The Rocky Mountain Employer

"The Rocky Mountain Employer has been keeping a close watch on the Federal Trade Commission’s final Non-Compete Clause Rule (the “Rule”), including the U.S. District Court for the Northern District of Texas’s issuance of a preliminary injunction against enforcement of the Rule as against the named plaintiffs to that case (Ryan LLC v. Federal Trade Commission) and the U.S. District Court for the Eastern District of Pennsylvania’s contrary decision upholding the legality of the Rule (ATS Tree Service, LLC v. Federal Trade Commission)."

"The Criminal Division of the Department of Justice has launched a new Corporate Whistleblower Awards Pilot Program, effective August 1, 2024, to enhance corporate accountability and combat corporate crime."

“In its August 2, 2024 motion for summary judgment, plaintiff Colt & Joe Trucking LLC moved for summary judgment in the U.S. District Court for the District of New Mexico to vacate the Department of Labor’s 2024 Final Rule concerning its revised test to distinguish between employees and independent contractors for classification purposes, claiming that the Rule’s economic realities test is vague, arbitrary, and inappropriately expands the coverage of the Fair Labor Standards Act to potentially encompass workers who nonetheless maintain control over their own work and retain the opportunity for profit.”

“As previously discussed in The Rocky Mountain Employer, since the Federal Trade Commission (“FTC”) issued its final Non-Compete Clause Rule (the “Rule”) on April 23, 2024, the Rule has been the subject of multiple legal challenges across the country, including within the U.S. District Court for the Northern District of Texas where the court enjoined the application and enforcement of the Rule as against the named plaintiffs because it found that the FTC lacked the authority to issues “substantive” rules like the Rule at issue.”

“The Rocky Mountain Employer previously discussed a final rule issued by the National Labor Relations Board, which was previously set to go into effect in early 2024 and which would have significantly lessened the burden of employees and the Board to establish joint employment between two entities for purposes of bargaining obligations and liability for unfair labor practices under the National Labor Relations Act".”

“On July 12, 2024, the United States District Court for the Northern District of California ordered that Mr. Derek Mobley’s employment-related lawsuit against Workday, Inc. could proceed past the pleadings stage—notwithstanding that Workday was not Mr. Mobley’s employer, but rather a developer of an artificial intelligence (“AI”)-based employment and resume screening platform.”

“On July 3, 2024, the U.S. District Court for the Northern District of Texas granted plaintiff Ryan LLC’s and other plaintiff-intervenors’ (including the United States Chamber of Commerce) request for a preliminary injunction against the Federal Trade Commission and its recent Final Rule banning nearly all non-compete agreements, set to go into effect on September 4, 2024.“

“Recently the Equal Employment Opportunity Commission (“Commission”) published Promising Practices for Preventing Harassment in the Construction Industry, outlining practices the Commission identifies as effective means for combatting systemic harassment in the construction industry, and placing greater responsibility on employers to ensure that harassment prevention commitments are met.”

“On May 8, 2024, in the Starbucks Corp. v. McKinney litigation, the United States Supreme Court resolved federal Courts of Appeals' split on the standard that the National Labor Relations Board must satisfy when seeking a federal court preliminary injunction to enjoin the alleged unfair labor practices of employers under Section 10(j) of the National Labor Relations Act.”

“On June 4, 2024, the Eighth Circuit Court of Appeals (the “Eighth Circuit” or “Court”) issued its ruling in Howard v. City of Sedalia where it held that employers need not accommodate employees if the accommodation would also assist a disabled employee off the clock as well.”

“On May 31, 2024, Governor Polis signed into law HB-1130, amending and expanding the reach of the Colorado Privacy Act (“CPA”) by imposing specific requirements on employers regarding their handling of biometric data.”

“On May 17, 2024, Governor Jared Polis signed the Colorado Artificial Intelligence Act (SB24-205, or the “CAIA”) into law, which is intended to prevent or minimize discrimination stemming from the use of artificial intelligence systems.”

“On May 8, 2024, the Colorado General Assembly concluded its 2024 Regular Session, approving 525 bills out of the 705 bills introduced, and with Governor Polis still needing to sign (or veto) approximately 330 bills.“

“Effective July 1, 2024, the U.S. Department of Labor (“DOL”) will increase the minimum salary threshold necessary for exemptions to the Fair Labor Standards Act’s (“FLSA’s”) overtime requirements for executive, administrative, and professional employees—including the salary thresholds for “highly-compensated employees” under the FLSA.”

“On May 2, 2024, the Colorado Court of Appeals (the “court”) issued its decision in Life Care Centers of America v. Industrial Claim Appeals Office, holding that COVID-19--depending on the circumstances—can satisfy the statutory definition of an occupational disease under the Workers’ Compensation Act of Colorado.”

“On April 23, 2024, the Federal Trade Commission (“FTC”) issued its final Non-Compete Clause Rule (the “Rule”), which is set to become effective 120 days after it is published in the Federal Register.“

“On April 15, 2024, the Equal Employment Opportunity Commission (“EEOC”)  released its highly anticipated revised rules (“Final Rules”) regarding interpretation and enforcement of the Pregnant Workers Fairness Act (“PWFA”).”

“On April 17, 2024, the United States Supreme Court issued its decision in Muldrow v. City of St. Louis,[1] and held that an employee alleging that his or her job transfer was discriminatory in violation of Title VII of the Civil Rights Act of 1964 need only show that the transfer left them worse off in order to state a cognizable discrimination claim.”

“On April 1, 2024, the Occupational Safety and Health Administration (“OSHA”) published its final rule regarding who may be designated to represent employees during physical worksite inspections conducted by OSHA Compliance Safety and Health Officers (“CSHOs”), colloquially referred to as the “Walkaround Rule”.“