Cheers to the CHEERS Act! 🍻

If today's dysfunctionally fractured Congress can agree on anything on a bipartisan basis, it must be a good idea.

Raise your glass to the Creating Hospitality Economic Enhancement for Restaurants and Servers (CHEERS) Act, which Reps. Darin LaHood (R) and Steven Horsford (D) recently introduced.

The CHEERS Act would provide tax incentives for bars, restaurants and entertainment venues to install energy-efficient keg and tap systems. The goal is to help stabilize and revitalize hospitality establishments, which are still struggling years after the pandemic.

The 4th nominee for the Worst Employer of 2024 is … the repulsive raisin-maker

National Raisin has agreed to pay $2 million to settle an EEOC sexual harassment and retaliation lawsuit that the agency filed on behalf of a class of female agricultural workers, many of whom only speak Spanish.

According to the EEOC's lawsuit, National Raisin subjected its female fruit sorters to "widespread" sexual harassment perpetrated by a male supervisor, which included:

Does DEI training create a hostile work environment?

"You can't force me to sit through DEI training! I'm White. It creates a racially hostile work environment."

That's what one employee recently argued in a racial harassment lawsuit he filed against his employer, a state department of corrections, which had mandated DEI training for all employees.

The 10th Circuit Court of Appeals affirmed the dismissal of this lawsuit, concluding that this training could not constitute a hostile work environment because it only occurred one and lacked any race-based ridicule or insults.

But all is not roses for employers and their efforts to offer DEI training to better their workplaces. 

It’s past time to self-regulate your use of noncompete agreements before the government does it for you

Boston Beer Co., the brewer of Sam Adams and other craft beverages, is taking heat for its overuse of noncompete agreements. In a recent article, the Boston Globe cites examples of several former lower-level Boston Beer employees forced out of the industry they love because of the noncompete agreements their former employer forced them to sign at their time of hire.

Legally speaking, to be enforceable a post-employment restrictive covenant must be narrowly tailored by time, geography, and a reasonable business interest worthy of protection. Yet, like the Boston Beer example, all too often employers require many too many employees to sign overly broad and overly restrictive agreements. It's bullying and a scare tactic. It's also legally unsupportable. And it's also why the federal government and many states are looking at regulatory and legislative solutions to limit their use.

WIRTW #710: the “if it ain’t broke…” edition

If you have a child applying for college this year, you know the pain that we are currently feeling. This year, Congress decided to change the process to apply for federal financial aid. The changes to the FAFSA ("Free Application for Federal Student Aid") were supposed to make applying for financial aid easier. Instead, it has caused delays, uncertainty, and stress. 

Under the former system, students would have already received their offer letters from the colleges and universities to which they had been admitted, including the full breakdown of all financial aid and the net cost of attendance. That "net cost" is what enables us to make apples-to-apples comparisons of schools and to help our high-school seniors make an informed decision about the best academic, social, and financial choice. 

Instead, the Department of Education has struggled to process the information it has received under this new process. As a result, the DOE has not yet even started providing FAFSA information to colleges and universities, which, in turn, are scrambling to assure students that they will know their financial aid packages and cost of attendance before freshman orientation.

Congress, we know how dysfunctional you have become. You can barely agree on what should be your most core function — legislation to keep our government open — let alone meeting our nation's more pressing needs such as funding for Ukraine, immigration reform, or protecting women's productive rights. Then again, given how you've botched what should be the lowest hanging of fruit when you actually do something, I'm not sure you're actually qualified to govern anything.

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

 

It’s long past time to Ctrl-Alt-Del the FLSA

The Fair Labor Standard Act is not a good law because employers have zero hope in complying with it.

I know this fact is true because I just read Bradford v. Team Pizza. In that case, the 6th Circuit rejected both the employer's and the plaintiffs' interpretation of the FLSA and punted the case back to the district court to interpret the statute instead.

Spoliation is BAD

Pro tip: it's really, REALLY bad to destroy evidence in your case.

Case in point: Jones v. Riot Hospitality Group, which the 9th Circuit just decided.