Connecticut Employment Law Blog : Connecticut Employment Lawyer & Attorney : Daniel Schwartz : Stamford, Hartford New Haven, CT

Here's a quick update on some items and topics that have been covered by the blog over the past year:

• Earlier this week, I raised the issue of whether the rising unemployment rate would also lead to more employment lawsuits. Reuters yesterday released a very good and balanced article on the subject. I shared my thoughts with the reporter who was kind enough to add those comments to the article. You can check it out here. 
   
• The lawsuit brought by three wrestlers against the WWE is continuing..but at a snail's pace.  As you may recall, WWE filed a motion to dismiss in early October on the merits of the case. The wrestlers' response was due on November 10th. However, the wrestlers have now sought an extension of time and their response will now be due in a few weeks. In the meantime, the wrestlers did mention in their most recent filing the possibility of adding or incorporating claims that other wrestlers have. No word on any details, but we can expect some new developments by month's end.
   
• A few weeks ago, I commented on the provocative article that suggested getting rid of performance reviews.  SHRM has a good article posted today that argued that performance reviews should not be eliminated. Instead, managers must "own" the reviews (subscription required).

Whether individuals believe in performance reviews or not, organizations are increasingly looking to hold managers accountable for accurate, timely and unbiased appraisals which help manage performance and head off legal issues.

“A lot of people are asking questions, given the financial crisis, about what HR or human capital programs companies should be focused on and performance management would definitely make my short list,” said Laura Sejen, Watson Wyatt’s global practice director for strategic rewards in New York. “It’s more important than ever to make sure that employees and managers are clear about organizational goals and priorities.”

• Last year, I wrote about a case that held that the National Bank Act may preempt certain state law discrimination claims.  The Employer Law Report reports that two new cases have also followed suit, making it that much more important for national banks to learn about their available defenses in employment discrimination claims.
   
• Last, in response to my article on Veteran's Day, I received a very nice phone call from an officer of the Naval Enlisted Reserve Association (NERA). Reservists are an often-overlooked part of our military and I commend them for the work they are doing on behalf of our men and women fighting in the wars in Afghanistan and Iraq.

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The Jewish holidays starting tonight encourage reflection. So, it seems particularly appropriate to do some quick updates on earlier posts:

• The lawsuit against WWE by three wrestlers continues to move very slowly.  Early press reports by another source suggested that WWE would be moving quickly to respond to the claims; they aren't.  WWE asked for an extension of time until today to file an answer to the complaint.  As of this morning, there was no answer filed.
   
• In two earlier posts (here and here) about a transgender discrimination claim decided in Connecticut, I noted that the case of Schroer v. Library of Congress was worth watching as well because it too involved a claim of transgender discrimination.  Earlier this month, a federal judge ruled in favor of the employee following a bench trial. Numerous blogs have posted on it, including Workplace Horizons, Laconic Law Blog, and the ABA Journal. 
   
• Last month, I posted about a NY Times story that suggested that Plaintiffs who reject settlement offers often do worse at trial.  Now a new study suggests that employment discrimination verdicts are on the rise. Manpower reports that the median award increased nearly 70 percent from 2006 to 2007. 
   
• This summer, I posted that the EEOC released new guidance on religious discrimination. Delaware Employment Law blog had an interesting post on what this means for employees who want to pray at work.  The Jewish holiday of Rosh Hashanah has led to some lawsuits as well so employers may want to refresh themselves on the appropriate rules when they have some employees absent over the next day or two for observances.
   
• And with all the financial collapses over the last two weeks, what does this do for the "Masters of the Universe"? According to Tom Wolfe, it means living in Greenwich, Connecticut. 

• And lastly, special thanks need to go to Susan Carter-Liebel for her post on a "Great Lawyer - Great Charity" and my work with the March of Dimes Signature Chef Auction. The night was a great success and the work we did will directly benefit those in Connecticut addressing the issue of prematurity. 

Wishing all a happy and healthy new year. 

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With lots of little things going up, it's time to followup on a few topics we've covered in the last few days and some other notable posts from around the web.

• First up, my post on the WWE Wrestlers was picked up by Above The Law editors yesterday. Today, the American Lawyer does a little story of their own on the lawsuit with a quote from K&L Gates attorney who notes that his strategy will be revealed later this week in a motion to dismiss.
   
• Today, my guest blogging at Overlawyered continues with a post on one individual's lawsuit against Amtrak for jumping from a train. You can read the court decision related to it here. 
   
• California Labor & Employment Blog discusses whether social networking site are good or bad for the workplace. As I've said before, policies should be tailored to the workplace.
   
• The Greater Hartford Real Estate Blog asks a question that lots of employers in the Hartford, Connecticut area ask: Can we attract young professionals to the area? The answer to that question dictates how well the whole area does.  Interesting how much "power" Generation Y is going to have on the economy and local area.
   
• And lastly, with the Democratic National Convention going on this week, the Workplace Prof blog reminds us to catch up with the "Plum Book" -- your list of jobs potentially available in a new presidential administration.

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As I've cross-posted over at Overlawyered.com today, three wrestlers have sued Connecticut-based World Wrestling Entertainment, Inc. (WWE) claiming that they have been improperly classified as "independent contractors" and not employees.

On Friday, WWE removed the lawsuit to federal court from state court claiming that federal questions are implicated in what would otherwise seem to be a "breach of contract" claim.  (You can read the removal papers here.) What federal questions? Well, federal employment tax questions for one.

But the interesting part of the case is not the removal papers, but the underlying lawsuit itself. (You can download the complaint here.) The wrestlers -- who are seeking class-action status -- claim that they were required to sign a "booking contract" that specified the terms of their engagement such as their training regiment, costumes, and -- to the surprise of no one -- the "outcome of each match".  They claim that they were akin to "employees" and should have been paid as such.  WWE denied the allegations in a 10-Q filing late last month.

While the employees are seeking damages, typically, the penalty for employers is to pay the employment taxes of the employees with some penalties.  It's unclear here what else the wrestlers are actually seeking.  The case has been assigned to Senior Judge Peter Dorsey.

The proper classification of workers has been a thorny issue for employers, going back to the days of the landmark Microsoft lawsuit from the late '90s.    As an employer, you can get a headstart on the issue by going to the IRS website which has lots of commentary and resources on the subject. 

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