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A strong push continues for states to adopt stricter pay equity laws and enforce efforts to combat pay inequities for certain protected classes, including women and individuals of color. Many states, including Illinois, have prioritized pay equity by passing laws designed to reduce wage gaps.
President Biden signed into law the “Ending Forced Arbitration of Sexual Assault and Sexual Harassment Act of 2021” on March 3. As its name suggests, the law prohibits pre-dispute arbitration agreements that require individuals to arbitrate any claim under federal, tribal or state law relating to a sexual assault or sexual harassment dispute. In other words, employers can no longer compel employees to arbitrate sexual assault or sexual harassment claims. Class action waivers are also prohibited with respect to those claims.
On January 13, 2022, the U.S. Supreme Court issued two decisions addressing COVID-19 vaccine mandates implemented by the Biden Administration. In the first opinion (National Federation of Independent Business v. OSHA), by a 6-3 majority, the Supreme Court blocked implementation of OSHA’s Emergency Temporary Standard (ETS) that would have required all employers with 100 or more employees to adopt a policy requiring mandatory COVID-19 vaccination and/or testing and masking policies for employees. OSHA’s ETS had recently taken effect, and the vaccination/testing requirements were set to become effective as of February 9. This ruling from the Supreme Court appears to signal the end of OSHA’s ETS.
As in 2020, employment law in 2021 was dominated by COVID-19 as employers grappled with whether to voluntarily extend employee benefits provided by the Families First Coronavirus Response Act, issues with working remotely, and returning to work. The new year begins with uncertainty as the U.S. Supreme Court is set to decide the fate of several employer vaccine mandates in just a few days. The pandemic’s challenges are sure to keep employers busy in 2022. Here are our picks for the highlights of last year and a look at what’s to come in the new year.
Missouri
Other than a new state minimum wage ($11.15 per hour), 2022 is starting off quietly in Missouri. However, last year brought two major developments affecting employers that are summarized below. The COVID-19 Liability Shield is exactly as it sounds, providing protections for employers against suits by individuals who claim they were exposed to COVID-19. Similarly, the Domestic Violence Leave Law provides job-protected leave for individuals who need to address issues related to domestic violence.
On November 5, 2021, OSHA released a previously announced Emergency Temporary Standard (ETS) requiring employers with at least 100 employees to enact a policy requiring employees to be vaccinated against COVID‑19 or submit to weekly testing. Employers are required to have a policy in place by December 5, 2021, with enforcement of the ETS to begin on January 4, 2022.
In August 2021, Illinois Gov. J.B. Pritzker signed into law amendments to the Illinois Freedom to Work Act that will dramatically change the use of non-compete and non-solicitation agreements by Illinois employers. These amendments become effective January 1, 2022, and apply only to agreements entered into after that date.
The Chicago City Council recently passed Ordinance No. 02021-2182 (the Ordinance), which, among other things, expands the permissible bases to take leave under the Chicago Paid Sick Leave Ordinance (PSLO) and creates new wage theft protections for employees. The paid sick leave amendments take effect on August 1, 2021, while the wage theft provisions went into effect on July 5, 2021.
President Biden is committed to promoting labor organizing in an effort to strengthen union organizing after years of declining membership. In 2020, 10.8 percent of employees, including governmental employees, belonged to a union. In the 1950s, the total union membership exceeded 30 percent, including governmental employees. In 2020, the union membership in the private sector was 6.3 percent, whereas in 1983, the unions represented 23 percent of the employees in the private sector.
The Illinois House and Senate have agreed on a version of the Illinois Freedom to Work Act, which is waiting for Governor Pritzker to sign into law. The Act puts restrictions on which employees can be subject to covenants not to compete and covenants not to solicit.