Following a February 2018 Sports Illustrated article regarding alleged sexual harassment and misconduct within Dallas Basketball Limited, the Dallas Mavericks basketball organization (“Mavericks”), the Mavericks commissioned an independent investigation into the claims. The investigators, comprised of two outside law firms, interviewed 215 witnesses and analyzed 1.6 million documents. The investigation report was publicly released on September 19, 2018.
Articles Discussing General Topics In Workplace Sexual Harassment.
No Tax Deduction for Sexual Harassment Settlements Subject to Confidentiality Provision
Congress recently passed the 2017 Tax Cuts & Jobs Act which includes Internal Revenue Code §162(q). Specifically
The Sexual Harassment Problem in the Food and Hospitality Industries
Imagine that your employee comes to you and tells you that a few days ago when she was helping a busboy change out the kegs in the basement, he groped her.
House Members Introduce Bipartisan Anti-Harassment Legislation
On July 17, 2018, a bipartisan group of House lawmakers—Reps. Lois Frankel (D-FL), Ted Poe (R-TX), Jerrold Nadler (D-NY), Barbara Comstock (R-VA), and Lisa Blunt Rochester (D-DE) —introduced legislation targeting workplace harassment. Senators Kamala Harris (D-CA) and Lisa Murkowski (R-AK) introduced a companion bill in the Senate last month. The Ending the Monopoly of Power Over Workplace harassment through Education and Reporting (EMPOWER) Act (H.R. 6406, S. 2994) would, among other obligations, ban nondisclosure and non-disparagement agreements related to harassment as a condition of employment or receipt of employment-related benefits, and would require certain public disclosures. This federal bill comes on the heels of several state-level proposals stemming from the #MeToo movement.
EEOC Fights to Keep #MeToo Movement Alive
The Equal Employment Opportunity Commission (EEOC) sometimes chooses to file a lawsuit against an employer, on an employee’s behalf, after investigation of a charge of discrimination. Typically, the EEOC chooses to litigate only a very small percentage of all charges filed. In this past June alone, however, the commission filed eight lawsuits alleging sexual harassment against employers, thus perpetuating the #MeToo movement.
#MeToo at Home and Abroad
The news that Harvey Weinstein was indicted on July 2 on additional criminal charges, one of which (predatory sexual assault) carries a maximum sentence of life in prison, makes clear that the #MeToo movement and its influence on the workplace and our culture will not abate any time soon.
Investigations in the #MeToo Environment: The Importance of Planning Before A Harassment Complaint
Jennifer Youpa, a shareholder in Littler’s Dallas office, and Kevin O’Neill, Senior Director of Littler’s Learning Group, discuss the importance of harassment complaint investigations in the #MeToo climate. As Jennifer and Kevin explain, investigatory responses can no longer be “one size fits all,” especially with the possibility of the viral disclosure of allegations or incidents through social media. In this podcast, Jennifer and Kevin reveal strategies and trends they have seen as they conduct training for employers on sexual harassment and related issues. They address the need for employers to plan various investigatory protocols well ahead of any complaints and how organizations can assess whether an external investigator may be beneficial.
Analyzing the EEOC’s Response to the #MeToo Movement
Since the #MeToo movement began in fall 2017, many have wondered how it will affect both the volume and direction of sexual misconduct litigation around the country. It seems that the U.S. Equal Employment Opportunity Commission (EEOC) is trying to determine the same — indicated both through the commission’s recent statements analyzing its own workload and by the reconvening of the Obama-era Select Task Force on the Study of Harassment in the Workplace.
Effective Sexual Harassment Training in the #MeToo Era
Yesterday’s anti-harassment training won’t cut it in the #MeToo era. Employers must take stock of steps they have taken to prevent and stop sexual harassment in the workplace, and identify how they will answer the clear call for truly effective anti-harassment training.
House Bill Introduced to Address Sexual Assault and Harassment in the Transportation Industry
Executive Summary: A proposed new law called “Stop Sexual Assault and Harassment in Transportation Act” takes aim at sexual assault and harassment in the airline industry.
New Tax Law, and Other Potential Reforms, May Change How Harassment Claims Are Resolved
Bruce Sarchet and Corinn Jackson, both with Littler’s Workplace Policy Institute, discuss how the 2017 Tax Cuts and Jobs Act affects the terms of settlement agreements used for sexual harassment claims. They address how the new law alters business expense tax deductions related to such settlements. They also review several additional federal and state initiatives that would curtail the use of nondisclosure or arbitration agreements in the harassment context.
“It’s the Culture, Stupid”: Transforming Today’s Sex Scandals into Tomorrow’s Strides for Women at Work
It’s 2018, but the sexual harassment scandals and #MeToo movement that closed out 2017 are sure to shape the year – and years – ahead. From Hollywood Boulevard to Main Street, USA, no industry has been spared. But for all the turmoil that business leaders are either witnessing or enduring, they may have an opportunity to seize this moment and establish a dramatically new normal.
Lawmakers Take Aim: Will #MeToo Curb Nondisclosure or Arbitration Agreements?
In 2017, the #MeToo movement highlighted the prevalence of sexual harassment in the workplace, toppling prominent figures in numerous fields. Sexual harassment has been unlawful for decades, of course, yet this vexing problem remains.1 In the wake of #MeToo, federal and state lawmakers are searching for new ways to complement existing antidiscrimination laws and help eliminate harassment. Although it may take several months for definite trends to solidify, this article identifies some legislative approaches we may see in 2018.
Another Employer Deduction Bites the Dust
You have probably heard about the many tax deductions that you are losing (or have lost) as a result of the new tax law (known as the Tax Cuts and Jobs Act, or TCJA). But, if you are an employer, one that you may not have heard about – or may not have had reason to hear about – is loss of the Federal income tax deduction for amounts paid in settlement of claims relating to sexual harassment and/or sexual abuse, as well as attorneys’ fees paid with respect to any such settlement or payment, if the settlement or payment is subject to a nondisclosure agreement.
Confidential Sexual Harassment Settlements No Longer Tax Deductible
The tax law signed by President Trump on December 22, 2017, does not only change tax brackets and rates—it also reflects changes brought in the aftermath of many highly publicized sexual harassment scandals. Effective upon signing, the new tax law has eliminated businesses’ ability to deduct the costs to settle allegations of sexual harassment or sexual abuse when the settlement requires confidentiality, which is a standard settlement term.