EMPLOYMENT EMPLOYMENT LAW: Going Beyond Compliance to Engagement and First Empowerment, by Rosemarie Feuerbach Twomey, focuses on the laws that have the greatest Edition impact on the relationships between employers and employees—in particular, the common law governing the employment relationship which has dramatically changed the application of the employment at will doctrine, and the many statutory requirements of fair employment practices that promote equal GE LAW opportunity to all employees. o inM g THE BOOK IS PREMISED ON THREE CORE BELIEFS: B e 1. Managers can gain a meaningful understanding of the laws that apply to the employer- yP o employee relationship and the implications of those laws for how business is conducted. ndL First Edition C 2. Compliance with employment laws is best accomplished by following effective management oO m practices that include fair treatment of workers. p liY a 3. Understanding, appreciating, and following the spirit of employment laws—and not being n c unreasonably constrained by the letter of those laws—will contribute signifi cantly to the e M t o strategic goals of any organization. E nE g To learn more about this text, please visit www.mhhe.com/twomey1e. ag eN m Reviewers have said: e nT t a “In my opinion, the selected cases are excellent. The cases appear to me to be much more relevant to n d the concepts covered than the text I am currently using. I believe this to be an excellent approach to this L E subject. It is very important for non-lawyers to understand the law but not to the detail that an attorney m M pA D needs. A manager needs to understand the consequences in particular so that good decision making can ow D take place. I especially like the Managerial Perspective section that is provided in the text.” James H. eW A r L Schindler, Columbia Southern University m I e M nt # “Management Perspective Sections – LOVE THIS – almost the single most important thing to the book 9 9 besides the global perspective and the content.” Michelle Grunsted, University of Oklahoma 04 3 8 Tw 11 o /0 m 5/0 e 8 y C Going Beyond Compliance to Engagement and Empowerment Y A N M A G ISBN 978-0-07-302697-8 Y MHID 0-07-302697-2 E L 90000 B L E K A N Rosemarie Feuerbach Twomey 9 780073 026978 www.mhhe.com ttwwoo2266997722__ffmm__ii--xxiivv..iinndddd PPaaggee ii 1111//2211//0088 1111::2200::3322 AAMM uusseerr--ss117722 //VVoolluummeess//220055//MMHHBBRR006644//wwoorrkk%%00//iinndddd%%00 Employment Law G oing Beyond Compliance to Engagement and Empowerment Rosemarie Feuerbach Twomey Fairleigh Dickinson University Boston Burr Ridge, IL Dubuque, IA New York San Francisco St. Louis Bangkok Bogotá Caracas Kuala Lumpur Lisbon London Madrid Mexico City Milan Montreal New Delhi Santiago Seoul Singapore Sydney Taipei Toronto ttwwoo2266997722__ffmm__ii--xxiivv..iinndddd PPaaggee iiii 1111//2222//0088 11::3300::3377 PPMM ss--220066 //VVoolluummeess//220055//MMHHBBRR006644//wwoorrkk%%00//iinndddd%%00 EMPLOYMENT LAW: GOING BEYOND COMPLIANCE TO ENGAGEMENT AND EMPOWERMENT Published by McGraw-Hill/Irwin, a business unit of The McGraw-Hill Companies, Inc., 1221 Avenue of the Americas, New York, NY, 10020. Copyright © 2010 by The McGraw-Hill Companies, Inc. All rights reserved. No part of this publication may be reproduced or distributed in any form or by any means, or stored in a database or retrieval system, without the prior written consent of The McGraw-Hill Companies, Inc., including, but not limited to, in any network or other electronic storage or transmission, or broadcast for distance learning. Some ancillaries, including electronic and print components, may not be available to customers outside the United States. This book is printed on acid-free paper. 1 2 3 4 5 6 7 8 9 0 DOC/DOC 0 9 ISBN 978-0-07-302697-8 MHID 0-07-302697-2 Vice president and editor-in-chief: Brent Gordon Publisher: Paul Ducham Sponsoring editor: Dana L. Woo Developmental editor: Megan Richter Executive marketing manager: Rhonda Seelinger Project manager: Kathryn D. Mikulic Lead production supervisor: Michael R. McCormick Design coordinator: Joanne Mennemeier Media project manager: Suresh Babu , Hurix Systems Pvt. Ltd. Cover design: Mike Twomey, GraphicStorm.com Typeface: 10/12 Times New Roman Compositor: Aptara®, Inc. Printer: R. R. Donnelley Library of Congress Cataloging-in-Publication Data Twomey, Rosemarie Feuerbach. Employment law : going beyond compliance to engagement and empowerment / Rosemarie Feuerbach Twomey. p. cm. Includes index. ISBN-13: 978-0-07-302697-8 (alk. paper) ISBN-10: 0-07-302697-2 (alk. paper) 1. Labor laws and legislation—United States. 2. Industrial relations—United States. I. Title. KF3319.T96 2010 344.7301—dc22 2008044833 www.mhhe.com ttwwoo2266997722__ffmm__ii--xxiivv..iinndddd PPaaggee iiiiii 1111//2211//0088 1111::2200::3322 AAMM uusseerr--ss117722 //VVoolluummeess//220055//MMHHBBRR006644//wwoorrkk%%00//iinndddd%%00 I dedicate this book to Dan. Without his unwavering love, support, and encouragement, this book would not have been written. ttwwoo2266997722__ffmm__ii--xxiivv..iinndddd PPaaggee iivv 1111//2211//0088 1111::2200::3322 AAMM uusseerr--ss117722 //VVoolluummeess//220055//MMHHBBRR006644//wwoorrkk%%00//iinndddd%%00 About the Author Rosemarie Twomey is a professor of legal studies in business at the Silberman College of Business, Fairleigh Dickinson University (FDU), in Madison, New Jersey. She received her JD from West Virginia University College of Law and practiced law in Morgantown, West Virginia, for 10 years before pursuing a full-time academic career. She was a charter member of the Center for Human Resource Management Studies (CHRMS) of FDU. The objectives of CHRMS include (1) being an in- novator and leader in partnering with business and (2) being a leader in inte- grating research and practice. More recently Professor Twomey helped establish the Institute for Sustainable Enterprise (ISE) at FDU as the superordinate or- ganization of CHRMS. She was involved in founding a two-day professional development workshop, the Action Research Practitioner Series, at the annual Academy of Management Meeting that ran from 1995 through 2005. Her research interests include employment law and global business, and her articles have been published in a variety of academic journals including the I nternational Journal of Organizational Analysis, the Employee Rights and Employment Policy Journal, the Journal of Global Competitiveness, and the N orth East Journal of Legal Studies. Her articles have included “The Family and Medical Leave Act of 1992: A Longitudinal Study of Male and Female Perceptions,” “Global Responses to the Employment Needs of the Disabled,” and “Examining the Prima Facie Case in Mental Disabilities Discrimination Cases.” At FDU she was responsible for organizing and managing a campus- wide, 17-event diversity theme semester. She initiated and managed a series of HR law roundtables, bringing together HR practitioners and lawyers from both the plaintiff–employee bar and the defendant–employer bar to discuss employment-related issues. She served on the university grievance committee, the college and departmental personnel review committees, and the university academic senate. For several years she was chair of the cam- pus diversity council. P rofessor Twomey teaches in the executive MBA and regular MBA pro- grams at FDU. Among the courses she teaches are Legal Aspects of Work- force Management; Social, Political, and Legal Environment of Business; Society, the Legal System, and Ethics; and Field Study of Business, Culture, and Global Sustainability. S he is married to Daniel F. Twomey, professor of management, also at FDU. Together they initiated an innovative study-abroad business course for undergraduates that involves a two-week trip to Costa Rica, and they have taught this course for several years. They have four children with successful careers in education, journalism, law, and business in Connecticut, New York, and New Jersey—Mike, Teresa, Matt, and Luke. iv ttwwoo2266997722__ffmm__ii--xxiivv..iinndddd PPaaggee vv 1111//2211//0088 1111::2200::3333 AAMM uusseerr--ss117722 //VVoolluummeess//220055//MMHHBBRR006644//wwoorrkk%%00//iinndddd%%00 Preface Writing this textbook was the natural result of the author’s teaching a course titled Legal Aspects of Workforce Management and her association and active membership in the Center for Human Resource Management Studies at Fairleigh Dickinson University over the past 18 years. As a result, the textbook incorporates management ideas and theories into each chapter, predominantly through the “Management Perspective” sections. THE CHESS ANALOGY Effective management of people in an organizational setting involves knowl- edge of the “rules of the game” and an appreciation of strategy. The best chess players value all of the pieces for the unique roles they play in any winning strategy. So, too, do the best human resource managers understand the laws that apply to the employer-employee relationship and, within that context, en- able all employees to realize their full potential as they contribute to the goals of the organization. Central Ideas T he book focuses on the laws that have the greatest impact on the behavioral relationships between employers and employees—in particular the common law governing the employment relationship, which has dramatically changed the application of the employment at will doctrine, and the many statutory requirements of fair employment practices that promote equal opportunity for all employees. Organization and Key Objectives T he introductory chapters describe the framework and origin of employment laws, followed by the several ways that legal disputes are resolved. A separate chapter is devoted to mediation—a method that has a long history in other types of disputes, such as domestic relationships, and has only in recent years been embraced by the EEOC and applied more frequently in employment disputes. F air employment practices encompass the demands of federal and state statutes that carve out “protected classes” of people against whom employers may not discriminate. These laws are described in the remaining chapters and are presented chronologically, reflecting their development and evolution un- der federal law. W ithin each chapter, and for each statute, Congress’s reasons for adopting the law are given, and the key principles and requirements of the law are de- scribed and analyzed. Excerpts of cases are presented to further explain the principles and to illustrate how the courts apply these principles in actual situ- ations. At the conclusion of each case, questions for discussion are provided. A lthough the book is designed for an American audience with a focus on U.S. law, each chapter has a “Global Perspective” section that provides a v ttwwoo2266997722__ffmm__ii--xxiivv..iinndddd PPaaggee vvii 1111//2211//0088 1111::2200::3333 AAMM uusseerr--ss117722 //VVoolluummeess//220055//MMHHBBRR006644//wwoorrkk%%00//iinndddd%%00 vi Preface snapshot of what is happening in other countries as they address societal con- cerns such as discrimination and other employment issues. Readers’ apprecia- tion of the laws governing employment can be enhanced by exposure to the nuanced treatment of workers in different political and cultural climates. E ach chapter concludes with a summary and a set of questions, some of which have extensive factual content. These questions provide a platform for class discussion about the numerous circumstances that give rise to legal disputes in the employment relationship. Instructors are encouraged to have students consider and use the “Management Perspective” sections to ex- plore and comment on the behavior of the managers involved in the facts of each case. By consistently referring to such ideas and suggestions, stu- dents can strengthen their own competencies as they strive to become more effective managers. Premise T his book is premised on three beliefs of the author. (1) Managers can gain a meaningful understanding of the laws that apply to the employer– e mployee relationship and the implications of those laws for how business is conducted. (2) To a great extent, compliance with employment laws is best accomplished by following effective management practices that include fair treatment of workers. (3) Understanding, appreciating, and following the spirit of employment laws—and not being unreasonably constrained or paralyzed by the letter of those laws—will contribute significantly to the strategic goals of any organization. T he law is sometimes seen as an impediment to efficient management— something not directly related to organizational goals. However, the objec- tives of the laws, particularly the laws governing the employment relationship, go hand in hand with the purposes of almost any organization. Managing people at work in ways that promote loyalty, motivation, creativity, and reten- tion is not antithetical to the laws, but rather is synergistic with the spirit of those laws. PEDAGOGY Excerpted Cases E xcerpts of cases are presented to explain each chapter’s principles and to il- lustrate how courts apply these principles in actual situations. Questions for discussion are provided to test readers’ understanding of the principles and to encourage inquiry about how the facts led to the filing of a legal action against the employer and what behavior on the part of managers and supervi- sors might have averted the problem. Management Perspective Boxes Each “Management Perspective” box incorporates management ideas and theories to enrich the topic coverage within the chapter. ttwwoo2266997722__ffmm__ii--xxiivv..iinndddd PPaaggee vviiii 1111//2211//0088 1111::2200::3333 AAMM uusseerr--ss117722 //VVoolluummeess//220055//MMHHBBRR006644//wwoorrkk%%00//iinndddd%%00 Preface vii Global Perspective Boxes “Global Perspective” boxes raise awareness and appreciation of the socio- logical and historical context of employment law, as well as promoting better understanding of different cultures in a shrinking commercial world. Key Terms T erminology critical to readers’ learning is printed in bold type within the text and is defined in the margin at each term’s first occurrence. End-of-Chapter Questions S everal questions at the end of each chapter are available for classroom and individual use to strengthen the competencies needed by effective managers. SUPPLEMENTS Online Learning Center • Can be accessed at www.mhhe.com/twomey1e . • Includes an instructor’s manual with answers to the end-of-chapter questions. • Includes PowerPoint sets of instructional slides for each chapter. • Includes test bank fi les for instructor use. • Gives students access to chapter quizzes, created by John Tiede of Missouri Southern State University, to test progressive knowledge. ttwwoo2266997722__ffmm__ii--xxiivv..iinndddd PPaaggee vviiiiii 1111//2211//0088 1111::2200::3333 AAMM uusseerr--ss117722 //VVoolluummeess//220055//MMHHBBRR006644//wwoorrkk%%00//iinndddd%%00 Acknowledgments The author greatly appreciates the signifi cant effort made by the reviewers of the drafts of this textbook. Their insight, experience, and suggestions were critical to the completion of the work: Susan Boyd James Morgan University of Tulsa California State University–Chico Debra Burke Dr. John Poirier Western Carolina University Bryant University Teri Elkins Longacre Anne W. Schacherl University of Houston Madison Area Technical College Michelle Grunsted James Schindler University of Oklahoma–Normal Columbia Southern University Dan Krcma James Sisk Northcentral Technical College Gaston College Laurie MacDonald John Tiede Warren National University Missouri Southern State University Sal B. Marchionna Triton College The author also wants to thank Robert Richlan, J.D., the FDU attorney– librarian, who was always there when she needed him. Also, the author thanks the students who, over the past few years, have given freely of their time to help with various phases of this book. M ost of Chapter 4 was written by Teresa Marie Twomey, who, through her experience as a lawyer and expertise as a mediator, provided invaluable information and insights. Her review of other aspects of the book is equally appreciated. Special thanks go to Sponsoring Editor Dana Woo (past, Kelly Lowery) and Development Editor Megan Richter (past, Kirsten Guidero), who have been diligent in providing me with guidance and information, and patient with me throughout the process. It has been a delight to work with them. T hanks also to Andy Winston, who was my fi rst contact at McGraw-Hill and who encouraged me in the earliest stages of the formation of this textbook. Special thanks to Mike Twomey (GraphicStorm.com) for his generous and timely contribution in designing the cover of the book and to Drew Harris for his enthusiastic support and for coming up with the perfect title. viii ttwwoo2266997722__ffmm__ii--xxiivv..iinndddd PPaaggee iixx 1111//2211//0088 1111::2200::3333 AAMM uusseerr--ss117722 //VVoolluummeess//220055//MMHHBBRR006644//wwoorrkk%%00//iinndddd%%00 Contents in Brief Preface v 9 The Civil Rights Act of 1991, the Glass Ceiling Act, and the Acknowledgments viii Pregnancy Discrimination Act 205 PART ONE 10 Sex Discrimination, the Equal Pay Act, and the Civil Rights Introduction 1 Act 225 1 Overview 2 PART FIVE PART TWO Reaching for Equal Opportunity Based Basic Legal Concepts and Forums 29 on Religion, National Origin, Age, 2 Litigation 30 and Disability 255 3 Alternative Dispute Resolution: 11 Religious Discrimination 256 Arbitration 51 12 National Origin Discrimination and 4 Alternative Dispute Resolution: Immigration Issues 282 Mediation 68 13 Age Discrimination 306 14 Disability Discrimination 334 PART THREE Employment Law and the PART SIX Common Law 89 Employment Benefits and Family 5 Employment at Will 90 Leave Law 353 6 Privacy Rights, Restrictive 15 The Family and Medical Leave Covenants, and Intellectual Act, Workers’ Compensation, and Property 136 the ADA 354 PART FOUR Index 369 Reaching for Equal Opportunity Based on Sex and Race 161 7 Civil Rights Act of 1964 (Title VII) 162 8 Race and Color Discrimination 182 ix