Employment Law This Week: Defend Trade Secrets Act, Final OT Rule, Leave for Disabled Workers, OT Exemption Case

(1) Defend Trade Secrets Act Signed Into Law

Our top story: President Obama signs the Defend Trade Secrets Act of 2016 (DTSA). Under the DTSA, employers can now sue in federal court for trade secret misappropriation. Though there is some overlap with the Uniform Trade Secrets Act—adopted in some version by 48 states—the DTSA marks a notable change in how these cases are litigated, creating a federal civil cause of action. The new law contains broad whistleblower protections and new requirements for employers to give notice of these protections. David Clark, from Epstein Becker Green, has more on how the DTSA will impact state laws. See the extended version here.And for more on this story, click here.

(2) DOL Issues Final OT Rule

Last Wednesday, the Department of Labor (DOL) issued its long-anticipated final rule expanding federal overtime pay regulations. The DOL’s rule raises the minimum salary threshold for exemption to $47,476 per year. For more information, click here.

(3) EEOC Releases New Guidance on Leave for Disabled Workers

The EEOC offers clarification on leave as a reasonable accommodation for employees with disabilities. The agency issued a new resource providing more detail about leave under the Americans with Disabilities Act. The publication comes after a recent surge in disability charges that, according to the EEOC, indicates a lack of clarity around leave as an accommodation. For more information, click here.

(4) Geico Asks U.S. Supreme Court to Resolve OT Exemption Case

Investigators for Geico were classified as exempt from overtime under the Fair Labor Standards Act’s (FLSA’s) administrative exemption. The workers sued, arguing that they had been misclassified and were due payment for overtime. The U.S. Court of Appeals for the Fourth Circuit upheld a lower court ruling in favor of the investigators and, in doing so, created a split with the Sixth Circuit on the issue. Geico has appealed to the High Court, arguing that the split will create uncertainty for employers and that the decision was based on an overly narrow interpretation of the FLSA exemption.

(5) In-House Tip of the Week

Edward Temple, General Counsel for Nippon Express USA, advises on best practices when working for a U.S. subsidiary of a global company. See the extended version here.

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