THIS is how you respond to a group of employees organizing and forming a labor union

Competitive salary. Excellent benefits. Great support from management. Collaborative environment. Those are a few of the glowing terms reviewers use to describe Costco on Glassdoor. They are also what help the warehouse club earn a regular spot on Glassdoor's "Top 100 Places to Work" annual report.

Why, then, did a group of Costco workers at one of its stores "overwhelmingly" vote to unionize, making it the Teamsters' first organizing victory at the big-box wholesale retailer in more than 20 years?

Discussing a couple of pay deductions for service-industry employees

Consider the following two policies, which restaurants and bars have implemented to save a few nickels against their tight margins:  

“Effective Jan. 1, we will begin implementing a tip refund for credit card processing fees for all gratuities left on a customer’s credit card; 2.5% will be deducted from your final check-out for each such gratuity paid.” 

 -and- 

“The full value of the check from which a patron flees the facility (‘dines and dashes’) will be deducted from the server’s paycheck.”  

Each of these policies is 100% legal under federal wage and hour laws. (Check your state laws, however, which may differ.) 

’Twas the Employment Law Night Before Christmas (2023 edition)

In what has become an annual tradition for my final post of the year, I bring you the holiday classic, 'Twas the Employment Law Night Before Christmas … tweaked for 2023.

To all of my readers, connections, and followers, new and legacy, thank you all for reading, commenting, and sharing throughout the year. Please have a happy and, most importantly, healthy and safe holiday season. I'll see everyone on January 2, 2024, with new content, including a fresh batch of Worst Employer nominees, to kick off the new year.

Announcing 2023’s Worst Employer

The votes have been counted. The WINNER of The Worst Employer of 2023 is...

🏆 The Child Labor Abuser 🏆

This is what it looks like to kick a business while it’s down

Last week, Corky & Lenny's, a deli that has been a local institution for the past 67 years, closed its doors. The owners cited staffing shortages and burnout as the primary causes.

Just three days later, one of its former employees filed a collective action lawsuit under the Fair Labor Standards Act for unpaid wages against the business and its owners. The named plaintiff, who worked as a server at the restaurant, claims that the business automatically deducted 30 minutes per shift for lunch for all non-exempt employees regardless of whether they took their lunch breaks or worked through them. She further claims that the business no longer had any method for employees to report days on which they did not take a lunch break, and otherwise ignored complaints of unpaid wages.

Denying gender-affirming health care to transgender employees is unlawful discrimination

Morgan Mesi, a transgender man, has just sued his former employer, Tenzing Wine & Spirits, along with his labor union and group health plan, claiming that they discriminated against him because of his sex by denying medical insurance coverage for gender-affirming care.

To me, Bostock v. Clayton Cty. clearly resolves this issue. In Bostock, SCOTUS held that Title VII's prohibition of sex discrimination also prohibits discrimination because of an employee's sexual orientation or gender identity. Indeed, Bostock could not have been clearer regarding the treatment of transgender employees: "[a]n individual's … transgender status is not relevant to employment decisions."

WIRTW #699: the “Mackrell” edition

One of my primary business development goals for 2023 was for Wickens Herzer Panza to join a law firm network.

Mission accomplished!

WHP is the new Ohio member firm for Mackrell International. MI is a strongly connected, vetted, and trusted network of more than 4,500 lawyers across 90+ independent law firms and 170+ offices worldwide. Instantly, WHP transforms from a stalwart mid-size local firm to an international conglomerate with access to thousands of trusted lawyers across the country and around the globe.

We at WHP couldn't be more excited for what this new relationship means to us and our clients. Becoming part of the MI family and expanding our platform outside of our state to a national and international scale significantly adds to our capabilities and our ability to service our clients.

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Here's what I read this week that you should read, too.