Dallas Employment Lawyer Blog

Employee or Independent Contractor: What’s the Difference and How Do You Know?

December 13, 2018 | Law Office of Rob Wiley, P.C.

Traditionally, a company would arrange to have most of the services needed to run the business performed in-house, meaning necessary services would be provided by employees of the company. However, over the past several decades, the use of independent contractors has skyrocketed. Thus, while independent contractors were historically only found in specific fields, such as construction, photography, and consulting, more industries are hiring independent contractors, including technology companies, law offices, marketing firms, and even medical offices.

As a general definition, an independent contractor is someone who performs work for a company but is not an employee of the company. The definition of an independent contractor can depend on the state in which the company operates. However, in general, the focus of the inquiry is on the amount of control the company retains over the work product and individual performing the work. The more control an employer exercises in how the work is completed, the more likely the worker will be considered an employee. In Texas, the Department of Workforce Services uses a twenty-point comparative approach to determine whether a worker is an employee or an independent contractor. The IRS uses a somewhat similar approach, called the “control test,” which focuses primarily on the amount of control the company retains over the assigned work.

It is essential for a worker to understand his or her relationship with a company and what rights you have. Just because a company labels you as an independent contractor does not make it so; the ultimate determination will be left to the courts.

What Is the NLRB and How Does It Affect Texas Employees?

December 5, 2018 | Law Office of Rob Wiley, P.C.

Most Texas employees have heard of the National Labor Review Board, or NLRB as it’s more commonly referred to. However, surprisingly few know what the NLRB is or how important the agency is to employees. Very generally, the NLRB protects the rights of employees to organize in pursuit of better wages or conditions. In pursuit of this goal, the NLRB fulfills many roles.

The NLRB is an independent federal agency formed in 1935 with the passage of the National Labor Relations Act (NLRA), which was enacted to “protect the rights of employees and employers, to encourage collective bargaining, and to curtail certain private sector labor and management practices.” The NLRB consists of a five-member board, a general counsel, and dozens of judges in addition to a large support staff spread across its central Washington, D.C. office and 26 smaller regional offices. The primary purpose of the NLRB is to enforce the NLRA.

How Does the NLRB Help Employees?

The NLRB is primarily concerned with protecting the rights of employees to organize. Importantly, the NLRB does not only protect unionized employees, but it safeguards any group of employees that bands together seeking to improve their working conditions or wages. Thus, one of the primary roles of the NLRB is to investigate claims of unfair labor practices that are made by employees to any of the 26 regional offices.

Are Arbitration Clauses in Texas Employment Contracts Enforceable?

November 28, 2018 | Law Office of Rob Wiley, P.C.

When an employee is hired, in many, if not most instances, he or she is required to sign some form of employment agreement. These contracts outline the duties and expectations of both the employer and the employee. Frequently, Texas employment contracts include an arbitration clause, which is an agreement between the parties that any dispute arising from the employment relationship will be resolved out of the court system by an independent arbitrator.

For the most part, Texas employment arbitration agreements favor the more sophisticated party. For one, the costs of defending a case in arbitration is lower than a traditional Texas employment case in the court system. Additionally, depending on the terms of the arbitration agreement, certain rules of evidence may not apply. Moreover, an arbitrator’s conclusion is generally final and thus not appealable.

Like other contractual agreements, arbitration agreements can be enforceable if they are voluntarily entered into by both parties, are not overly broad in their scope, and do not provide an unfair benefit to one party. Thus, just because an employee signed an employment contract that contains an arbitration clause does not necessarily mean that the clause will be enforceable. At the same time, an arbitration agreement can be enforced even if the employee does not sign the agreement, particularly if they continue to work knowing that there is an arbitration policy.

U.S. Supreme Court Holds Age Discrimination in Employment Act Applies to All Government Employers, Regardless of Size

November 23, 2018 | Law Office of Rob Wiley, P.C.

Recently, the United States Supreme Court issued an opinion that will have a significant impact in federal age discrimination cases against government employers. In the case Mount Lemmon Fire District v. Guido, the Court held the Age Discrimination in Employment Act (ADEA) applies to government employers of all sizes.

The ADEA

When the ADEA was passed in 1967, it added age to the list of characteristics that could not be used by an employer as a basis for an adverse employment decision. Under section 630(b), the ADEA defines the term employer as “a person engaged in an industry affecting commerce who has twenty or more employees.” However, the statute also states that an employer “also means … a State or political subdivision of a State and any agency or instrumentality of a State or a political subdivision of a State.”

The Facts of the Case

According to the Court’s opinion, the plaintiffs were two men, aged 46 and 54, who were terminated from their positions by the defendant fire department when the fire department began facing budgetary concerns. The fire department was a political subdivision of the State of Arizona. At the time they were fired, the employees were the oldest two firefighters in the department.

Employers Cannot Discriminate Based on Past, Current, or Future Military Service

November 16, 2018 | Law Office of Rob Wiley, P.C.

Texas is home to a large number of the country’s veterans. In fact, it is estimated there are over 1.6 million veterans in Texas, putting Texas behind only California as the country’s most veteran-populated state. As a result, veterans make up a sizable portion of the Texas workforce.

Unfortunately, veterans, like many other groups, are still facing issues of discrimination in the workplace. However, under the Uniformed Services Employment and Reemployment Rights Act (USERRA), public and private employers are prohibited from discriminating against an employee based on an employee’s past, present, or future military service.

Unlike other types of workplace discrimination, such as discrimination based on an employee’s race, color, national origin, sex, gender, or religion, discrimination against veterans is not included in the Civil Rights Act of 1964. Instead, veterans are protected by USERRA, which provides comprehensive protection to veterans. The Act protects those who are currently serving in, or previously served in the Army, Marine Corps, Navy, Army National Guard, Coast Guard, Air Force, Air National Guard. Additionally, the Act protects those whose service was both voluntary and involuntary.

Are Texas Employers Required to Provide Paid Vacation and Sick Leave?

November 9, 2018 | Law Office of Rob Wiley, P.C.

For many Texas employees, monetary pay is only a part of the overall compensation package offered by employers. For employees who have children or care for a sick family member, the paid- and unpaid-leave benefits provided by many employers are just as important as one’s salary or wages. Unfortunately, Texas employers are not required under any state or federal law to provide paid-leave benefits to employees, except under certain circumstances.

As a general rule, a Texas employer can decide whether to offer benefits to its employees. There are times, however, where an employer is required to provide certain benefits to its employees. One example is where an employer’s written policy provides benefits to employees, but the employer denies a qualifying employee access to these benefits. The Texas Payday Law states that an agreement to provide paid or unpaid leave is an enforceable term of the wage agreement. Thus, an employer who may not be required by law to offer benefits becomes obligated to provide them if there is a written policy offering benefits to qualifying employees.

Responsibilities of Texas Employers under the Americans with Disabilities Act

November 2, 2018 | Law Office of Rob Wiley, P.C.

The Americans with Disabilities Act (ADA) is a federal law enacted in 1990 designed to protect individuals with disabilities from being discriminated against. The ADA prohibits discrimination against those individuals who have disabilities in all areas of public life. The ADA applies to areas such as public and private places, transportation, employment, and education. This means that both private and public employers are covered under the ADA.

What Is Considered a Disability under the ADA?

Almost ten years ago, an amendment to the ADA was signed into law clarifying what is considered a disability for the purposes of the ADA. To qualify for protection under the ADA, a person’s impairment must be substantial. Impairment is considered substantial when it restricts or limits a major life activity. Some things considered major life activities are learning, working, walking, breathing, hearing, and seeing.

When Do ADA Protections Apply and What Is Covered?

An employer is required to provide protections under the ADA if the employee has a disability and is qualified to perform the essential functions of the job with or without reasonable accommodations. Essentially, the individual must be able to meet the employer’s requirements, and then must be able to perform the job with or without accommodations. Under the ADA, an employer cannot have any discriminatory practices in areas such as compensation, benefits, hiring, training, firing, and recruiting.

Can a Texas Employer Require Employees to Pool Tips?

October 25, 2018 | Law Office of Rob Wiley, P.C.

For those who work in the service industry, the importance of tips cannot be overstated. Many service employees work primarily for tips, meaning that their employer only provides them with a minimal level of base hourly compensation. Thus, for many service employees, their lives literally depend on the amount of tips they bring in.

On its face, the concept of tipping seems to only benefit the employee receiving the tip. However, over the years, employers have also found ways to benefit from society’s expectation that an employee will be tipped for the services they provide. For example, under Texas law, an employer is able to pay a tip-eligible employee less than those employees who do not receive tips by taking a “tip credit.”

A tip credit is an adjustment that employers can make to a tipped employee’s wage, assuming that the employee will make up the difference in tips. For example, the minimum wage in Texas is $7.25/hour. However, an employer only needs to pay a tip-eligible employee $2.13/hour. The remaining $5.12/hour is considered a tip credit. If, however, the employee does not bring in at least an additional $5.12/hour, the employer will be required to pay the difference. Thus, tipping allows for an employer to pay its tipped employees less than they pay non-tipped employees.

What Is Reverse Discrimination and Is It Legal in Texas?

October 19, 2018 | Law Office of Rob Wiley, P.C.

The United States has a long history of discrimination against various groups, including racial minorities and women. And it should come as no surprise that the most desirable jobs are filled by those who have been given the best opportunities to succeed by not having the road-block of discrimination erected in their path. This often means that certain minority groups, as well as women, are poorly represented across certain industries.This fact has led some private and public-sector employees to engage in what is known as “reverse discrimination.” Essentially, reverse discrimination is exhibiting the preference of a minority candidate over a candidate of a majority group.

Discrimination is often used in the context of adverse action being taken against a person in a minority group. However, that is not necessarily always the case. When an employer exhibits a preference for one group over another based on an immutable characteristic such as race, they are engaging in a form of discrimination. However, the Texas Labor Code and Civil Rights Act of 1964 apply to all citizens equally, regardless of whether they belong to a majority or minority group.

Why Employees Should Avoid Arbitrating Their Texas Employment Law Cases When Possible

October 10, 2018 | Law Office of Rob Wiley, P.C.

When a Texas employment issue arises, there are several methods by which it can be resolved. Traditionally, the aggrieved employee would file a lawsuit in a court of law with the intention that a judge or jury would ultimately resolve her or his claim.

However, over the years, alternate means of settling claims have become more and more popular. For example, in a recent blog post, we discussed how mediation may be a good way for an employee to resolve an employment claim. This is because the mediation process involves a trained expert helping the parties come to a mutually acceptable solution to the issue. If the parties cannot come to a final agreement, then neither is bound by what occurred during the mediation or by any recommendations of the mediator.

Another form of Texas employment dispute resolution is called arbitration. Arbitration is much less favorable for Texas employees. The process involves a private, non-judicial decision-maker, called an arbitrator, who hears a case and issues a decision. Unlike the mediation process, arbitration binds the parties. And unlike the formal legal process, arbitration rulings can often not be appealed. Arbitration proceedings are also private, meaning the result is kept out of the public eye.