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BUSINESS LAW column: A tale of two updates from courts

BUSINESS LAW column: A tale of two updates from courts
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A month ago or so, we discussed an issue pending before the United States Supreme Court. As you remember, the Fair Labor Standards Act governs issues of overtime and minimum wage. One exception from the FLSA's requirement that employers pay overtime, extends to persons employed in domestic service employment to provide companionship services for individuals unable to care for themselves. This exception clearly applies when the caregiver is hired directly by the person receiving the care.

The question before the Supreme Court was whether the exception includes those companionship workers who are employed by an agency that provides the services, as contracted to the family or household using the services. In the decided case, the Supreme Court answered that it did.

Unless Congress mandates a change in the exception, the law is now clear. No domestic service employees, whether employed by the care recipient directly or by a separate business entity, are entitled to minimum wage or overtime, as long as the services of companionship and domestic services are provided in the home.

A recent second case reaffirmed the law on religious accommodations in the workplace. The facts were too burdensome for our purposes, but the court holding isn't. Title VII prohibits religious discrimination and requires an employer to make reasonable accommodations for its employees' religious beliefs. However, an employer need not make the accommodation if it would cause an undue hardship.

Undue hardship occurs when a religious accommodation would cause more than minimal hardship to the employer or to other employees. For example, an accommodation that requires other employees to assume a disproportionate workload or diverts them from their regular work constitutes an undue hardship.

In the decided case, the employer made a series of accommodations. Each time it did, the employee demanded a further accommodation. If the last requested accommodation had been granted, the employer would not have been able to service its customers. The court held that the employer was not required to place itself in this position.

For many reasons, religious discrimination claims are increasing in the workplace. Employers increasingly have to determine if an employer's request for a religious accommodation is reasonable, or if it causes an undue hardship.

Opinions expressed solely are those of the writer. James Jorgensen practices law at Hoeppner Wagner & Evans in Valparaiso.

Copyright 2012 nwitimes.com. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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