Casualty, Employee Benefits/Human Resources, and Compliance. We’ve included brief summaries of each item as well as a link to the original articles.
PROPERTY & CASUALTY
‘Zero-Day’ Hacks Hit Record in 2021, Google Researchers Say
“Hackers exploited a total of 58 zero-day flaws impacting major software providers in 2021, according to a report published April 19 by Google’s Project Zero, a team of elite bug hunters. That compares to 25 flaws in 2020 and 21 in 2019.” Full Article
– Insurance Journal
EMPLOYEE BENEFITS, HUMAN RESOURCES, & COMPLIANCE
Judge Ketanji Brown Jackson Is Confirmed As Next SCOTUS Justice “On April 7, 2022, the Senate confirmed the nomination of Judge Ketanji Brown Jackson to fill the next term’s vacancy on the bench with Justice Stephen Breyer’s upcoming retirement. In an often- contentious confirmation process that included questions lobbed from Republican senators on Judge Jackson’s position on child pornography, critical race theory, court-packing, transgender rights, and her role as a public defender for Guantanamo Bay detainees, Jackson was confirmed 53-47 with bipartisan support.” Full Article – Littler Mendelson
Paying Employees In Cryptocurrency: Is That lawful? “In recent years, more consumers, merchants, and financial institutions have accepted cryptocurrency as a form of payment for everyday products and services. Last November, mayors of two major U.S. cities signaled what may be the next phase of cryptocurrency’s melding into the mundane, when they announced they would accept paychecks in cryptocurrency. On Twitter, Mayor Francis Suarez of Miami said he would accept his next paycheck in Bitcoin, to which Mayor Eric Adams of New York responded that he would accept his first three paychecks in Bitcoin.” Full Article – Morrison Foerster
NLRB GC Seeks Dramatic Change To Employer’s Right To Speak To Employees About Unionization At Work “For decades, employers had been free to gather employees to discuss – in a non-coercive manner – the employer’s views on unionization, and had been free to share with employees what employees’ rights were with respect to the same. Earlier today, the NLRB General Counsel issued a memorandum declaring her intent to attempt to overturn this nearly 75 years of National Labor Relations Board precedent regarding an employer’s ability to speak to employees. In GC Memorandum 22-04, issued on April 7, 2022, argues that mandatory “captive audience” meetings and even simple one-on-one conversations during work are unlawfully coercive.” Full Article – Proskauer Rose LLP
Although Regular Attendance May Be an Essential Function, Leave May Still Be Required “The U.S. Court of Appeals for the Sixth Circuit rejected an employer’s argument that the employee was unable to perform any of her essential job functions, including attendance, as of the date of her termination, and was therefore not entitled to the protections of the Americans with Disabilities Act. As the Sixth Circuit noted, “To accept [the employer]’s supposed rule, an employee requesting medical leave could always be terminated if she were unable to work at the time of her request. But that cannot be the case because … medical leave can constitute a reasonable accommodation under the ADA.” Full Article – Shawe Rosenthal
Federal Court Dismisses Disability Discrimination Suit Based On Employee’s CBD Use “A federal court in Indiana dismissed an employee’s lawsuit after he tested positive for marijuana due to alleged CBD use and claimed that his termination was discriminatory on the basis of a disability. Rocchio v. E&B Paving, LLC, and Int’l Union of Operating Engineers Local 103, Case No. 1:20-cv-00417 (S.D. Indiana March 31, 2022).” Full Article – Jackson Lewis
Sick Of State And Local Paid Sick Leave “For employers with employees in multiple states or cities, designing a uniform paid sick leave policy that treats all employees equally is often the hardest part of updating an employee handbook. State and local paid sick leave laws often have different eligibility, accrual, usage, notice, and carryover requirements. Currently, about twenty-two states have a paid sick leave requirement. In addition, various cities and towns within these same states may have their own paid sick leave requirements.” Full Article – Masuda Funai Eifert & Mitchell Ltd
STATE & INTERNATIONAL COMPLIANCE
In addition to the RISQ Review, RISQ Consulting also provides a resource that features changes and updates to State and International Compliance measures. We’ve included brief summaries of each item below, and also provided links to the original articles if you’d like to read further.
Washington
Washington Revises Its Pay Transparency Law to Require Proactive Salary Disclosure
“Governor Jay Inslee signed Senate Bill (SB) 5761, updating Washington’s existing pay transparency law. Previously, after an employer made an initial job offer to an external applicant, the employer was required to provide the minimum wage or salary to the applicant if the applicant requested the information. Under the revised law, an applicant’s request is no longer required.” Full Article
– Jackson Lewis
Massachusetts
Don’t Be Late on Wage Payments To Terminated Employees In Massachusetts
“The Massachusetts Supreme Judicial Court (SJC) issued a surprising decision on April 4, holding that an employer is strictly liable for treble damages if it fails to make timely wage payments, regardless of whether the employer remedies the violation prior to the employee asserting a wage claim.” Full Article
– Day Pitney
New York
New York City Issues Guidance on Required Salary Disclosures In Job Postings
“A new “NYC Salary Disclosure Law” will soon require employers to include a good faith salary range for every job, promotion, or transfer opportunity advertised. While the NYC Salary Disclosure Law is scheduled to take effect on May 15, 2022, it may now be pushed out to November 1, 2022 due to a recently introduced bill that would amend the new law, including the effective date.” Full Article
– Goodwin Procter
Ohio
New Ohio Law Revamps the Landscape of Overtime Exemptions and Collective Action Procedures
“On Governor Mike DeWine signed Senate Bill 47 (“SB 47”) into law, signaling significant changes to overtime exemptions in the state and restructuring the procedure by which an employee may join a collective action for alleged state overtime violations.” Full Article
– Benesch Friedlander Coplan & Aronoff LLP
D.C.
D.C.’s Noncompete Ban Is Delayed Until October 1, 2022
“The District of Columbia passed arguably one of the most sweeping non- compete bans in the country. In order to consider some amendments to address serious concerns from the business community, however, the effective date of this law was previously delayed until April 1, 2022 and, as the amendments are still pending, now has been further delayed until October 1, 2022.” Full Article
– Shawe Rosenthal
- Published in Blog
The RISQ RECAP – April 11th – April 15th, 2022
April 11th – April 15th, 2022
Each week, you’ll find specially curated news articles to keep you up to date on the ever-evolving world of insurance and risk management. The articles are divided out between items relevant to Property & Casualty, Employee Benefits/Human Resources, and Compliance. We’ve included brief summaries of each item as well as a link to the original articles.
PROPERTY & CASUALTY
Cyber Premiums Rapidly Grew 74% in 2021: Fitch
“According to estimates by Fitch Ratings, direct written premiums (DWP) for standalone and packaged cyber insurance increased 74% to nearly $5 billion in 2021 compared with overall growth for the property casualty industry of 9%, making cyber insurance the fastest growing product segment in the U.S. P/C market.” Full Article
– Insurance Journal
EMPLOYEE BENEFITS, HUMAN RESOURCES, & COMPLIANCE
Do Employers Now Have to Offer Affordable Family Coverage “Although not directly affecting employer-sponsored plans, employers may experience indirect effects of the changes if the proposed rule is finalized. For example, in order for the IRS to make Premium Tax Credit determinations involving family coverage, they may require further information reporting from employers. The IRS Forms 1094 and 1095 might be modified to require separate affordability reporting regarding both employee-only coverage and other coverage offers.” Full Article – Jackson Lewis P.C.
Ninth Circuit Reverses Decision Requiring Reprocessing of 67,000 Behavioral Health Claims; Hands United Healthcare a Win “The Ninth Circuit decision means that UBH no longer has to reprocess the tens of thousands of claims. UBH was still adjusting its criteria and guidelines at the time of the Ninth Circuit’s decision. It is not clear whether UBS will now ‘walk back’ its revised criteria. This decision signifies great latitude for plan administrators and seems to mark a deviation from an otherwise broad national movement toward enforcement of mental health parity laws.” Full Article – ArentFox Schiff LLP
Employer’s Failure to Provide Timely COBRA Election Notice Results in Retroactive Coverage and Penalties “Buford argued that his former employer prevented him from exercising his COBRA rights by providing him with a COBRA election notice with an incorrect termination date of February 28, 2014, and then disregarding that date for COBRA coverage. The court sided with Buford, finding that General Motors’ failure to correct his COBRA eligibility date was arbitrary and capricious.” Full Article – Hall Benefits Law
It’s So Easy to … Put Your Employees’ HSAs at Risk “In addition to telehealth, there are other incentives or special benefits that employers may be tempted to offer, especially to encourage retention during this era of labor shortage. Be careful, though, that your generosity doesn’t compromise your employees’ HSAs by relieving them of their obligation to bear the full weight of their HDHP coverage.” Full Article – Holland & Hart LLP
HHS OCR Issues Annual HIPAA Reports to Congress “OCR’s breach report contains useful information regarding the most commonly reported categories of breaches and OCR’s recommendations on best practices to avoid such breaches. OCR reported that 68% of the ‘500+’ breaches in 2020 involved ‘hacking/IT incidents of electronic equipment or a network server’ while 23% involved ‘unauthorized access or disclosure of records containing PHI.’ OCR’s enforcement report also provides statistics and information that can be useful to covered entities in focusing their compliance efforts.” Full Article – Health Law Advisor, Epstein Becker Green
CMS Announces 2023 Medicare Part D Benefit Parameters Used for Creditable Coverage Disclosures “These parameters will be used by group health plan sponsors to determine whether their plans’ prescription drug coverage is creditable for 2023. The information is needed for required disclosures to Part D eligible individuals and to CMS.” Full Article – Thomson Reuters / EBIA
STATE & INTERNATIONAL COMPLIANCE
In addition to the RISQ Review, RISQ Consulting also provides a resource that features changes and updates to State and International Compliance measures. We’ve included brief summaries of each item below, and also provided links to the original articles if you’d like to read further.
Washington
New Washington Law Bans Nondisclosure and Nondisparagement Provisions and Applies Retroactively
“Governor Bill Lee has signed into law a bill that expands protections for employees who are subject to employer COVID-19 vaccine mandates. The new law supplements existing state law that prohibits private employers and other entities from compelling or taking “adverse action” against a person to compel the person to provide proof of vaccination.” Full Article
– Nelson Mullins
California
Updated California Supplemental Paid Sick Leave FAQs Answer Some Big Questions
“California’s Labor Commissioner has updated its FAQs concerning 2022 COVID-19 supplemental paid sick leave (CPSL), answering some of employers’ more pressing questions about how this year’s more unique law operates. The answers are welcome news to many.” Full Article
– Littler Mendelson
Oregon
Oregon Amends the Workplace Fairness Act to Further Restrict Agreements Resolving Discrimination Claims
“On March 24, 2022, Oregon Governor Kate Brown signed into law Senate Bill 1586, which amends Oregon’s Workplace Fairness Act to further restrict what an employer may request in a settlement or separation agreement with an employee claiming discrimination under ORS 659A.030, 659A.082, or 659A.112. The amendments will be effective January 1, 2023.” Full Article
– Davis Wright Tremaine
Utah
Utah Amends Vaccination and Testing Requirements to Include Exemption for Previous COVID-19 Infection
“On March 22, 2022, Utah Governor Spencer J. Cox signed HB 63 into law, amending legislation passed in the Utah Legislature’s second special session of 2021 related to vaccine mandates in the workplace. The law will become effective on May 3, 2022 (60 days from adjournment of the 2022 legislative session).” Full Article
– Littler Mendelson
Indiana
Indiana Enacts New Law on Employer COVID-19 Vaccination Mandates
“Indiana Governor Eric Holcomb has signed into law House Bill 1001, curbing COVID-19 vaccine mandates by employers. Under the law, which went into effect immediately, most Indiana employers who require employees to receive the COVID-19 vaccine must allow employees to opt out from the requirement based on any of the following: (1) medical reasons; (2) religious reasons; or (3) employee immunity from COVID-19 based on a prior infection with COVID-19.” Full Article
– Jackson Lewis
- Published in Blog
The RISQ RECAP – April 4th – April 8th, 2022
April 4th – April 8th, 2022
Each week, you’ll find specially curated news articles to keep you up to date on the ever-evolving world of insurance and risk management. The articles are divided out between items relevant to Property & Casualty, Employee Benefits/Human Resources, and Compliance. We’ve included brief summaries of each item as well as a link to the original articles.
PROPERTY & CASUALTY
Optimism, Resiliency Open New Doors for Sector Sector Buoyed by Record Start-Ups, Pandemic Resiliency
“The global pandemic, economic recession and worldwide supply chain shortages have not hindered the optimism and drive of the U.S. small business sector. In fact, the Great Resignation might lead to a small business revolution. In its 2021 New Business Insights report, Intuit predicts 17 million new small businesses will be formed in 2022, a third consecutive record year for entrepreneurship.” Full Article
– Small Business Revolution
EMPLOYEE BENEFITS, HUMAN RESOURCES, & COMPLIANCE
Is an Emoji Worth a Thousand Words? The Impact of Emojis in the Workplace “Work does not always occur within the physical confines of a workplace. Indeed, due to the interconnectivity of today’s world, work often takes place in the digital space, where employees regularly use pictorial icons and images known as emojis and emoticons to express themselves. Although emojis and emoticons are not hieroglyphics, they can be difficult to interpret, and courts have increasingly had to grapple with them as evidence in discrimination and harassment claims.” Full Article – Littler Mendelson
Restaurant’s Mandatory Service Charge is Not a “Tip” Under FLSA “Tipped employees at Miami’s Nusr-et Steakhouse sued their employer, alleging that the restaurant violated the Fair Labor Standards Act by counting payments to employees from the restaurant’s mandatory 18% “service charge” as part of the employees’ “regular rate of pay,” rather than as tips. The district court rejected the employees’ claim and granted the restaurant’s motion for summary judgment, holding that the service charge was not a tip. In Compere v. Nusret Miami, LLC, 2022 U.S. App. LEXIS 7293 (11th Cir. Mar. 18, 2022), the Eleventh Circuit affirmed.” Full Article – Eversheds Sullivan
Recall Message! Do Yourself (and Your Employer) a Favor and Sharpen Your Email Game “Email isn’t a new technology. By now, we all know that our work emails aren’t private, and most of us exercise some discretion in deciding what to “put in writing” in our business communications. We’ve heard horror stories of incriminating emails turning up in business lawsuits. Yet, despite our awareness of these risks, the problem persists. Time and again, bet-the-company lawsuits turn on the content of internal work emails. And it’s not just so-called “smoking gun” emails where an employee admits wrongdoing. More often, the key emails are seemingly innocuous co-worker communications that, due to their poor wording, are taken out of context and made to look malicious, heavy-handed, or insensitive.” Full Article – Robbins Kaplan
BREAKING NEWS: OFCCP Releases New Directive Setting Expectations of Contractors During Compliance Reviews “Directive 2022-02: Effective Compliance Evaluations and Enforcement issued March 31, 2022 is intended to “strengthen OFCCP compliance evaluations and reduce delay by promoting the timely exchange of information”. It also sets a number of expectations for contractor conduct and compliance during reviews, rescinding a number of previous Directives that set out transparency and expectations and timelines for submission of information – commonly known as previous OFCCP Director Craig Leen’s Four Pillars.” Full Article – Jackson Lewis
Department of Labor Issues Strong Caution on Use of Cryptocurrencies in 401(k) Plans “The U.S. Department of Labor (the DOL) has issued a compliance release that provides strong caution against ERISA fiduciaries of 401(k) and 403(b) plans including cryptocurrencies as plan investment options. In an unusual move, the DOL has cautioned fiduciaries to “exercise extreme care before they consider adding a cryptocurrency option to a 401(k) plan’s investment menu for plan participants.” Full Article – Cozen O’Connor
Five Employment Law Remarks in President Biden’s State of the Union Address “In his March 1, 2022 State of the Union Address, President Biden briefly touched upon a handful of employment reforms he is urging Congress to pass. This article is intended to help employers understand five of President Biden’s remarks, summarize what those remarks referenced, and describe the status of potential legislation relating to them.” Full Article – Venable
STATE & INTERNATIONAL COMPLIANCE
In addition to the RISQ Review, RISQ Consulting also provides a resource that features changes and updates to State and International Compliance measures. We’ve included brief summaries of each item below, and also provided links to the original articles if you’d like to read further.
Washington
New Washington Law Bans Nondisclosure and Nondisparagement Provisions and Applies Retroactively
“Governor Bill Lee has signed into law a bill that expands protections for employees who are subject to employer COVID-19 vaccine mandates. The new law supplements existing state law that prohibits private employers and other entities from compelling or taking “adverse action” against a person to compel the person to provide proof of vaccination.” Full Article
– Nelson Mullins
California
Updated California Supplemental Paid Sick Leave FAQs Answer Some Big Questions
“California’s Labor Commissioner has updated its FAQs concerning 2022 COVID-19 supplemental paid sick leave (CPSL), answering some of employers’ more pressing questions about how this year’s more unique law operates. The answers are welcome news to many.” Full Article
– Littler Mendelson
Oregon
Oregon Amends the Workplace Fairness Act to Further Restrict Agreements Resolving Discrimination Claims
“On March 24, 2022, Oregon Governor Kate Brown signed into law Senate Bill 1586, which amends Oregon’s Workplace Fairness Act to further restrict what an employer may request in a settlement or separation agreement with an employee claiming discrimination under ORS 659A.030, 659A.082, or 659A.112. The amendments will be effective January 1, 2023.” Full Article
– Davis Wright Tremaine
Utah
Utah Amends Vaccination and Testing Requirements to Include Exemption for Previous COVID-19 Infection
“On March 22, 2022, Utah Governor Spencer J. Cox signed HB 63 into law, amending legislation passed in the Utah Legislature’s second special session of 2021 related to vaccine mandates in the workplace. The law will become effective on May 3, 2022 (60 days from adjournment of the 2022 legislative session).” Full Article
– Littler Mendelson
Indiana
Indiana Enacts New Law on Employer COVID-19 Vaccination Mandates
“Indiana Governor Eric Holcomb has signed into law House Bill 1001, curbing COVID-19 vaccine mandates by employers. Under the law, which went into effect immediately, most Indiana employers who require employees to receive the COVID-19 vaccine must allow employees to opt out from the requirement based on any of the following: (1) medical reasons; (2) religious reasons; or (3) employee immunity from COVID-19 based on a prior infection with COVID-19.” Full Article
– Jackson Lewis
- Published in Blog