On March 1, 2011, the United States Supreme Court held in Staub v. Proctor Hospital, No. 09-400, 2011 U.S. LEXIS 1900 (Mar. 1, 2011), that an employer can be held liable for discrimination where an adverse employment decision is influenced by a supervisor's discriminatory intent, even where the ultimate decision maker had no discriminatory animus. In Staub, the plaintiff sued his former employer under the Uniformed Services Employment and Reemployment Rights Act of 1994 ("USERRA"), claiming that the human resources executive who fired him was merely the "cat's paw" of his direct supervisors, who had openly expressed anti-military sentiment. The Court found that if an action by a biased supervisor is the proximate cause of an employee's termination, then the employer can be held liable for discrimination, even if the ultimate decision maker had no discriminatory intent and was unaware of the supervisor's bias.
Although the Court allowed for the possibility that an employer could escape liability by conducting an independent investigation, it provided little guidance to employers regarding the circumstances under which such an investigation could insulate them. In this regard, the Court stated that "if the employer's investigation results in an adverse action for reasons unrelated to the supervisor's original biased action ... then the employer will not be liable. But the supervisor's biased report may remain a causal factor if the independent investigation takes it into account without determining that the adverse action was, apart from the supervisor's recommendation, entirely justified." Thus, the Court seemed to suggest that a jury can consider the actions and statements of an allegedly biased supervisor unless the employer can demonstrate that such supervisor played no role and had no input regarding the adverse employment action.
The rationale underlying the Supreme Court's decision presumably applies equally to discrimination claims brought under Title VII, the Americans with Disabilities Act and other federal statutes prohibiting employment discrimination. The decision highlights the importance of training all supervisors with respect to their equal employment opportunity/non-discrimination obligations. It illustrates that biased or discriminatory input from even one supervisor can taint a disciplinary/termination process involving multiple supervisors and layers of review.
Day Pitney Alert
Eric Sussman authored an article, "Conn. High Court Sheds Light on 'ABC' Test Application," which was published by Law360.
Patrick McCarthy and Christopher Stracco spoke about Project Labor Agreements on Friday, February 10, at the New Jersey Institute of Continuing Legal Education's Annual 2017 Redevelopment Law Institute at the Renaissance Woodbridge Hotel in Iselin, New Jersey.
On January 17, John DeSimone and Heather Weine Brochin presented a discussion about employment agreements and negotiation strategies at the NYU School of Medicine.
On October 10, James Bowers will share his personal perspectives on the History of Slavery and Race in South Carolina at UConn School of Law.
Michael Furey was quoted in an article, "The Biggest New Jersey Cases of 2016," which was published in Law360.
Michael Furey was quoted in an article, "NJ Panel Grills Hospitals Over Discovery In Horizon Row," in Law360. Day Pitney is representing five New Jersey hospitals in a lawsuit against Horizon Healthcare, relating to its new, multi-tiered health plan called OMNIA. Furey advocated on behalf of the five hospitals on Wednesday before a New Jersey appeals court that Horizon should turn over a consultant's report and certain agreements relating to how Horizon categorized hospitals under its controversial OMNIA Alliance program and the impact of OMNIA on the hospitals. These Tier 2 hospitals are alleging various claims, including breach of contract and citing concerns that being ranked in the lower tier of the program will cost them business. Horizon contends the sought-after materials, including a financial analysis, strategic alliance agreements and rate agreements between the insurer and OMNIA network hospitals, contain trade secret and confidential information. "If we're going to prove our hospitals should be Tier 1 alliance members, we need the documents and the information," Furey said.
Hartford, Conn., May 26, 2016 - Day Pitney LLP is pleased to announce that Employment and Labor attorney Albert Zakarian has been chosen as a Lifetime Achievement winner of The Connecticut Law Tribune’s second annual Professional Excellence Awards 2016. The Professional Excellence Awards 2016 recognize 28 lawyers, who were chosen from over 60 nominees, as either Lawyer of the Year or Lifetime Achievement recipients, according to The Connecticut Law Tribune. The Lifetime Achievement Awards honor "attorneys who have excelled over a career."
John McLafferty was quoted in an article, "Final overtime regulations less drastic than feared," in Massachusetts Lawyers Weekly. In the article, McLafferty discusses how the Department of Labor’s final revised federal overtime regulation will impact businesses. "The reality is that the rule made more people eligible for overtime; it didn’t create any obligation for employers to pay more overtime," he said. McLafferty added that the regulation’s impact on employees could have a wider effect on office culture and policies, which may affect a company’s ability to attract and retain workers. In addition, he noted that employers should take this opportunity to ensure that all of their employees are properly classified for overtime purposes.
Albert Zakarian has been chosen as a winner of The Connecticut Law Tribune's second annual Professional Excellence Awards. The awards recognize two dozen lawyers for outstanding service to the profession during their long careers. The publication received more than 70 nominations. Profiles of awardees will appear in the Law Tribune in May. An event will also be held in May to recognize the winners. More about the awards can be found here.