join our network! affiliate login  
Custom Search
GET OUR FREE EMAIL NEWSLETTERS!
Daily and Weekly Editions • Articles • Alerts • Expert Advice • Learn More

North Carolina Confronts Misclassification: What Your Organization Needs to Know About the Employee Fair Classification Act

Starting December 31, 2017, the North Carolina Industrial Commission will have a permanent Employee Classification Section responsible for taking complaints about and facilitating the sharing of information among state and federal agencies regarding the misclassification of employees as independent contractors. The recently enacted Employee Fair Classification Act (EFCA) codifies provisions of an executive order signed in 2015 and, for the first time, requires employers to report their compliance in properly classifying employees with state occupational licensing boards and commissions.

NYC Issues Guidance on Upcoming Salary Inquiry Prohibitions

Effective October 31, 2017, New York City employers generally may not inquire about or rely upon a job applicant’s salary history in making employment decisions. The New York City Commission on Human Rights has released an Employer Fact Sheet and a Job Applicant Fact Sheet to assist employers and employees with understanding the law.

North Carolina Business Court Addresses Consideration Requirement for Covenant Not to Compete

September 20, 2017 Author: Peter G. Pappas In American Air Filter Co., Inc. v. Price, No. 16 CvS 13610, 2017 WL 2797794 (N.C. Super. Ct. June 26, 2017), the plaintiff’s former employee signed an employment agreement that renewed automatically each year. The agreement contained a non-compete covenant. The plaintiff alleged that its former employee received consideration for each renewing year in the form of base salary, commissions and bonuses. Significantly, however, the complaint did not allege that the former employee’s salary or bonus was increased in conjunction with the alleged annual renewals. Id., 2017 WL 2797794, at *2. Therefore, in deciding the plaintiff’s claim seeking to enforce the employment agreement’s covenant not to complete against the former employee, the Business Court concluded that there was no consideration to support the agreement at the time of the employee’s resignation in 2016 and therefore, it dismissed the claim. Id., 2017 WL 2797794, at *7-8.

North Carolina’s New Employee Misclassification Law: What Will Be the Practical Effect?

Effective December 31, 2017, the North Carolina Employee Fair Classification Act, signed into law on August 11th, creates the Employee Classification Section of the North Carolina Industrial Commission. This new Section will be authorized to receive and investigate reports by employees claiming to be misclassified as independent contractors, and to share information with other state agencies, including the Department of Labor, the Division of Employment Security, the Department of Revenue and the Industrial Commission.

North Carolina Cracks Down on Employee Misclassification

Most employers are familiar with legal issues surrounding the classification of workers as employees or independent contractors. Until recently, these discussions centered primarily around the decision on how a worker should be classified. Based on recent legislation in North Carolina, however, that conversation is shifting to account for the greater potential fallout from worker misclassification.

North Carolina Establishes New Office to Investigate Employee Misclassification

North Carolina employers will soon operate under the watchful gaze of a new government subagency whose sole mission will be to combat employee misclassification.

New NC Law Improves Protections of Farmers Against Unionization

On July 13, 2017, North Carolina helped farmers by improving statutory protections against unionization. Although farmworkers generally do not have a statutory right to unionize under N.C. or federal law, unions are using indirect tactics to force farmers to unionize, such as asserting economic pressure or filing federal lawsuits.

Post-Wilkes Decision Tips for Handling Workers’ Compensation Claims

Last week we wrote about the impact of the Wilkes v. City of Greenville decision. In this ruling, the North Carolina Supreme Court significantly expanded the “Parsons presumption,” which posits a relationship between an original work-related injury and additional treatments required.

An Employer’s Short Guide to Employee Break Time Obligations

A recent study showed that employees who regularly take short breaks are far more productive than those who work continuously for hours on end. The study, conducted by the Draugiem Group, found that the ideal work-to-break ratio was roughly an hour of uninterrupted work, followed by a break lasting 15 to 20 minutes. Regardless of how employers feel about the results of this study, they should understand their legal obligations with regard to employees’ meal periods and rest breaks.

Employers Cannot Be Mandated to Provide Paid Sick Leave in Carolinas

The issue of paid time off for employees remains a debated issue throughout the nation. Currently, there is no federal law mandating private employers provide paid time off for employees. While many states and cities have legislation mandating paid time off under certain circumstances, there is no state law in North or South Carolina that requires private employers to provide paid time off or leave to employees.