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Article Index » human resources » multinational employers
Report Link Blocks in the Road to Enforcing Foreign Arbitration Clauses in the United States.
Littler Mendelson, P.C. - August 24, 2009
In an unpublished opinion, the U.S. Court of Appeals for the Ninth Circuit in Vedachalam v. Tata America International Corp., No. 08-15521 (9th Cir. July 31, 2009), recently denied a multi-national employer's request to compel arbitration and have its employees' claims heard by an arbitrator in Mumbai, India pursuant to the United Nations Convention on the Recognition and Enforcement of International Arbitral Awards.
Report Link Cross-Border Benefits.
Fisher & Phillips, LLP - August 07, 2009
Foreign companies with U.S. operations should be aware of the compliance requirements imposed by employee benefit laws (including federal tax laws and the Employee Retirement Income Security Act of 1974, or ERISA) in order to avoid the risks and liabilities that can arise either from litigation brought by employees, or as a result of government enforcement that could lead to excise taxes and penalties.
Report Link Employees Alleging Labor Violations by Foreign Suppliers Cannot Proceed Against U.S. Companies Based on Code of Conduct Clause in Supply Contracts.
Littler Mendelson, P.C. - August 06, 2009
As companies headquartered in the United States and elsewhere in the developed world seek less expensive alternatives to producing manufactured goods in their homelands, the international community has gained a greater awareness of the labor law practices in lesser developed nations. From time to time, companies have been accused of engaging in practices relating to pay and/or work conditions that would not be allowed in the United States.
Report Link When Does a Foreign Law Compel a U.S. Employer to Discriminate Against U.S. Expatriates?: A Modest Proposal for Reform.
Littler Mendelson, P.C. - April 02, 2009
This article, authored by Tyler Paetkau of Littler’s San Francisco office, examines the legislative history and evolving case law interpreting the “foreign compulsion” defense to otherwise clear violations of Title VII, the ADEA and the ADA. In the article he also offers a practical solution to help employers, employees and the courts determine when this defense applies to immunize U.S. employees from liability under these antidiscrimination laws.
Report Link Workforce Retention Issues Impacting Foreign Employees During the Economic Downturn.
Fredrikson & Byron, P.A. - March 20, 2009
As we all know, many employers across the United States are facing difficult workforce “right-sizing” decisions due to steep declines in revenues, decreased demand for goods and services, and an extremely tight credit market.
Report Link European Court of Justice Clarifies Interplay of Sick Leave and Annual Leave Entitlements Under the Working Time Directive.
Littler Mendelson, P.C. - March 06, 2009
Under Article 7 of the Working Time Directive 2003/88, member states of the European Community must take appropriate measures to ensure that every worker1 receives at least four weeks' paid annual leave (i.e., vacation)2. For many years, however, it has been an open issue whether a worker on sick leave is still entitled to accrue annual leave, even though for all intents and purposes that worker is unfit to work. On January 20, 2009, the European Court of Justice (ECJ) delivered its judgment in co-joined cases Stringer, formerly Ainsworth, & Others v. Her Majesty's Revenue and Customs, Case No. C-350/06, and Gerhard Schultz-Hoff v. Deutsche Rentenversicherung Bund, Case No. C-520/06. The ECJ reinforced the European Community's governing principle that the right to annual leave is a fundamental social right and cannot be taken away from any worker, whether or not the worker is on sick leave.
Report Link EU's Highest Court Rules Speech Constitutes Employment Discrimination.
Littler Mendelson, P.C. - July 31, 2008
In a ruling issued on July 10, 2008, the Court of Justice of the European Communities, the court charged with ensuring uniform application of EU legislation among member states, ruled that an employer's statements regarding recruitment of immigrants constituted discrimination, even without evidence that any immigrants were denied employment. This decision expands EU anti-discrimination law further than United States court rulings. In today's global environment, this case has far-reaching implications for employers, as even well-intended statements may now constitute discrimination in and of themselves, at least in the EU.
Report Link The European Union's Second-Highest Court Highlights the Importance of Hiring Outside Counsel
Littler Mendelson, P.C. - September 26, 2007
Last week, the European Union (EU) Court of First Instance held that documents exchanged between an in-house attorney and corporate client were not protected under the attorney-client privilege. The decision highlights the prevailing rule in EU law that communications between in-house attorneys and their clients are not protected under the "legal professional privilege," as the doctrine is known in the EU.
Report Link Corporate Liability for Human Rights Abuses Goes on Trial.
Littler Mendelson, P.C. - July 24, 2007
The extent of corporate liability for alleged human rights abuses committed abroad under the Alien Tort Claims Act is currently being tested in the Northern District of Alabama. The plaintiffs in Estate of Rodriquez v. Drummond Company, Inc., No. CV-02-0665-W (N.D. Ala. 2002), allege that Alabama-based mining company Drummond Ltd. ("Drummond") was complicit in the murders of three union leaders at a Drummond-owned coal mine in Columbia. After surviving first a motion to dismiss, and later a motion for summary judgment, the parties began trial on July 9, 2007, to determine whether Drummond aided and abetted the murders of three union leaders by Columbian paramilitaries. As discussed more fully below, the case presents a unique opportunity to test the extent of corporate liability under the Alien Tort Claims Act (ATCA), a federal statute originally passed in 1789, which provides a private right of action to aliens for violations of international law. Significantly, the Drummond case is the very first ATCA case to proceed to trial.
Report Link New Employment Contracts Law Adopted in China.
Littler Mendelson, P.C. - July 20, 2007
The Law of the People's Republic of China on Labor Contracts ("Employment Contracts Law") was approved at the 28th session of the 10th National People's Congress Standing Committee on June 29, 2007.
Report Link France's Measures on Diversity and Data Protection: The Ten Recommendations of the CNIL.
Littler Mendelson, P.C. - June 12, 2007
Everyone agrees ‑ In France, the fight against discrimination in the workplace and the improvement of diversity are priorities. However, until recently, improving diversity in France was not an easy task.
Report Link Preliminary Opinions By European Court of Justice Top Advisors Tilt Slightly In Favor of Trade Union Rights.
Littler Mendelson, P.C. - June 06, 2007
Top legal advisors at the European Court of Justice grappled with these and other thorny questions implicating core European legal principles late last month. In two recently issued advisory opinions, the Advocates General responsible for two critical labor law cases offered clues as to how the European Court of Justice may rule on these weighty questions in the coming months.
Report Link French Data Protection Authority Fires Warning Shot to U.S. Multinationals: U.S.-Based Employer Fined for Improper Transfers of Employee Data to the U.S.
Littler Mendelson, P.C. - May 23, 2007
In what may foreshadow a new era of more aggressive enforcement, France's data protection authority - La Commission Nationale de L'informatique et des Libertés (CNIL) - recently fined Tyco Healthcare France (THF), the local subsidiary of a U.S. multinational organization, €30,000 (approximately $41,000) for, among other things, improperly transferring employee information to Tyco's U.S. headquarters. The fine appears to be the first imposed on a U.S.-based company accused of unlawful cross-border transfers of human resources data. The French government's enforcement action coincides with recent public declarations by other European data protection authorities, calling for more aggressive enforcement of the European Union's strict data protection regime.
Report Link International Labor Organization Weighs in on Dispute over Labor Rights at the British Embassy.
Littler Mendelson, P.C. - April 30, 2007
In what appears to have resolved a two-year old case that has caused a stir in Washington's diplomatic circles, the International Labor Organization (ILO) recently directed the British embassy to engage in collective bargaining with the union that represents its staff members and British consulates throughout the United States.
Report Link How Globalization Affects Labor-Managment Relations.
Littler Mendelson, P.C. - January 15, 2007
In this attorney authored article, Littler Mendelson's Gavin Appleby and Jim Ferber discuss how the increasing outsourcing of US jobs should force unions and management to see the benefits of working together. "U.S. jobs are being lost at an alarming rate—manufacturing jobs to China, call center positions to India and research jobs all over the globe—rendering the adversarial premise of the National Labor Relations Act (NLRA) an outdated piece of legislation." Appleby and Ferber name the causes of outsourcing, including high US labor costs, and note that "If unions and employees work with management to make producing U.S. goods more competitive, whether through labor costs or other means, jobs can be retained.
Report Link New UK Age Discrimination Law May Impact US Employers.
Littler Mendelson, P.C. - August 31, 2006
As of October 1, 2006, age discrimination will become an unlawful employment practice in the United Kingdom. On that date, the Employment Equality (Age) Regulations 2006 (the "Regulations") will take effect, impacting the recruitment, retirement, benefit and redundancy programs of UK employers.1 In addition, discrimination and harassment on the basis of age will become actionable in employment tribunals. These new regulations will impact U.S. employers with operations in the UK. As a result, covered U.S. employers should familiarize themselves with the Regulations and ensure compliance implementation in advance of the effective date.

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