Labor and Employment Law Commons^™

Focusing The Multifactor Test For Employee Status: The Restatement’S Entrepreneurial Formulation, Michael C. Harper

Faculty Scholarship

The American Law Institute’s twenty-first century mission to restate for the first time American employment law carried the responsibility to provide more clear guidance on the law’s critical distinction between employees and independent contractors. This distinction delineates the scope not only of federal employee protection and benefit statutes, but also of employee protections and benefits conferred by state statutory and common law.

A Restatement of Employment Law, however, like any Restatement, could not formulate clearer or otherwise more desirable doctrine from the whole cloth of the views and values of the Reporters or the ALI membership. The Restatement could not …

Foreword: The Restatement Of Employment Law Project, Samuel Estreicher, Matthew T. Bodie, Michael C. Harper, Stewart J. Schwab

Faculty Scholarship

After over a dozen years of work, the American Law Institute (ALI or Institute)'s Restatement of Employment Law has been completed. The membership of the ALI, the nation's leading private organization dedicated to clarifying and improving the law, approved the proposed final draft, subject to editing, at its May 2014 annual meeting. The final edits are done and the volume is now available both electronically and as a book to practitioners, judges, scholars, and law libraries around the country and world.

We have had the honor to serve as Reporters for the Restatement of Employment Law and are pleased to …

Fashioning A General Common Law For Employment In An Age Of Statutes, Michael C. Harper

Faculty Scholarship

In the current post-Erie age of statutes the Supreme Court continues to have potential influence over the development of a “general” common law used to decide recurring issues governed by state law. This influence, which has drawn little commentary, derives from the Court’s authority to consider analogous issues when filling gaps in federal statutes, sometimes through express reliance on general common law. The influence is through the power to persuade, like that of the federal judiciary in its general common lawmaking age of Swift, rather than through the power to command, like that of the federal judiciary in the formulation …

Civil Disabilities In An Era Of Diminishing Privacy: A Disability Approach For The Use Of Criminal Records In Hiring, Andrew Elmore

Faculty Scholarship

An evaluation of normative and legal frameworks to encourage the employment of people with criminal convictions is in order. While current approaches are likely to eliminate overbroad initial hiring screens, there remains the unfinished project of reintegrating persons with criminal convictions into the workforce. For this, policy tools are needed to discourage the misuse of irrelevant criminal convictions and to encourage a contextualized evaluation of criminal convictions and the fair consideration of applicants’ qualifications separate from them.

This Article proposes a disability normative and legal framework as a useful approach to guide this analysis. Disability laws first consider the privacy …

Toil And Technology: Innovative Technology Is Displacing Workers To New Jobs Rather Than Replacing Them Entirely, James Bessen

Faculty Scholarship

At the Quiet Logistics distribution center north of Boston in the United States, a robot lifts a shelf and transports it through the warehouse to a workstation. There, an employee picks an item from the shelf and places it in a shipping box. Each robot in the distribution center does the work of one and a half humans.

Robots and other technologies are transforming supply chains, tracking items from source to consumer, minimizing shipping time and cost, automating clerical tasks, and more. But are they eliminating the need for human workers, leading to persistent technological unemployment?

Class-Based Adjudication Of Title Vii Claims In The Age Of The Roberts Court, Michael C. Harper

Faculty Scholarship

This article considers two barriers to class-based adjudication of Title VII claims erected by the Roberts Court: (1) the Court's interpretation of Rule 23, primarily in Wal-Mart v. Dukes; and (2) the Court's interpretation of the Federal Arbitration Act (FAA) in a series of decisions, both employment-related and not. The article contends that it is the latter group of decisions that are the more significant for Title VII private aggregate litigation as well as for other types of private litigation. The Wal-Mart Court predictably did not expand an employer's obligations to avert discrimination by its agents, and its predictable interpretations …

Incorporating Rights: Child Labor In African Agriculture And The Challenge Of Changing Practices In The Cocoa Industry, Erika George

Faculty Scholarship

Millions of children around the world are working.¹ Many youth are fortunate to enjoy age-appropriate employment and learn valuable skills through work. Unfortunately, too many children labor under abusive conditions-some are trafficked, others are enslaved . These unfortunate children are denied the opportunity to enjoy the fundamental human rights essential to their development and guaranteed under international law.

This essay offers an overview of the issues associated with child labor eradication, a review of the legal instruments regulating the work of children, and an assessment of recent initiatives to address the worst forms of child labor in the cocoa …

In Good Company: How Corporate Social Responsibility Can Protect Rights And Aid Efforts To End Child Sex Trafficking And Modern Slavery, Erika George, Scarlet R. Smith

Faculty Scholarship

The principal contribution of this Article is to show that, in many cases, the private sector, in cooperation with law enforcement, can initiate and implement policies that help increase the likelihood that buyers and traffickers are caught ultimately making access to child sex workers more difficult. Most commentary regarding child sex trafficking focuses on the failures of local law enforcement to find a solution. However, this Article argues that the private business sector can effectively supplement the efforts of law enforcement, nongovernmental organizations, and international human rights initiatives to protect exploited children. In Part I, this Article first introduces the …

Central Falls Retirees V. Bondholders: Assessing Fear Of Contagion In Chapter 9 Proceedings, Maria O'Brien

Faculty Scholarship

Modern Chapter 9 litigation has been characterized by extraordinary protections for municipal bondholders, and Central Falls is no exception. Although not well understood by politicians, fear of contagion has encouraged the adoption of legal arrangements that have limited the bankruptcy courts’ ability to include bondholders in the cost of restructuring municipal debt. This preference for bondholders (and, by extension, their insurers) has meant increased misery for taxpayers and retirees. Given that all of these actors appear to have been complicit to some degree in the creation and maintenance of the fiscally imprudent conditions that triggered bankruptcy and that evidence of …

More Hair-Raising Decisions, And How Professor Wendy Greene Combs Through Their Flaws, Angela Onwuachi-Willig

Faculty Scholarship

If you are looking for an interesting and timely employment discrimination article to read, please consider Black Women Can’t Have Blonde Hair . . . in the Workplace, by Professor Wendy Greene of Cumberland, Samford University, School of Law. In that article, Professor Greene builds upon the work that she began in her article Title VII: What’s Hair (and Other Race Based Characteristics) Got to Do With It¹ where she argued that characteristics that are commonly associated with a particular racial or ethnic group should fall under Title VII’s current protected categories of race, color, and national origin. …

The Uncertain Impact Of Wal-Mart V. Dukes, Michael Harper

Faculty Scholarship

It has been less than two years since the Supreme Court’s controversial decision in Wal-Mart v. Dukes, 131 S.Ct. 2541 (2011). During this short period the Court’s opinion has been interpreted by numerous lower courts. It also, not surprisingly, has been the subject of a substantial amount of commentary in law reviews and numerous proposals for legislative reform to restore a promise of class action challenges to employment discrimination that the Dukes decision allegedly shattered. Drawing from this commentary, I would choose these two very different articles as useful guides for tracking the impact of Dukes on employment discrimination class …

Zappers & Employment Tax Fraud, Richard Thompson Ainsworth

Faculty Scholarship

Beyond the grey area of worker misclassifications and general employment tax irregularities there are darker employment relationships where workers are intentionally paid in cash “off-the-books” or “under-the-table.” Grey employment relationships present civil enforcement issues that may become criminal; darker-relationships are criminal from the beginning. Zappers are found on the dark side.

Zappers are fraud-technologies that automatically (and remotely) skim cash from electronic cash registers (ECRs) or back room point of sales (POS) systems. Globally, tax auditors are finding that Zappers frequently provide the cash that is used to compensate “under-the-table” workers. In fact, a Zapper appears to be at the …

Incorporating Rights: Empire, Global Enterprise, And Global Justice, Erika George

Faculty Scholarship

This Article traces the history and evolution of corporate responsibility under international law to contextualize the developing discourse on business and human rights. It explores the role of private industry in contributing to colonial expansion, slavery, and conflict, and examines the advocacy efforts of abolitionists, anti-imperialism activists, and peace movements to craft reforms and create norms to control corporate conduct. First, the Article outlines the challenge that regulating private commercial power presents for a system of public international law premised on the sovereign power of states. Then, using the example of colonial era European charter companies the Article offers a …

First Amendment Protection For Union Appeals To Consumers, Michael C. Harper

Faculty Scholarship

This article explains why decisions of the National Labor Relations Board under President Obama holding non-picketing secondary appeals to consumers not to be illegal under the National Labor Relations Act were necessary under a 1988 decision of the Supreme Court, Edward J. DeBartolo Corp. v. Florida Gulf Coast Building & Construction Trades Council. The article also explains why both the Supreme Court decision and the Board’s recent decisions were compelled by the first amendment and could not be based on the language of § 8(b)(4)(ii)(B) of the National Labor Relations Act as interpreted by the Court in other cases. The …

Placing British Employment Law In Context, Michael Harper

Faculty Scholarship

It is probably fair to generalize that the best American legal scholarship in the fields of labor, employment, and employment discrimination law has found little inspiration in the study of comparative law. Hugh Collins’s analytic and insightful but succinct overview of British employment law — republished in 2010 in a second edition to account for significant developments in response to European Union law — should teach any perceptive American reader that this need not be the case. This two hundred sixty page volume demonstrates that studying how other developed countries have addressed common issues presented by the employment relationship …

Reforming The Age Discrimination In Employment Act: Proposals And Prospects, Michael C. Harper

Faculty Scholarship

This article argues that the Age Discrimination in Employment Act (ADEA) should be amended to provide it with the same procedural and substantive strengths Congress has provided Title VII. The article highlights four gaps between the ADEA and Title VII: damage remedies; class actions; defenses to disparate impact actions; and causation standards for disparate treatment actions. The article also advocates other modifications of the ADEA to encourage the employment of older Americans. The article recommends compelling employers to retain productive incumbent older workers, regardless of the compensation previously promised experienced workers. It also recommends considering allowing employers to hire older …

Combating Moral Hazard: The Case For Rationalizing Public Employee Benefits, Maria O'Brien

Faculty Scholarship

The current crisis in public employee benefits is a fairly conventional moral hazard story about overly generous promises made by both private sector employers and politicians spending public dollars. The private sector, forced by the Financial Accounting Standards Board (FASB) in 1993 to confront the true cost of promises made to future retirees, dealt with the newly discovered debt in a number of ways, including the termination of defined benefit plans which were quickly replaced by defined contribution plans. The public sector was also forced to confront its own largesse with the implementation of GASB 45 which focused careful attention …

The Obama Effect: Specialized Meanings In Anti-Discrimination Law, Angela Onwuachi-Willig, Mario Barnes

Faculty Scholarship

In this Article, we explore the proclamations that have been made about an emerging “post-racial” society within the context of workplace anti-discrimination law. Specifically, as the title of our panel for this symposium asks, we inquire: What is the significance of having a biracial, black-white president (or more specifically, the first self-identified black president) to the enforcement of antidiscrimination law? What impact, if any, has President Barack Obama’s campaign for the presidency and election as president had on discrimination in the workplace? Based in part on our review of discrimination cases in which President Obama’s name has been invoked—in most …

Will Cutting The Payroll Tax Increase Jobs In The U.S.? Empirical Evidence From The Eu Vat, Richard Thompson Ainsworth

Faculty Scholarship

Red Ink Rising, the Peterson–Pew Commission on Budget Reform’s report presents the country with a fiscal/employment dilemma – Congress must act immediately to stem the federal debt, but it must move carefully lest it harm employment in the fragile economy. In short, we must act fast and slow – we must decrease the debt and increase employment. This is a difficult task.

The Peterson-Pew dilemma (notably its jobs-creation aspect) was taken to heart by both of the reform commissions that issued reports soon thereafter (National Commission on Fiscal Responsibility and Reform, The Moment of Truth and The Debt Reduction Task …

Eliminating The Need For Caps On Title Vii Damage Awards: The Shield Of Kolstad V. American Dental Association, Michael C. Harper

Faculty Scholarship

After recounting the legislative history of the Civil Rights Act of 1991, this article reconsiders the legislative compromise that allowed in this Act for capped compensatory and punitive damages as remedies for Title VII violations. This reconsideration is made in light of the Court’s decision in Kolstad v. American Dental Association, granting employers protection from a punitive damage remedy if they can demonstrate a good faith effort to comply with the Act. The article argues that this holding obviates the need for damage cap protection of innocent employers. It does so by enabling employers to shield themselves from the threat …

Sprawl, Family Rhythms, And The Four-Day Work Week, Katharine B. Silbaugh

Faculty Scholarship

We evaluate the four-day work week against the background of other institutional and social practices and constraints. But we fix these other variables when considering the value of this work reform. For example, workers enjoy the commute time and expense savings associated with a four-day week. These savings would mean little if the commutes in question were negligible. Therefore, the value of the four-day work week depends in part on the social history that gave us increasingly substantial commutes. This Article seeks to highlight some of the institutional practices that influence the adoption of a four-day work week, particularly those …

A New Board Policy On Deferral To Arbitration: Acknowledging And Delimiting Union Waiver Of Employee Statutory Rights, Michael C. Harper

Faculty Scholarship

This article considers the extent to which the National Labor Relations Board should defer in its protection of statutory rights to the private arbitration process under collective bargaining. The article explains and criticizes the theory of implied union waiver advanced by the District of Columbia Circuit Court of Appeals under the leadership of Judge Harry Edwards. It posits a reformulation of Board deferral doctrine for waivable substantive rights. The article also consider the relevance of the Supreme Court’s 2009 decision in 14 Penn Plaza, LLC v. Pyett to Board deferral to arbitration in cases involving § 7 rights that are …

Complimentary And Complementary Discrimination In Faculty Hiring, Angela Onwuachi-Willig

Faculty Scholarship

This Article focuses on one form of discrimination in faculty hiring. Specifically, this Article concentrates on discrimination against the "overqualified" minority faculty candidate, the candidate who is presumed to have too many opportunities and thus gets excluded from faculty interview lists and consideration. In so doing, this Article poses and answers the question: "Can exclusion from interviewing pools and selection based upon the notion that one is just 'too good' to recruit to a particular department constitute an actionable form of discrimination?" Part I of this Article begins by briefly reviewing the changes in faculty diversity and inclusion at colleges …

Virtual Intermediaries Ii - Canadian Solutions (Drop Shipments) Compared With Us, Japanese & Eu Approaches, Richard Thompson Ainsworth

Faculty Scholarship

Virtual travel agents are opportunistic internet-based travel agents. They are intermediary businesses that create mutually beneficial three-party transactions that secure accommodations for a traveler that: (a) meet the basic needs of the traveler (at a discount), (b) fills vacant room for accommodation retailers with guests that pay below market, but above standard costs, and (c) profit from the extra cash, the margin in the transaction.

The virtual intermediary’s eye is always on the discount and the cash flow. One of the things that catches their attention are the accommodation taxes which they collect from the traveler in advance and remit …

Accounting For Productivity Growth When Technical Change Is Biased, James Bessen

Faculty Scholarship

Solow (1957) decomposed labor productivity growth into two components that are independent under Hicks neutrality: input growth and the residual, representing technical change. However, when technical change is Hicks biased, input growth is no longer independent of technical change, leading to ambiguous interpretation. Using Solow's model, I decompose output per worker into globally independent sources and show that technical bias directly contributes to labor productivity growth above what is captured in the Solow residual. This contribution is sometimes large, generating rates of total technical change that substantially exceed the Solow residual, prompting a reinterpretation of some well-known studies.

Judicial Control Of The National Labor Relations Board's Lawmaking In The Age Of Chevron And Brand X, Michael C. Harper

Faculty Scholarship

This article analyzes and applies to Labor Board decision making the Court’s oft-cited 1984 decision in Chevron U.S.A. v. Natural Resources Defense Council. The article argues that judicial review of Board decision making under Chevron, though limited, can still be sufficiently meaningful to control excessive shifts in Board lawmaking criticized by many commentators. The article explains why recent Supreme Court decisions reject any distinction between two theoretically distinct forms of agency discretionary lawmaking – (1) lawmaking through construction of the direct force of an ambiguous statute: and (2) lawmaking through the elaboration of law beyond that which is embodied in …

Egalitarianism And Exclusion: U.S. Guest Worker Programs And A Non-Subordination Approach To The Labor-Based Admission Of Nonprofessional Foreign National, Andrew Elmore

Faculty Scholarship

Comprehensive immigration reform has been a top legislative priority for the last several years, and recent bills have contemplated the expansion of guest worker programs to adjust the status of undocumented immigrants and to control the future migrant flow. While there is a broad consensus that the current immigration system is broken, there is sharp disagreement about whether it is wise public policy to expand labor-based admissions in order to provide nonprofessional foreign nationals with an authorized means to migrate. This Article contributes to this debate by examining current guest worker programs, and recommends their reform through a “non-subordination” approach …

Introduction, David J. Seipp

Faculty Scholarship

Have we come to bury Lochner, or to praise it? Lochner v. New York,' decided 100 years ago, gave its name to an era in which judges struck down popular statutes that regulated hours, wages, and conditions of work, on grounds that such labor regulations violated a constitutional liberty of contract. After 1937, Lochnerism and Lochnerizing were more or less uniformly condemned by judges and law professors alike. Recently, some scholars have tried to resurrect the Lochner approach, presumably as a way to render much of the twentieth-century regulatory state unconstitutional.

Same Sex Marriage And Its Implications For Employee Benefits: Proceedings Of The 2005 Meeting Of The Association Of American Law Schools Sections On Employee Benefits, And Sexual Orientation And Gender Identity Issues, Maria O'Brien, Constance Hiatt, Shannon Minter, Teresa S. Collett

Faculty Scholarship

Professor Maria O'Brien Hylton*: Welcome to this session on "Same Sex Marriage and its Implications for Employee Benefits." I'm Maria Hylton and I will introduce our speakers and moderate the program.

Our first speaker is Constance Hiatt, who is a partner with the Hanson Bridgett law firm here in San Francisco. She represents mostly large employers and large employee benefit plans, including the State of California's 401(k) and 457 plans as well as the University of California's benefits office. So, she has extensive experience in the employee benefits area and she came to us, to me really, through several …

Market Symmetry And The Tax Efficiency Of Equity Compensation, David I. Walker

Faculty Scholarship

At first blush, the deferral of employee income recognition associated with equity compensation appears to provide a tax advantage in a rising market but an offsetting disadvantage in a declining market. Merton Miller and Myron Scholes argued, however, that this apparent symmetry is misleading and that employees can hedge to ensure tax efficiency despite market uncertainty. This article demonstrates that the effect of employee hedging is fairly small, but that a combination of factors, including capital loss limitations, the possibility of employee-favorable ex post adjustments to equity compensation arrangements, and employee hedging, do cause compensatory stock grants and nonqualified options …