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We are continuing to monitor key trends and significant updates that affect employers across a wide variety of industries. We want to make sure we touch upon issues that are of concern to you. We invite you to take a moment and let us know what you would like to hear more about in this newsletter. Click below to email our team of attorneys.
Updates
OSHA Turns Up the Heat on Employers with New Proposed Rule
Last summer, we described efforts of the Occupational Safety and Health Administration (OSHA) and several states to protect workers from heat stress hazards. In July of this year, OSHA issued a notice for a proposed rule, “Heat Injury and Illness Prevention in Outdoor and Indoor Work Settings,” aimed to protect workers from the significant health risks associated with extreme heat. The proposed rule follows years of attempts to regulate exposure to heat under the General Duty Clause (Section 5(a)1) of the OSHA Act, which requires employers to provide employment and places of employment “free from recognized hazards that are causing or likely to cause death or serious harm to employees.” The term “hazard” in the statute has been broadly interpreted by OSHA to include heat-related hazards.1 Several states operating OSHA-approved state plans, including California, Colorado, Minnesota, Oregon, and Washington, have already adopted standards that specifically address heat exposure. If finalized, the proposed rule would be the first of its kind by OSHA and affect at least 36 million indoor and outdoor workers. It could also have significant ramifications for multi-employer work sites under OSHA’s current enforcement initiatives.
Game Time Decision: Another District Court Will Decide if College Athletes Are Employees
U.S. college athletes may soon be considered employees entitled to minimum wage under federal law. In a recent decision, the Third U.S. Circuit Court of Appeals ruled that college athletes could theoretically be considered employees of their schools under the Fair Labor Standards Act (FLSA), but remanded to the District Court for further analysis of the factual record under a different employment test. The District Court’s decision on remand has the potential to yield seismic changes to college athletes’ rights to be paid for their athletic endeavors and the obligations of Higher Education institutions to pay such compensation.
An Independent School’s Guide to the New DOL Overtime Rule
In a 2024 Final Rule, the Department of Labor (DOL) announced that it would be increasing in two phases the salary threshold for employees to be exempt from overtime. Specifically:
- As of July 1, 2024, the threshold increased to $844 per week/$43,888 annualized, up from the current threshold of $684 per week/$35,568 annualized; and
- As of January 1, 2025, the threshold will increase again to $1,128 per week/$58,656 annualized.
Practically speaking, what do these increases mean for independent schools?
Attorney Spotlight
Daniel Hoffer: California recently amended its controversial Private Attorneys General Act (PAGA) to sharply reduce penalties for employers who take "all reasonable steps" to comply with California law. To take advantage of these potential penalty reductions, employers should review their wage and hour policies and consider periodic payroll audits to assess compliance with California law. Employers should also provide supervisor training designed to ensure compliance with company meal and rest break, timekeeping, and other internal policies.
About the Labor and Employment Group
The national, 40-person Labor and Employment team at Venable provides guidance and support across the full spectrum of workplace dynamics – helping employers control costs, avoid disputes, and defend themselves when litigation arises. As co-editors of this newsletter, Michael Volpe and Doreen Martin invite you to share the content with your colleagues and reach out with any questions.