Tag: arbitration

New York Employment Discrimination

New York Employment Discrimination Law Now Covers Everyone

Late in the night of June 19, 2019, the New York Legislature radically expanded the state’s employment discrimination laws. The legislation amends nearly every component of the New York State Human Rights Law regarding employment discrimination. Although no additional protected characteristics were added, the changes affect which employers and workers are subject to the law, the standards for proving or disproving a claim, and the penalties available to victims. Frankly, it’s hard to imagine how they could have gone further to promote discrimination claims against employers.

Note: At the time of the initial publication of this article, Governor Cuomo had not signed the new laws into effect. However, he has expressed support for the legislation and his intent to enact it.

No Worker Left Behind

For many years, the State’s employment discrimination laws only applied to employers with at least 4 employees. In 2016, this threshold dropped to 1 employee for sexual harassment claims only. Last year, the State extended the sexual harassment protections to all workers in a workplace, not just employees. This added coverage for independent contractors, vendors, consultants, etc.

With these amendments, the New York Human Rights Law will now apply to all employers of all sizes for all employment discrimination claims. This includes not only sexual harassment, but all forms of harassment based on other protected characteristics (age, race, etc.). It also includes non-harassment claims such as those alleging wrongful termination, discriminatory hiring, and failure to promote.

More “Harassment” Is Illegal

Historically, employees needed to show that workplace harassment was “severe or pervasive” to win a harassment case. This legislation expressly eliminates that requirement.

The Human Rights Law still doesn’t exactly define the term harassment. But it now sort of describes what it is:

First, to be illegal (as always) the harassment must be based on one of the numerous protected characteristics established by the law. In addition to sexual harassment, this includes harassment because of a person’s age, race, creed, national origin, sexual orientation, among others.

Second, “harassment” now becomes illegal “when it subjects an individual to inferior terms, conditions or privileges of employment because of the individual’s membership in one or more of these protected categories.” That seemingly is what employees must show to prevail on a harassment claim.

Third, the legislation states that it will not be “determinative” that the worker hadn’t previously complained about harassment.

Fourth, the amendments specifically provide that workers complaining of harassment don’t need to point to any other workers for comparison purposes to prove their claims.

Fifth, an employer can only defeat harassment claims under these amendments to New York employment discrimination law if they prove that “the harassing conduct does not rise above the level of what a reasonable victim of discrimination with the same protected characteristic would consider petty slights or trivial inconveniences.”

On the whole, these amendments undeniably and certainly intentionally institute monumental expansion of the State’s anti-harassment protections.

Punitive Damages Now Available

Unlike some similar federal statutes, the New York employment discrimination law previously did not allow victims to recover punitive damages. This is additional money beyond what the discrimination cost the victim. These damages serve to punish and deter employers from engaging in further discrimination.

Significantly, unlike most federal discrimination laws, the New York legislation does not place any cap on the amount of punitive damages that juries can award.

Pay the Lawyers Too

The attorneys of employees who win their cases under New York employment discrimination law will now have their fees paid by the employer.

If an employer wins, disproving the plaintiff’s case, they will only receive their attorneys’ fees if they convince the court that the claim was frivolous. Realistically, such awards are likely to be few and far between.

Barrier to Confidentiality

In case you might want to settle a New York employment discrimination case, you might not get a confidentiality provision. At least, you’ll have to jump through more hoops if you want to.

The biggest hurdle is that you must be able to demonstrate that the “condition of confidentiality is the complainant’s preference.”

The Legislature added this restriction last year for sexual harassment claims only. It now applies to all discrimination claims.

Among other details, the complainant must have 21 days to consider the written terms of any such confidentiality or non-disclosure provision. Then, if the complainant signs off, they still have another 7 days to change their mind.

No More Arbitration?

As the Legislature enacted last year specifically for sexual harassment cases, this year’s amendments prohibit mandatory arbitration provisions with respect to all forms of employment discrimination.

However, there’s still an open question whether federal law (and its broad protection of arbitration) invalidates the New York law on this issue.

And Those Sexual Harassment Policies . . .

Most of the amendments apply to all forms of employment discrimination. But the legislation also adds to the still new sexual harassment policy and training requirements.

Every employer will have to not only train employees annually, but also give all employees a copy of their sexual harassment policy at each annual training. And now employees must receive both the training and the policy in their primary language if the State has prepared a model policy and training program in the language.

Plus More Time to File Sexual Harassment Cases

Despite many measures expanding protections for all protected characteristics, sexual harassment claims will still get special treatment in one area. Workers will now have up to 3 years to file sexual harassment claims with the New York State Division of Human Rights. All other New York employment discrimination claims can only be filed with the state agency for 1 year. Regardless, all New York employment discrimination claims can be filed in court for up to 3 years.

What Should Employers Do?

Probably, move out of New York. Otherwise, prepare to redouble efforts to avoid any hint of harassment. New York employment discrimination litigation will definitely increase as a result of this legislation.

We’ll follow up with more commentary and insight on the potential impact once the Governor acts on the bill. To receive updates on this and other topics of importance to New York employers, sign up for our free email newsletter.

Union Basics for Employers

Union Basics for Employers (Webinar Recap)

On September 20, 2018, I presented a complimentary webinar called “Union Basics for Employers.” For those who couldn’t attend the live webinar, I’m happy to make it available for you to watch at your convenience.

Click here to watch the webinar now.

In the webinar, I discuss:

  • Representation Procedures
  • Grievances and Unfair Labor Practices
  • Negotiations
  • Strikes and Lockouts

This webinar may be helpful both to companies that are currently unionized and those that are not. The content primarily focuses on private companies subject to the National Labor Relations Act. This includes most businesses other than governmental entities.

Don’t have time to watch the whole webinar right now? Click here to download the slides from the webinar.

Why You Should Watch “Union Basics for Employers”

Let’s face it, most employers would rather not have to deal with a union. While this webinar mentions some tips for staying union-free (i.e., be a good employer), the emphasis is on explaining what it means to have a union.

Topics include how unions come to represent employees in the first place and what happens once the union is in. I also describe the primary procedure for employees to vote their union out.

The webinar is also a good primer for human resources personnel joining a unionized company for the first time. Learn what to expect and what it all means for your company.

If nothing else, learn how to better co-exist with a union in your workplace here.

Don’t Miss My Future Webinars!

Click here to sign up for my email newsletter to be among the first to know when registration is open for upcoming programs!

New York Sexual Harassment Laws

State Budget Expands New York Sexual Harassment Laws

On April 12, 2018, New York Governor Andrew Cuomo signed State Budget legislation that includes several provisions aimed at workplace sexual harassment. Some of the items included will require additional clarification through agency guidance and regulations. But here’s an initial overview of how New York sexual harassment laws will change.

Some new aspects of New York sexual harassment law took effect immediately. Others will become effective later. Here they are in the order that they take effect.

Protection of Non-Employees

Before April 12, 2018, the New York Human Rights Law only protected employees from sexual harassment. Effective immediately, it is also unlawful for employers to permit sexual harassment of non-employees in their workplaces.

In addition to employees, the law now protects:

  • Contractors
  • Subcontractors
  • Vendors
  • Consultants
  • Other persons providing services under a contract in the workplace
  • Employees of the above

An employer may be liable for sexual harassment against these individuals if it knew or should have known that the individual was subjected to sexual harassment in its workplace and failed to take “immediate and appropriate corrective action.”

The law does add that: “In reviewing such cases involving non-employees, the extent of the employer’s control and any other legal responsibility which the employer may have with respect to the conduct of the harasser shall be considered.”

Public Officers

Effectively immediately, employees and officers of public entities (including the State, its agencies, local governments, and school districts) who are found personally liable for intentional wrongdoing related to sexual harassment must now reimburse their employer if it pays the judgment to a victim.

If the employee does not repay their public employer within 90 days, the employer may withhold compensation from the employee’s pay. If the person is no longer employed by the public entity, the employer may pursue collection through the courts.

Mandatory Arbitration Clauses

Beginning July 11, 2018, New York law will prohibit “any clause or provision in any contract which requires as a condition of the enforcement of the contract or obtaining remedies under the contract that the parties submit to mandatory arbitration to resolve any allegation or claim of an unlawful discriminatory practice of sexual harassment.”

This law defines a “mandatory arbitration clause” as “a term or provision contained in a written contract which requires the parties to such contract to submit any matter thereafter arising under such contract to arbitration prior to the commencement of any legal action to enforce the provisions of such contract and which also further provides language to the effect that the facts found or determination made by the arbitrator or panel of arbitrators in its application to a party alleging an unlawful discriminatory practice based on sexual harassment shall be final and not subject to independent court review.”

The law contains a telling exception. This prohibition applies “except where inconsistent with federal law”. That language is probably unnecessary, as the State law could not trump federal law anyway. But, it shows the Legislature’s recognition that federal law, including the Federal Arbitration Act, broadly favors arbitration. Thus, it remains to be seen whether this state restriction will be enforceable.

The law also allows that mandatory arbitration clauses contained in collective bargaining agreements are not prohibited.

Nondisclosure Agreements

Also as of July 11, 2018, employers may no longer include a provision in any settlement document resolving any claim involving sexual harassment that “would prevent the disclosure of the underlying facts and circumstances to the claim.”

The law provides an exception where “the condition of confidentiality is the plaintiff’s preference.” In that case, the plaintiff must have 21 days to consider the nondisclosure terms. Then, after 21 days, the parties can agree to the provision in a written agreement signed by all parties. But the plaintiff still must have at least 7 days to revoke the agreement after signing it.

New York Sexual Harassment Prevention

For the first time, New York will require all employers to maintain sexual harassment prevention policies and provide training for employees. These requirements take effect October 9, 2018.

Model Policy

A new provision of the New York State Labor Law requires the Department of Labor (DOL) to consult with the Division of Human Rights and publish a “model sexual harassment prevention guidance document and sexual harassment prevention policy.”

The model New York sexual harassment prevention policy must:

  • Prohibit sexual harassment and provide examples of prohibited conduct;
  • Include information about federal, state, and local sexual harassment laws;
  • Include a standard complaint form;
  • Identify a procedure for “timely and confidential investigation of complaints and ensure due process for all parties”;
  • Inform employees of their rights of redress and all available administrative and judicial forums for adjudicating sexual harassment complaints;
  • State that sexual harassment is a form of employee misconduct with sanctions for both individuals engaging in it and supervisors and managers who allow it to continue; and
  • Prohibit retaliation against individuals who complain of sexual harassment or testify or assist in any proceeding.

Once the model policy is available, all New York employers must adopt it or one that “equals or exceeds the minimum standards provided by such model”. Employers must provide their policy to all employees in writing.

Model Training Program

The DOL must also consult with the Division of Human Rights and produce a model sexual harassment training program.

The model New York sexual harassment prevention training program must be “interactive” and include:

  • An explanation of sexual harassment;
  • Examples of conduct that would constitute unlawful sexual harassment;
  • Information about federal and state sexual harassment laws and remedies;
  • Information about employees’ rights of redress and available forums; and
  • Additional responsibilities regarding supervisors.

Every New York employer will have to provide sexual harassment prevention training to all employees annually. Employers may use either the model training program or one that “equals or exceeds the minimum standards provided by such model training.”

State Contractors

Starting January 1, 2019, any entity seeking a contract with the State of New York through competitive bidding must certify that they have instituted a written policy on sexual harassment prevention. They must further certify that they provide annual sexual harassment training to all employees.

Stay Tuned for More on These New York Sexual Harassment Laws

Since most of these New York sexual harassment law changes don’t take effect immediately, employers have some time to prepare. For many, the biggest project will be complying with the new policy and training requirements. Even employers who already provide anti-harassment training to their employees will have to review the model policies and training programs to make sure they meet the minimum standards.

One thing you can do now is sign up for my email newsletter to make sure you get my updates on these important topics. This will include an announcement about a free webinar once the State issues the model New York sexual harassment materials.