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News Notes: Medicare Fraud Whistleblower Gets Over $34 Million

A recent case provides a dramatic example of how great the financial incentive can be for employees to blow the whistle on their employer. Donald McLendon, a former health care executive, will receive over $34 million for giving the government information about unlawful billing and fraud by his former employer Olsten Corp. and hospital giant […]

News Notes: Mandatory Employee Furloughs Require Caution

With the economic slowdown, if you’re tempted to ask employees to take time off to cut costs and avoid layoffs, you probably won’t have legal problems with nonexempt, nonunion employees, but use caution when it comes to exempt workers. Under the wage and hour laws, you can’t dock the pay of exempt employees, because they […]

News Notes: Classification Mistakes Prove Costly For Employers

Several large employers have recently run into expensive problems over the practice of handing out assistant manager titles, allegedly to avoid paying overtime to employees who perform largely the same work as nonexempt personnel. Workers are calling such tactics unfair labor practices and are suing for back overtime pay and damages. Two such cases are […]

News Notes: Retirees Sue Pacbell Over Severance Plan

In a recent decision, the Ninth Circuit Court of Appeals has given six former PacBell employees the green light to sue on charges that the company induced them to accept an early retirement package by not disclosing that it was considering offering a better severance program. The court rejected PacBell’s claim that it had no […]

News Notes: Employers’ Snooping Impacts Internet Privacy

A recent survey by the American Management Association shows that employers are stepping up their monitoring of employees’ Internet use, with 61% of employers reporting that they monitor Web surfing and 46% stating they keep tabs on e-mail. And some employers are going even further when it comes to trying to track down the identity […]

Electronic Communications: Why Employer’s Unauthorized Monitoring Of An Employee’s Private Web Site Spelled Trouble

Current and former employees are increasingly bad-mouthing their companies by posting negative and possibly defamatory comments about their employers on the Internet. And some employers have gone to great lengths to find out who is responsible. With layoffs on the upswing, employer-bashing is likely to grow as the number of disgruntled workers increases. Now a […]

Noncompete Agreements: You Can Now Be Sued For Firing A Worker Who Refuses To Sign A Noncompete Agreement

Agreements that prohibit an employee from competing with you after leaving your employment are usually illegal. That’s because contracts that prevent someone from engaging in a lawful occupation are against public policy and are void in California. Now a California Court of Appeal has ruled that you can be sued for making it a condition […]

Whistleblowers: Employer Ordered To Pay $1.3 Million For Retaliating Against Complaining Worker; How To Prevent Whistleblower Lawsuits

Margaret Gardenhire was an eligibility interviewer for the Housing Authority of Los Angeles. She received outstanding performance ratings and promotions, and had even been named employee of the year. But after Gardenhire reported suspected illegal activity by a Housing Authority consultant, her performance rating plummeted and her boss threatened to fire her. She sued, and […]

Accommodating Disabled Employees: New Case Says Union Contract Doesn’t Have To Bend To ADA Accommodations; Tips On Avoiding Problems

Last year, the federal Ninth Circuit Court of Appeals ruled that under the Americans with Disabilities Act, a seniority system must give way to accommodations unless they cause an undue hardship. The case involved an employer-created seniority system, but it left open the question of its application to seniority provisions contained in union contracts. Now, […]