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The Kentucky Supreme Court has ruled that Kentucky cities do not have the authority to raise the minimum wage. This ruling means that a November 2015 ordinance in Lexington that increased the minimum wage and a similar decision in Louisville from 2014 are no longer valid.
Employers in Jefferson County can once again pay workers a minimum of $7.25 per hour.
Louisville’s ordinance mandated a minimum of $8.25 per hour until this ruling. The minimum had been set to reach $9 an hour on July 1, 2017.
Enforcement of the new Occupational Safety and Health Administration (OSHA) anti-retaliation provisions has been pushed back to December 1, 2016. Initially intended to be effective August 10, 2016, the provisions were originally delayed until November 1, 2016. OSHA agreed to this second delay in light of a legal challenge in the U.S. District Court for the Northern District of Texas.
When the anti-retaliation provisions go into effect, the rules will require employers to do the following:
While this rule does not prohibit incentive programs, employers must not create incentive programs that deter or discourage an employee from reporting an injury or illness (such as offering bonuses for low reporting rates). If used, incentive programs should encourage safe work practices and promote worker participation in safety-related activities.
In addition, automatic post-injury drug testing will be under more scrutiny and will likely be considered retaliatory unless it is done pursuant to state or federal law. The rules do not prohibit post-accident drug testing on a case-by-case basis, such as when an employer has reasonable suspicion that an employee was under the influence at the time of an accident.
The Federal Contractor Minimum Wage, implemented by presidential Executive Order in 2014, increases to $10.20 per hour (and $6.80 for tipped employees), effective Jan. 1, 2017.
This law affects all companies with federal government contracts or subcontracts. All company locations where employees perform work under contract or subcontract are required to display this posting to their employees on or before the Jan. 1, 2017, effective date.
The U.S. Department of Labor released its Final Rule in September requiring federal contractors to provide at least seven days of sick leave to their employees. This rule will go into effect January 1, 2017.
The Final Rule implements Executive Order 13706, signed by President Barack Obama in September 2015. The following is a general overview of the 466 page rule.
The Department of Labor has the authority to investigate violations of the Final Rule, including potential interference, discrimination, retaliation claims, and failure to meet the Rule’s requirements. The consequences of violating the rule include suspension and debarment from federal contracting. Consequently, it is imperative that employers comply with the Final Rule.
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