Webinar: What’s Next for FLSA Compliance: Proven Strategies to Minimize Risk

HR Daily Advisor will present a complimentary webinar discussing what the overtime changes mandated by the U.S. Department of Labor FLSA mean for employers and recommend strategies for meeting these new challenges.

The event, sponsored by Kronos, will be Thursday, August 25, beginning at 2 p.m. EDT.

The overtime changes will extend overtime pay protections to more than four million American workers, HR Daily Advisor says on its website. The implications are enormous, affecting everything from job classifications and time tracking to compensation and compliance policies.

Register for the webinar.

 

 

 




Companies Can’t Contract Around WARN Act Sale of Business Exception

In a rare case interpreting the Worker Adjustment and Retraining Notification Act “sale of business” exception, the 8th U.S. Circuit Court of Appeals recently held in Day v. Celadon Trucking Servs., Inc. that a buyer of a business remained liable under WARN to the seller’s employees to whom the buyer did not make offers of employment, despite provisions in the asset purchase agreemen that placed all WARN Act liability on the seller, according to Epstein Becker & Green.

In the firm’s Financial Services Employment Law blog, Marc A. Mandelman wrote that the case involved a typical asset purchase transaction between Continental Express, Inc. and Celadon. Plaintiffs were a class of 449 former Continental employees who were not offered jobs with Celadon after the purchase of Continental’s trucking business.

“The key takeaway of the Day case for parties to a corporate transaction is that WARN liabilities are governed by statute, and the implications of WARN obligations and the sale of business provision of WARN must be carefully evaluated,” according to Mandelman.

Read the article.

 

 

 

 




Wearable Technology That Monitors Workers Could Lead to Legal Problems for Employers

Smartwatch - wearable electronic monitoring deviceWearable electronic monitoring devices have been long used to help monitor an individual’s health and fitness, writes Karen Turner for The Washington Post. “But now wearable use is becoming increasingly common in the workplace to record, analyze and enhance worker productivity, raising concerns among lawyers and labor specialists who feel that it’s a step toward stripping employees of workplace rights.”

She quoted from a recent study by customer management software company Salesforce showing that 86 percent of U.S. companies plan to invest more in wearable applications on the job this year. And 40 percent are considering using wearables to monitor employee time management and real-time employee communication.

But some labor lawyers are concerned about unintended legal consequences. For instance, some employees might not be meeting productivity standards due to a medical condition or disability. And employers could be sued simply because they have access to physical data about their employees.

Read the article.

 

 




NY Attorney General Sends a Message: Re-Think Non-Compete Agreements

Barbara E. Hoey and Dustin E. Stark of Kelley Drye’s Labor and Employment group have a warning for New York employers – your non-compete agreements may be under attack.

In an article published on the firm’s Labor Day blog, the authors wrote that the office of the state’s attorney general recently reached settlements with two companies that require each to stop requiring incoming employees to sign non-compete agreements.

“The settlements clearly send a signal that the New York AG is critical of employers who require low-level employees to sign non-competes as a condition of employment. These agreements were never favored by New York courts, and this may be the time to re-think the broad use of such contracts,” according to the report.

“The take-away here is that if your company requires that all (or a large number of) employees sign non-compete agreements, you should re-examine this process. For one, a non-compete signed by a ‘low-level’ employee may not be enforceable anyway. Second, you do not want to wind up to be the next subject of an AG investigation,” they write.

Read the article.

 

 




Employee Pay and the Bankruptcy Stay – Potential Pitfalls for Employers

BankruptcyBusinesses need to have written protocols in place to deal with bankruptcy filings by their employees and independent contractors, or they risk serious sanctions and, potentially, punitive damages for violations of the bankruptcy laws, according to a report in Hunton & Williams’ Employment & Labor Law Perspectives blog.

The article discusses two scenarios: one in which the employer has unwittingly violated the Bankruptcy Code, and another in which the employer has knowingly violated the automatic bankruptcy stay by taking an action to collect a pre-bankruptcy debt from post-bankruptcy earnings.

“A process should be developed whereby notices relating to bankruptcy cases are channeled to a designated member of the legal or accounting team trained to immediately take action to ensure payments are correctly routed and stay violations are avoided,” the article says.

Read the article.

 

 




Foley Adds Labor & Employment Group in Boston

Foley & Lardner LLP announced that James Nicholas and Donald Schroeder have joined the firm’s Labor & Employment Practice as partners in the Boston office.

In a release, the firm said Nicholas represents and counsels employers on a wide range of federal and state employment issues, including wage and hour, employment classification, wrongful termination, discrimination and harassment, leaves of absence and the enforcement of noncompetition and nondisclosure agreements. He has represented clients in numerous actions before federal and state courts in cases involving claims for wage and hour violations, defamation and shareholder disputes, among others. A significant portion of his litigation experience involves defending employers against wage and hour class actions brought under the Fair Labor Standards Act and state wage and hour laws.

The release continues:

Schroeder has extensive national trial experience in state and federal courts representing Fortune 500 clients on a wide range of employment matters, including restrictive covenant litigation, wage and hour class actions and single plaintiff discrimination cases. His trial experience includes state and federal court jury trials, bench trials and employment arbitrations throughout the United States. Schroeder’s client base spans a number of industries including staffing, healthcare, sports, higher education and technology.

Schroeder also regularly handles traditional labor matters related to union avoidance training, unfair labor practice proceedings, union elections, mass picketing, labor arbitrations and collective bargaining negotiations. In his traditional labor work, Schroeder routinely appears before the National Labor Relations Board.

“We look forward to having Jim and Don on our team. Their strong track record litigating complex cases and vast experience will help ensure our clients remain compliant and protected across a myriad of employment issues,” said Kevin Hyde, chair of Foley’s Labor & Employment Practice.

In addition, both Nicholas and Schroeder have experience drafting C-Suite level employment agreements and advising clients on the terms and use of offer letters, employee handbooks and personnel policies.

“Our clients will benefit from Jim and Don’s decades of combined experience related to employment issues and proceedings. We are excited to add them to our robust litigation bench in Boston,” said Susan Pravda, managing partner of Foley’s Boston office.

In addition, they will be joined by their former colleagues, Jill Collins (Washington, D.C. office) and Erin Horton (Boston office), who are mid-level associates.

 




FedEx Agrees to $240 Million Settlement With Drivers in 20 States

Fedex truckFedEx Ground Package System Inc. has agreed to pay drivers in 20 states $240 million to settle lawsuits claiming the second-largest U.S. parcel delivery company misclassified them as independent contractors, it said on Thursday, according to a Reuters report.

Reporter said Beth Ross, lead lawyer for the plaintiffs, said in an email that the settlement, if approved, would be divided among 12,000 drivers, some of whom would receive tens of thousands of dollars.

FedEx previously contracted directly with independent operators in an effort to save on taxes, fringe benefits, health care costs, pensions and other workers’ costs.

“The deal, subject to approval by a federal judge in Indiana where the cases were consolidated, would end nationwide litigation claiming that because drivers were required to use company-branded trucks, uniforms and scanners, FedEx was their employer under federal and state laws,” Reuters reports.

Read the article.

 

 

 




Computer Use Policies – Are Your Company’s Illegal According to the NLRB?

Data privacy - cybersecurityThe National Labor Relations Board (NLRB) has continued its assault on businesses and their ability to legitimately protect their computer systems and information against unauthorized non-business use by employees, writes , in Cybersecurity Business Law.

Tuma is a cybersecurity and data protection partner at Scheef & Stone, LLP.

“On May 3, 2016, an NLRB Administrative Law Judge struck down as overbroad a Computer Use Policy in Ceasars Entertainment Corporation d/b/a Rio All-Suites Hotel and Casino (NLRB Docket Sheet). The policy, titled Use of Company Systems, Equipment, and Resources, was part of the company handbook and stated that computer resources may not be used to do several things that were listed out and is standard in many similar policies,” he writes in his article.

Read the article.

 

 

 




Wal-Mart Wage Hike to $15 an Hour Would Cost It $4.95 Billion, Study Says

Walmart store frontWal-Mart Stores Inc. would have to spend an additional $4.95 billion if it were to raise the minimum wage for its hourly employees in the United States to $15 per hour from the current $10 per hour, according to an estimate by the UC Berkeley Center for Labor Research, Reuters is reporting.

Study found that 1.1 million of the big retailer’s 1.5 million employees are paid hourly wages. An estimated 979,000 employees would get an increase if Wal-Mart went to $15 per hour.

Labor groups have been demanding a $15 minimum wage for the company’s workers, and the “Fight for Fifteen” movement has been a topic of discussion during the U.S. presidential campaign, reports .

Read the article.

 

 

 




America’s Top CEOs Pocket 340 Times More Than Average Workers

Masimo Corp. founder and CEO Joe Kiani

Masimo Corp. founder and CEO Joe Kiani

The top 500 chief executive officers in American companies earned 340 times the average worker’s wage last year, taking home $12.4m on average, according to an analysis by the AFL-CIO, reports The Guardian.

The union’s analysis found that the pay of executives leading the S&P 500 index of top companies actually dipped last year. The figure in 2014 for the same group was 373 times more than their workers, earning on average $13.5m.

“The marginal drop in pay comes despite some eye-watering payouts for the three highest-paid CEOs – Masimo Corporation’s Joe Kiani, Timothy Walbert of Horizon Pharma and Gamco Investors’ Mario Gabelli – who took home nearly $3bn between them, according to the AFL-CIO,” the Guardian story says.

The average production worker who does not hold a supervisory role,earned about $36,900 a year in 2015.

Read the article.

 

 




$100M Uber Settlement Attacked By Drivers Saying Lawyer Sold Out

The lawyer who struck a $100 million deal with Uber Technologies Inc. is being accused of greed by some of the drivers covered by the accord who want her bumped, reports Bloomberg News.

“She has single-handedly stuck a knife in the back of every Uber driver in the country,” Hunter Shkolnik, a New York lawyer who’s pursuing his own cases against the ride-share service, said Friday in a phone interview with Bloomberg. “The entire class was thrown under the bus and backed over.”

Shkolnik asked the San Francisco federal judge who presides over the class-action settlement to remove Shannon Liss-Riordan as lead attorney. He says she sold out her clients by accepting a payout for California and Massachusetts drivers that’s less than 10 percent of the value of their claims “while she walks away with $25 million.”

Liss-Jordan labeled the claims as “uninformed,” “untrue and malicious.”

Read the article.

 

 




McDonald’s Under Fire for Labor Violations in Landmark Joint Employer Case

McDonald's signOpening arguments kicked off Thursday in a long-awaited National Labor Relations Board case that could, for the first time ever, put McDonald’s on the hook for labor violations committed by the company’s franchised restaurants, reports International Business Times.

The case could determine whether McDonald’s is a so-called joint employer of workers at its franchisees, the independently-owned businesses that make up 90 percent of the company’s roughly 13,000 stores in the U.S and employ the vast majority of its 420,000 workers, explains reporter Cole Stangler.

“In addition to making the company more liable for labor violations, a decision from the NLRB that McDonald’s is a joint employer would open the door for a union formed by workers at franchised stores to bring the parent company to the bargaining table,” according to the report. “Such a ruling could also set a precedent for other fast-food franchises, according to industry observers and legal experts.”

Read the article.

 




Understanding the DOL’s Proposed Regulations on Paid Sick Leave for Federal Contractors

Contractors with craneA proposed executive order could require certain government contractors to provide paid sick leave to certain employees at certain times, resulting to a new benefit for 437,000 employees who currently get no such benefit, and possibly augmenting the leave of about 400,000 more workers, according to U.S. Secretary of Labor Thomas Perez.

In a report written by the Federal Contractor Compliance Practice Group and Wage and Hour Practice Group of Paul Hastings LLP, contractors who disregard the new requirements beginning in 2017 can be subject to debarment, among other penalties, so it is important that contractors understand the proposed rules and plan to ensure compliance.

“Federal contractors certainly should examine their policies in light of the proposed regulations, but all employers operating in jurisdictions with paid sick leave laws should review their policies for compliance with state and local laws,” according to the article.

Read the article.

 




Akerman Names Eric Gordon Labor & Employment Practice Group Chair

Eric GordonAkerman LLP, a top 100 U.S. law firm, has  announced Eric Gordon has assumed the role of Labor & Employment Practice Group Chair.

“Eric is an excellent labor and employment lawyer with a tremendous capacity for leadership and client service,” said Akerman Chairman and CEO Andrew Smulian. “The very personal attention Eric devotes to his colleagues and client relationships reflect the values of our firm. We look forward to the continued growth and success of Akerman‘s Labor and Employment Practice Group under his able direction.”

In a release, the firm said Gordon will work to grow the national practice group while overseeing the delivery of labor and employment services to Akerman clients. He also will continue to practice law, representing employers in labor and employment matters and in many key sectors such as telecommunications, hospitality, healthcare, retail, and financial services. He is a past president of the Human Resource Association of Palm Beach County and will serve as president of the South Palm Beach County Bar Association in 2017-2018. Prior to leading Akerman’s Labor & Employment Practice Group, Gordon served as the office managing partner of Akerman’s Palm Beach County offices.

Gordon succeeds James Bramnick, who will continue representing management in labor and employment matters. He also will work in the labor and employment practice through his role as a chair of Lex Mundi’s Global Labor and Employment Practice Group, the world’s largest law firm network.




Bankruptcy Law ‘Trumps’ the National Labor Relations Act in Casino Reorganization Case

In a case of first impression, the Third U.S. Court of Appeals recently ruled that federal bankruptcy courts may extinguish a Chapter 11 employer’s obligations under an expired collective bargaining agreement pursuant to Section 1113 of the Bankruptcy Code where such relief is necessary to permit reorganization, reports Buchanan Ingersoll & Rooney PC.

The case is In re: Trump Entertainment Resorts, 2016 WL 191926 (3d Cir. 2016).

“The Trump Entertainment case is significant for employers in reorganization, because it eliminates the need for union negotiations to reach an actual impasse before new terms can be implemented and, perhaps more importantly, it avoids the possibility that the NLRB could file a claim during the bankruptcy proceeding that would overturn a change in the employees’ terms and conditions of employment,” the firm writes.

Read the article.

 




10 Common Mistakes U.S. Employers Make When Trying to Comply With Employment Laws

WorkforceMany employers think they understand employment laws like the Fair Labor Standards Act, 29 U.S.C. §201, et seq. (FLSA), only to find out – after costly litigation – that they were just plain wrong.

Assouline & Berlowe has prepared a white paper that highlights 10 of the most common mistakes that private, non-governmental employers (with a non-unionized work force) make when attempting in good faith to comply with employment laws.

The 10 mistakes range from, number 1, “Paying an employee a salary and assuming the employee need not be paid overtime,” to number 10, “Classifying all staff as independent contractors means you do not have to worry about the employment laws.”

Ellen M. Leibovitch, Head of Labor and Employment Practice at Assouline & Berlowe, wrote the paper.

Assouline & Berlowe is a business litigation and transactional law firm serving the business needs of local, national, and international clients. The firm has offices in Florida.

Read the white paper.

 




NLRB Files Brief Supporting Unions’ Suit, Calling County Right-to-Work Laws Preempted

The National Labor Relations Board urged a federal district court in Kentucky to invalidate a county ordinance that prohibits the use of union-security provisions in collective bargaining agreements and regulates other practices that are either permitted or prohibited by federal law, reports Bloomberg BNA.

“Hardin County’s Ordinance 300 is preempted by the National Labor Relations Act, the board argued in a proposed amicus brief it submitted to the U.S. District Court for the Western District of Kentucky. The court is considering a lawsuit the United Auto Workers and other unions filed in January to challenge the ordinance,” the report says.

Read the story.

 




NLRB Issues Guidance Memo on Representation Case Procedure Changes

NLRBNational Labor Relations Board General Counsel Richard F. Griffin Jr. has issued a lengthy guidance memorandum intended to explain modifications to the representation case processing procedures under the Board’s Final Rule, adopted in December 2014, reports Winston & Strawn.

The GC’s guidance covers how representation cases will be processed from beginning to end, incorporating both the Final Rule changes and the procedures that remain unchanged. The Final Rule will go into effect on April 14, 2015, and will apply to representation cases filed on or after that date, the firm reports on its website.

The guidance indicates that neither the Final Rule nor the memorandum “establishes new timeframes for conducting elections or issuing decisions.”

Read the story.

 




HR & Compliance Web Summit

An all-day webinar presented by Paycor — and now offered on-demand — features a series of one-hour sessions focused on the topics that are most relevant to today’s business leaders, from the Affordable Care Act to employee engagement and retention. The series consists of six separate webcasts that can be viewed individually.

On its website, Paycor says HR industry experts and thought leaders shared their guidance and recommendations with more than 4,000 attendees.

Jennifer Bellin, vice president of marketing for Paycor, said, “We were thrilled that so many people were able to attend our HR & Compliance Web Summit this year. But, we knew that even more companies could benefit from the insights and practical advice delivered by our panel of experts. We are pleased to offer all of the sessions on our website so that others can gain a deeper understanding of the complicated HR and compliance issues affecting their organizations today.”

Watch the webcasts.

 

 




Drones in the Workplace are Coming

By Robert E. Goodman, Jr.
Copyright 2015

Somebody at work bumps into you. You feel a little pinprick in your back but the feeling goes away immediately. You don’t even think about it again. Especially because the person who bumped you apologizes for any pencil mark. If you do think about it again, you don’t see any mark.

Or let’s say the same person bumps into you almost two weeks later but you feel nothing, but you find a spiky object on your clothing at the end of the day.

Two weeks after the first bump, one day after the second, you are confronted by security personnel for your employer. You are told that you were observed going somewhere earlier that day and meeting with a representative of a potential competitor. You were overheard talking to that representative about the employer’s proprietary information. But you went alone, in your own car, to meet this person. As far as you knew, nobody was following you. How did your employer know anything about your going somewhere, or meeting someone, or what you said?

The pinprick represented the insertion into your skin of a semi-permanent homing device lasting months. The burr was a one-day homing device. Whatever homing device was used, a miniature drone was tasked to follow that device and watch and listen to you. But you’re not told about any of that.

You think this is fantasy. It isn’t.

Drones under the Christmas tree, in the backyard, down the block spying on the neighbor’s backyard, are all here, and drones in the workplace are coming. They’re getting smaller, and while there still needs to be some work on making homing devices undetectable, and drones so small you don’t hear or see them, you can be sure the work is proceeding apace. Just go to RadioShack.

Some of the commercially available drones, I understand, can work for eight hours without recharging, and recharging stations in a workplace could be unobtrusively placed. If a drone was to follow an employee home, recharging stations could also unobtrusively be placed in an employee’s home.

Moreover, drones are not only going to see and hear, but maybe smell and see at night with infrared or thermal imaging technology.

We all better watch out.

Drones near airports, the FAA is getting to that. Drones being used by law enforcement, there’s actually beginning to be some court consideration of that. Drones being used to take pictures over someone’s home or business, there’s actually a Texas law on that. Drones being used to take pictures of celebrity weddings, there’s actually a California law coming to deal with that. But drones in the workplace, people are not paying serious attention to that problem yet if they are paying any attention at all.

I started paying attention to the problem two years ago when I wrote a short story about drones in the workplace on our firm’s website. The short story predicts court decisions allowing the use of drones in the workplace. These decisions have not come to pass, but certainly may come to pass. There are no developments in drone technology or in the law during that have made me any less fearful of the problems that will be created by the inevitable use of drones in the workplace.

Last week, there were news reports of drones becoming a $13.4 billion industry with 7,500 commercial drones in the next 3-5 years. More to the point, there was an announcement by Intel last week of a wrist-launched drone. It takes off with laces that wrap your wrist becoming rotors. It then takes your picture and comes back to your wrist like a boomerang.

I say drones in the workplace are inevitable not only for technological reasons, but for other multiple reasons:

First, the temptation to use new technology in connection with work is the temptation we all wake up not resisting every morning. Whether in bed or soon after getting out of it, we punch our fingers to our smartphones. As in the case of other technologies — telephones, copy machines, fax machines and scanners — nobody has resisted the urge to use smartphones for business purposes. As smartphones go, so do drones.

Second, the use of technology by employers to snoop on employees is irresistible. Audio monitoring of telephone calls and fixed cameras in the workplace, nobody even thinks of those as being problematic.

Third, most employers are not the government, with constitutional limitations upon its conduct. You can be sure that private employers will depend upon this distinction in asserting that courts should not prohibit, or even necessarily severely restrict, use of drones in the workplace.

Fourth, with only a few emerging exceptions like the Texas and California laws, the private use of drones is not regulated by statute, that is to say laws specific to drones. There is not, nor is there likely anytime soon to be, a uniform federal law concerning drones covering the entire nation. Only court decisions about whether a particular use of drones invade a reasonable zone of privacy, or court decisions interpreting drone-specific statutes, will allow people to know what is lawful and what is not.

But fear of a privacy lawsuit has certainly not limited many employers from doing things that might at one point have been argued to constitute invasions of privacy, including monitoring telephone calls and emails. It has been enough to argue that the work-related context of an employer’s monitoring, or its ownership of the equipment being used, makes this monitoring okay. This truly centuries-old property distinction, not really a modern privacy distinction, is the basis of the Texas law prohibiting surveillance over real estate. And, given that statute, and, more to the point, the probable difficulty of coming to a consensus on use of drones in the workplace, there may be no other statutes about drones for a while, at least in Texas.

Fifth, as I’ve suggested, drones are getting smaller all the time and if you don’t know you are being monitored, you can’t even complain, except way too late, maybe even as late as a lawsuit. An employer having the opportunity to know a secret about you is a form of voyeurism that every employer will at least indulge, whether or not it is acted upon. If individual supervisors are given discretion, that voyeurism may become pure voyeurism.

Recognizing the inevitability, therefore, of drones in the workplace, and the pattern of courts to accept what might have been questioned as the proper use of other technology, there are a number of questions to ask about where we are headed as far as drones are concerned:

Are we headed toward a world in which employers can monitor employees with drones without their consent, and how far does this go, only at work, or can a drone follow an employee outside the workplace during the middle of the workday, or even go home with the employee? Where is the line to be drawn?

If consent is required, is it going to be sufficient that consent is obtained at the outset of employment or sometime during the employment, like arbitration agreements. Is the consent going to be real? Is consent going to be treated as limited to surveillance or will it cover surveillance outside work?

Are we headed toward a world in which executives never monitor themselves, but everybody else is monitored? That’s a question I raised in my short story. There was an exception to surveillance executives created for themselves.

You may not believe it, but since I pursue discrimination cases, I believe it, are we headed toward a world in which minorities are monitored by drones but non-minorities are not? In which employees with alleged medical problems are monitored but others are not? Suspected whistleblowers? You can imagine other possible questionable examples of disparate drone surveillance.

Are we headed toward a world in which courts accept evidence from drones, which could take up gigabytes of space and be difficult to search. Given its overwhelming data quantity, are courts going to allow effective discovery of that evidence in any lawsuits in which the evidence may be offered?

Are we headed toward a world in which not only employers monitor employees, but, for example, disability insurers or administrators monitor employees on behalf of an employer and do so without the employee’s consent? Unconsented video surveillance of individuals with disability benefit claims, outside the workplace, already occurs.

Are we headed toward a world in which employers monitor prospective employees or in which employees turn the tables and monitor their supervisors? I give the latter example in my short story.

Are we headed toward a world in which courts allow a slippery slope to be created instead of a hard border between proper use of a drone and improper use of a drone in the employment and benefits context?

In my short story, I tried to predict what courts would be doing over the next five years, but who is to say what they will do.

In my story, I predicted that they will start with a distinction between governmental and private use of drones and not restrict drones from being used at all in private workplaces. Then, I suggest courts may, but not necessarily will, develop a reasonable suspicion of impropriety standard, something less than probable cause for governmental employment and criminal purposes. Maybe not, however. Maybe at worst just requiring a human resources representative to fill out a form to get permission to use a drone to monitor an employee.

But I also suggest that courts may not restrict drones from following employees outside the workplace or home if the technology exists to follow them. Such court decisions will, of course, be based on the argument that conduct outside work and at home can have workplace implications. It certainly did in my initial example. The best that can be hoped for, if privacy is to mean much, is that zone of privacy will be established to limit severely, whether or not prohibit, drone surveillance outside the workplace. If a drone follows an employee home, there will be questions of how to deal with information not work-related. This could, of course, include clearly personal information like discussions between family members about family matters. But it could also include information about a person’s behavior or a person’s addiction or a person’s criminal conduct which an employer would actually want to know even if it had a personal element precisely because of the work-related implications. Will an employer have a right to obtain such information using a drone, to retain it, to act on it?

Then I talk about a conflict between an employee’s medical privilege and drone surveillance. That doesn’t seem to be a tough one, the drone going into the psychiatrist’s or doctor’s office, you would think that would be prohibited, but what about a telephone call with a psychiatrist or doctor that happens to be overheard by a drone. That’s an element of my story. Employers, or at least their insurer’s representatives, are already going into doctor’s offices with employees who make workers compensation claims. How far from doing that would drone surveillance be?

The same issue, of course, applies to an employee’s visit with a lawyer.

And I predict that employees could even be subjected to setups that are then recorded by drones when everything else, including other drone surveillance, indicated that there was no basis for being concerned about the employee’s conduct. Coincidentally, the setup in my short story, like that in this speech, is that an employee is told to meet with a representative of a competitor. Unlike my initial hypothetical, however, in the short story the employee is not doing anything wrong at all.

The employee victimized by drone surveillance, or even more to the point, an employee, including in-house lawyer, offended by drone surveillance, is going to have to be brave to make the objection to drone surveillance. The employee is then going to have to be braver, and actually a pioneer, to assert a legal claim and pursue a lawsuit to establish that drone surveillance is improper as a matter of invasion of privacy or under a statute. Unfortunately, such lawsuits are going to be necessary to establish just how far drone surveillance can go. Any employees, of course, who take any one of these brave actions, could get fired themselves for standing their ground.

And boards of directors are going to become involved. In my short story, outside board members associated with the employer in the story had to get involved. Their own companies did not make exceptions to drone surveillance for executives. They were the heroes, but only because they were subject to drone surveillance at their own employers.

And employer groups and local and national Chambers of Commerce and and human resources organizations are going to have to take a stand as well. I predict that law firms will also have to line up on one side or the other from the standpoint of whether they are going to advise employers to use drones. Morality and ethics, not only law, will come into play. As I have already suggested, the employers who do decide to use drones may stall in producing gigabytes of data and courts will have to address those stalling tactics. The issue already exists with production of gigabytes of other kinds of data in lawsuits.

As an attorney for employees, I worry that courts are not going to be very sympathetic with invasion of privacy claims based on drone use by employers or benefit insurers or administrators. I hope it is the case that, even so, some attorneys for employers may be so uncomfortable with use of drones by employers that they will not defend it. But money is powerful. Of course, it will cost a lot more to defend the use of drones than it will cost to insert the homing device and get the drone up and running.

All in all, especially if drones and homing devices veer towards the nano as so many other things are these days, all the prospects relating to drones in the workplace are scary even if you are not easily scared.

About the author

Robert E. Goodman Jr. is senior counsel with Kilgore Law.