Disability Accommodation No Longer “Medically Necessary” in Washington

December 29th, 2010

In a decision last week, Johnson v. Chevron, the Washington State Court of Appeals held that an employee was not required to prove that his disability accommodation was “medically necessary” to enable him to perfrom his job.  Johnson had sued the employer, asserting state law claims for race discrimination (disparate treatment) and disability discrimination (disparate treatment and failure to reasonably accommodate).  The trial court granted summary judgment in the employer’s favor on Johnson’s accommodation claim, and the employer prevailed after a jury trial on the remaining claims.  

The Appeals Court reversed concluding that: 1) “[t]he evidence was sufficient for a jury to find either that Johnson’s impairment had a substantially limiting effect on his ability to perform his job, or that the evidence, including medical documentation, established a reasonable likelihood that engaging in job functions without accommodation would aggravate the impairment to the extent that it would become substantially limiting[;]” and 2) the trial court had erred when it instructed the jury that Johnson was required to produce comparator evidence in support of his disparate treatment claims. 

Importantly, the Court of Appeals rejected the proposition that Johnson was required to show that accommodation was “medically necessary” to enable him to perform his job.  The Appeals Court ruling states that the 2007 statutory changes, which retroactively revised the Washington Law Against Discrimination’s definition of “disability” for accommodation purposes supersede, the “common law definitions” used in earlier WA disability case law, and that:

“‘Medical necessity’ is no longer the sole basis for a right to accommodation.  Under the new statute, either the impairment must be the source of a substantial limitation or there must be medical documentation indicating a reasonable likelihood that engaging in the job duties without accommodation ‘would aggravate the impairment to the extent that it would create a substantially limiting effect.’”

This decision runs afoul of earlier Washington case law including Hill v. BCTI Income Fund-I, 144 Wn.2d 172, 194 (2001) and Pulcino v v. Federal Express Corp., 141 Wn.2d 629, 640 (2000).  I suspect this case will be appealed by Chevron to our State Supreme Court.  For the full decision, see: http://case.lawmemo.com/wa/johnson.pdf .

Please Note:  This Blog is made available by the lawyer publisher for educational purposes only as well as to give information and a general understanding of the law, not to provide specific legal advice.  By using this Blog site you understand that there is no attorney client relationship between you and the Law Office of Elizabeth Van Moppes.  The Law Office of Elizabeth Van Moppes is not in control of the linked sites and is not responsible for the contents of any linked site.  This Blog should not be used as a substitute for competent legal advice from a licensed professional attorney in your state.  Elizabeth Van Moppes is licensed to practice law in the State of Washington only.

Season’s Greetings!

December 25th, 2010

“Blessed is the season which engages the whole world in a conspiracy of love!”  – Hamilton Wright Mabie

To my clients and my colleagues, thank you for your trust and your business this year.  May your holiday season and your New Year be wonderful and bright.

The definition of independent contractors in Washington State is in the wind…

December 23rd, 2010
 
The Washington State Court of Appeals has tackled a case of first impression in their decision on a 2004 case, Anfinson v. FedEx.   The issue involves the definition of an “independent contractor” under the State’s Minimum Wage Act (MWA). 

In 2004, a class action lawsuit was filed against FedEx in King County Superior Court alleging that FedEx misclassified 320 pick-up and delivery drivers as independent contractors.  These drivers worked for the FedEx Home Delivery and FedEx Ground divisions between December 2001 and December 2004.  After a four week trial in March, 2009, the jury returned a verdict for FedEx, finding that the drivers were independent contractors.  The drivers appealed and, on December 20, 2010, the Court of Appeals issued a 40-page decision reversing the judgment against the drivers and remanding the case back to the trial court for further proceedings.  The Appeals Court found that several of the key jury instructions were legally wrong.

Specifically, the Court held that the Fair Labor Standards Act (FLSA) ”economic realities” test applies because the Washington MWA is modeled on the FLSA.  The specific “economic realities” test that the Court of Appeals used is the 6-factor test used by the majority of federal circuits, which includes the degree of the alleged employer’s “right of control” over the alleged employee as merely one of the 6 factors, not the most important factor. 

The Court expressly rejected the use of Washington tort law for purposes of determining whether someone is an “employee” under Washington’s MWA.  It stated that ”the purpose of the distinction between an employee and an independent contractor is … substantially different in these two areas of law.  While the common law ‘right to control’ test was developed to define an employer’s liability for injuries caused by his employee, the purpose of the MWA is to provide remedial protections to workers.”

The Court also addressed several other instructional issues, including how one proves liability to a class under the Washington MWA, and whether the commonality standard used at the class certification has any remaining relevance at the trial phase.  In short, FedEx’s victory was reversed and the case is being remanded for a new trial.  The entire decision can be read here:  http://case.lawmemo.com/wa/anfinson.pdf 

It is expected that FedEx will seek review of this decision by the Washington Supreme Court.  Stay tuned…
 
Please Note:  This Blog is made available by the lawyer publisher for educational purposes only as well as to give information and a general understanding of the law, not to provide specific legal advice.  By using this Blog site you understand that there is no attorney client relationship between you and the Law Office of Elizabeth Van Moppes.  The Law Office of Elizabeth Van Moppes is not in control of the linked sites and is not responsible for the contents of any linked site.  This Blog should not be used as a substitute for competent legal advice from a licensed professional attorney in your state.  Elizabeth Van Moppes is licensed to practice law in the State of Washington only.

New Year’s Resolution Time

December 22nd, 2010

It’s that time of year, time to make your New Year’s resolutions.  When you’re looking at the needs of your business and your clients’ businesses, do not forget the importance of respect and professionalism training for your staff and your managers. 

Companies that incorporate a consistent diversity training program and advocate diversity in the workplace experience valuable benefits such as:

    ♦ Higher employee retention rates,

    ♦ Improved employee (individual and team) performance and morale,

    ♦ Reduced harassment incidences, charges, and discrimination lawsuits, and

    ♦ Improved workplace staffing (diversity recruitment).

 Add respect and professionalism and performance management training to the top of your New Year’s resolution list!

Respect & Professionalism

December 1st, 2010

Last night, I completed training for a Pacific Northwest client with approximately 200 employees.  This endeavor included 12 sessions of Respect and Professionalism training (including 4 in Spanish with the help of an interpreter) and 5 sessions of manager training on Maintaining a Workplace Free of Discrimination, Harassment & Retaliation as well as Performance Management Training.  

In conjunction with these training sessions, I am assisting the client in revising the Company handbook and policies.  It was a pleasure for me to get to work so closely with this client while they tackle some of the big issues facing their workforce. 

Happy Thanksgiving!

November 24th, 2010

“If a fellow isn’t thankful for what he’s got, he isn’t likely to be thankful for what he’s going to get.”  ~Frank A. Clark

Criminal Background Checks, Credit Histories & Hiring

November 15th, 2010

Recent Equal Employment Opportunity Commission (“EEOC”) initiatives are focused on eradicating what the EEOC views as more covert forms of discrimination, such as policies that exclude applicants with bad credit reports or criminal convictions.   In light of this new scrutiny, employers who conduct credit or criminal background checks should make sure that their practices do not give rise to claims of “disparate impact” discrimination by members of protected classes.

EEOC Guidance on Criminal Background Checks

EEOC guidance provides that a blanket exclusion of individuals from employment due to a criminal record violates Title VII of the Civil Rights Act of 1964, unless the policy is consistent with business necessity or otherwise required by law.  The EEOC has previously found that employment decisions based on this type of criteria disproportionately exclude African-American and Hispanic applicants.  As a result, the EEOC has also stated that employers should not consider arrests, but only convictions.

If an applicant is excluded from employment because of a previous conviction, the EEOC calls for consideration of three factors: (1) the nature and gravity of the offense; (2) the time that has passed since the conviction and/or completion of the sentence; and (3) the nature of the job held or sought.

Use of Credit Information in Employment Decisions

The EEOC is also evaluating the common hiring practice of checking the credit history of applicants.  In October of 2010, the EEOC held a public Commission meeting on the use of credit histories in the employment selection process.  At this meeting, representatives of civil rights groups cited studies showing racial minorities and women tended to have lower credit scores than non-Hispanic white males.  These groups emphasized studies that show little correlation between “bad credit” and job performance.  Thus, a blanket exclusion of applicants with “bad credit” may have a disparate impact on protected groups, without being justified by business necessity.  This would violate Title VII.

Employer representatives emphasized the use of credit histories as part of mandatory background checks for jobs that involve access to customer and company money.  These same speakers noted that credit reporting agencies do not reveal actual credit scores to potential employers, but rather a narrative of the individual’s credit history.  Finally, proponents of credit checks argued that no research has shown a relationship between use of credit reports and a disparate impact on minority job opportunities.  The statements of the panelists at the October 2010 Commission meeting, along with their biographies, can be found on the EEOC’s website.  http://www.eeoc.gov/eeoc/meetings/10-20-10/index.cfm

While the EEOC has no immediate plan of action on these issues, it reiterated that employers should ensure that any use of credit history in the employment process be entirely job-related.

Please Note:  This Blog is made available by the lawyer publisher for educational purposes only as well as to give information and a general understanding of the law, not to provide specific legal advice.  By using this Blog site you understand that there is no attorney client relationship between you and the Law Office of Elizabeth Van Moppes.  The Law Office of Elizabeth Van Moppes is not in control of the linked sites and is not responsible for the contents of any linked site.  This Blog should not be used as a substitute for competent legal advice from a licensed professional attorney in your state.  Elizabeth Van Moppes is licensed to practice law in the State of Washington only.

“You cannot plough a field by turning it over in your mind.” ~ Anon.

October 20th, 2010

Independent Contractors: There will be blood.

October 19th, 2010

The correct classification of independent contractors has become an increasingly hot topic in the employment law arena.  In Washington State, we have seen an increased interest in the issue from Labor & Industries.  It seems they have found a new pipeline for income with investigations, and resulting fines, into classification issues.  Many employers classify workers as independent contractors without realizing that there are certain characteristics neccessary to such a classification.  These employers are also unclear on the costs (read: fines) associated with misclassification. 

A recent blog post in Forbes on-line magazine aptly illustrates the host of issues involved as well as some of the political fall out.  Robert Wood, a tax lawyer with Wood & Porter in San Francisco, writes:

“Employers have big incentives to treat workers as independent contractors: avoid income tax withholding, Social Security taxes, workers compensation, unemployment insurance, even liabilities to third-parties.  Plus, you can steer clear of liability for tax-favored pension and fringe benefit plans and a whole pile of federal and state labor and employment laws.  Many companies go out of their way to classify workers as independent contractors, but such arrangements can be scrutinized and lines often blur.  Classically, employees go to work at set hours while independent con­tractors determine their own. 

Employees follow orders, while independent contractors work in the manner they prefer.  Employees receive regular paychecks while independent contractors are paid by the job.  Employees work year-round, while independent contractors are temporary. Employers have control over the actions of employees, while the method, manner, and means of production are left to independent contractors. 

Of course, these are archetypes.  Real-life fact patterns are rarely so clear and therefore require analysis.  The IRS and a variety of state and federal agencies make these determin­ations.  In fact, a worker can be an employee for one purpose and an independ­ent contractor for another.”

For more on Wood’s article, including a good list of additional articles on the issues, go to http://blogs.forbes.com/robertwood/2010/09/17/white-house-on-contractor-vs-employee-there-will-be-blood/ . 

Please Note:  This Blog is made available by the lawyer publisher for educational purposes only as well as to give information and a general understanding of the law, not to provide specific legal advice.  By using this Blog site you understand that there is no attorney client relationship between you and the Law Office of Elizabeth Van Moppes.  The Law Office of Elizabeth Van Moppes is not in control of the linked sites and is not responsible for the contents of any linked site.  This Blog should not be used as a substitute for competent legal advice from a licensed professional attorney in your state.  Elizabeth Van Moppes is licensed to practice law in the State of Washington only.

“Work is Key to the Soul.”

October 17th, 2010

I recently saw a television advertisement for this organization: Think Beyond the Label | Evolve Your Workforce.  Their website, www.thinkbeyondthelabel.com, says that they are ”committed to making the business case for employing people with disabilities.” 

“Our goal is simple: to raise awareness that hiring people with disabilities makes good business sense. Employees with disabilities have unique, competitively relevant knowledge and perspectives about work processes, bringing different perspectives to meeting work requirements and goals successfully. Hiring someone who ‘thinks outside the box’ might be thinking too small when there’s an opportunity to hire someone who lives outside the box.” 

The EEOC recently celebrated 20 years since the enactment of the Americans with Disabilities Act. One quote from the article stuck with me:  “Work is key to the soul.”  Chai Feldblum, the EEOC Commissioner, is quoted as saying that work is not just about paying bills.  “It’s about feeling important, about feeling useful.”  http://www.eeoc.gov/eeoc/newsroom/release/7-22-10.cfm 

Anyone who ever met my cousin would understand this sentiment first hand.  She was born with a host of physicial disabilities: legally blind, legally deaf, dwarfism, you name it.  For more than 15 years, she has worked part-time at her local library alphabetizing and organizing.  This job, which some would deem unimportant, means everything to her.  The idea of missing a day of work is inconceivable to her.  Work gives her purpose. 

Many employers panic when it comes to handling issues related to employees with disabilities.  The reality is that the multitude of laws surrounding disabilities, accommodations and leave are daunting.  That said, I have witnessed many a success story involving an employer who took the time and the heart to work with a disabled employee.  This website has pages devoted to such stories.  They have a page devoted to debunking the myths associated with hiring individuals with disabilities.  They also have a page devoted to the “Business Case” for hiring individuals with disabilities.  Additionally, they have an informatin page related to the tax incentives for businesses who employee people with disabilities:  http://www.thinkbeyondthelabel.com/Learning-Tools/TaxIncentivesTipSheet.aspx .

My cousin is an inspiration to me.  She reminds me to value my good fortune and that my good fortunhe includes my abilitiy to work and be a productive member of society.  I believe she has that impact on everyone she meets.  Her very presence at the local library breaks down the barriers and the myths of working with individuals with disabilities.