search
cart
facebook twitter linkedin youtube instagram Spotify Podcasts Apple Podcasts Spotify Podcasts Apple Podcasts
  • Sign In
  • Create Account
  • Sign Out
  • My Account
  • NEWS
  • TOPICS
    • Cool Roofing
    • Event News
    • Latinos in Roofing
    • Low Slope
    • Legal
    • Metal
    • Project Profiles
    • Roofing Supply Pro
    • Roofing Safety
    • Steep Slope
    • Sustainable Roofing
    • Technology
  • EXCLUSIVES
    • Best of Success
    • Contractor Profile
    • IRE Show
    • Roofing Contractor of the Year
      • Enter Roofing Contractor of the Year
    • Top 100
      • Enter the Top 100
    • Young Guns
    • State of the Industry
    • Century Club
  • MULTIMEDIA
    • Videos
    • Podcasts
    • Interactive Spotlights
    • Roofing Quizzes
    • IRE Videos
    • Webinars
    • Photo Galleries
  • PRODUCTS
    • New Products
    • Featured Products
  • COLUMNS
    • Editor's Note
    • Exit Planning
    • Legally Speaking
    • Safety Advice
    • Technical Details
    • Guest Column
  • EVENTS
    • International Roofing Expo
    • Webinars
    • Best of Success Conference
    • Industry Events
  • DIRECTORY
    • Associations
    • Distributors
    • Manufacturer/Supplier
    • Business Services
    • Get Listed
  • MORE
    • Roofing Contractor eNews
    • RC Store
    • Roofing Supply Pro
    • Custom Content & Marketing Services
    • Market Research
    • Sponsor Insights
    • Company Spotlights
    • Classifieds
      • Auctions
      • Business For Sale
      • Business Opportunities
      • Equipment For Sale
      • Positions Available
      • Products
      • Safety
      • Software
      • Services
      • Training
    • Contact Us
  • EMAGAZINE
    • eMagazine
    • Advertise
      • Media Kit
      • Editorial Calendar
      • Contact
    • Archive Issues
  • SIGN UP!
Columns

Regulations, Executive Orders and Court Rulings: Part 2—What Employers Need to Know Now

By Richard Alaniz
legally speaking
August 25, 2016

Editor's Note: This is the second of a two-part series exploring how recent executive orders and court rulings could impact how roofing contractors operate their businesses. 

Election years often bring a flurry of legislative and regulatory activity that could significantly impact employers. And, as we mentioned in the first part of this two-part series, this election cycle is no different, as Pres. Barack Obama prepares to exit office and Republicans gear up to try to take control of the White House while maintaining control of Congress. 

In the first part, we looked at upcoming regulatory changes that will definitely affect many organizations. Here, we look at court rulings and state laws that promise more expenses, paperwork, and headaches for many more companies. 
 
Increases in the Minimum Wage
 
Although the current federal minimum wage is $7.25 per hour, more than half the states and Washington, D.C., require employers to pay a higher hourly pay rate. In some states, those minimum wages are nearly double the federal rate. And when states and local governments have higher rates, the higher rate prevails. 
 
For example, earlier this year California and New York both set their minimum wages to reach $15 per hour over the next several years. In California, the state’s hourly minimum wage will rise to $15 by 2022 for companies with more than 25 employees, and by 2023 for smaller businesses. 
 
In New York, the wage increase will start in 2019 in New York City for companies with at least 11 workers, and the following year for other companies. Businesses in the suburbs will have to start paying $15 an hour by 2022; in upstate New York, the hourly minimum wage will increase to $12.50 in five years, and then continue increasing until it reaches $15.
 
With millions of workers in California and New York, these states’ increases will obviously affect many employers. According to the “Wall Street Journal,” 53.6 million U.S. workers received less than $15 an hour in 2015.
 
However, not every state has bought into the idea that a rising minimum wage will help the economy. North Carolina recently passed a law that limits how local governments across the state can raise the minimum wage. Similarly, after the Birmingham City Council raised the city’s minimum wage to $10.10, in February, Alabama lawmakers passed a law to ban local governments from establishing local minimum wages. 
 
Equal Pay Enforcement
 
Along with minimum wage laws, states have also been developing or expanding upon their own equal pay laws. On Jan. 1, California’s Fair Pay Act took effect. Under the new law, employers have a far greater burden to prove that their pay practices aren’t discriminatory. New York has passed a similar law. And state contractors in Delaware must pay their employees equally.
 
Along with state laws, employers can also face pay discrimination claims under laws such as the Equal Pay Act of 1963, Title VII of the Civil Rights Act of 1964, the Age Discrimination in Employment Act of 1967, the Lilly Ledbetter Fair Pay Act of 2009, and Title I of the Americans with Disabilities Act of 1990. According to the U.S. Equal Employment Opportunity Commission (“EEOC”), “The law against compensation discrimination includes all payments made to or on behalf of employees as remuneration for employment. All forms of compensation are covered, including salary, overtime pay, bonuses, stock options, profit sharing and bonus plans, life insurance, vacation and holiday pay, cleaning or gasoline allowances, hotel accommodations, reimbursement for travel expenses, and benefits.” 
 
Union Issues
 
The U.S. Supreme Court always been an unknown factor when it comes to deciding cases involving unions, but the situation has only grown more uncertain with the death of Justice Antonin Scalia and gridlock in Washington that has left the nation’s highest court with only eight justices. That gridlock was on clear display in a recent ruling for California Teachers Association that handed a major victory to public-sector labor unions. 
 
When the case was argued in January, many observers thought Scalia would stand with the majority and find that forcing public workers to financially support unions they refused to join violated their First Amendment rights. However, with Scalia’s death, the court deadlocked 4-4. That meant that the ruling from the U.S. Court of Appeals for the Ninth Circuit upholding the fee collections remained in effect. 
 
Beyond California, a ruling against the union could have had an impact in 23 states, where teachers and other government workers are required to contribute to unions they don’t support.
 
The teachers who brought the case have asked the court to rehear their case once a ninth justice has been confirmed—although the result of that case will likely depend on who wins control of the White House in the fall, and whether a liberal or conservative justice ultimately joins the Supreme Court.
 
In July 2016, the National Labor Relations Board (NLRB) issued another significant decision.  In part one of this two-part series, we discussed the NLRB’s recent activity in cases involving Browning-Ferris Industries and McDonald’s, and we talked about how the NLRB has loosened considerably the amount of control a company must exercise over a worker before that company will be deemed a joint employer for labor law purposes.  Since then, the NLRB has expanded upon its precedent.  In a case involving Miller & Anderson, Inc., the NLRB overruled its own prior case law and found that an employer and a staffing company need not consent before an election covering temporary workers and regular employees can take place.  This decision expands upon the NLRB’s recent joint employer rulings, and opens the door even further for organizing of a company’s temporary workforce.
 
The Push to “Ban the Box”
 
Over the past several years, there has been a push by many advocates to “ban the box,” meaning preclude employers from asking applicants whether they have ever been convicted of a crime.  The EEOC previously issued guidance on the use of criminal history information and has even filed several high-profile lawsuits alleging violations of anti-discrimination law based on application questions.  Several states and cities have issued regulations banning such questions, at least until after a job offer has been made.  For example, in March 2016, Austin, Texas amended the city code to preclude private employers from asking applicants questions pertaining to their criminal history.  Employers should be aware of any such rules in their area, whether state-wide or via local ordinance, and should tailor their hiring process accordingly.
 
In the current regulatory, legislative and legal environment, employers need to understand how they could be impacted by all the changes in the regulatory landscape. By working with trusted experts, including outside counsel, companies can minimize their exposure, risk, and expenses.
 
 
 
 
In the first part, we looked at upcoming regulatory changes that will definitely affect many organizations. Here, we look at court rulings and state laws that promise more expenses, paperwork, and headaches for many more companies. 
• Increases in the minimum wage
Although the current federal minimum wage is $7.25 per hour, more than half the states and Washington, D.C., require employers to pay a higher hourly pay rate. In some states, those minimum wages are nearly double the federal rate. And when states and local governments have higher rates, the higher rate prevails. 
For example, earlier this year California and New York both set their minimum wages to reach $15 per hour over the next several years. In California, the state’s hourly minimum wage will rise to $15 by 2022 for companies with more than 25 employees, and by 2023 for smaller businesses. 
In New York, the wage increase will start in 2019 in New York City for companies with at least 11 workers, and the following year for other companies. Businesses in the suburbs will have to start paying $15 an hour by 2022; in upstate New York, the hourly minimum wage will increase to $12.50 in five years, and then continue increasing until it reaches $15.
With millions of workers in California and New York, these states’ increases will obviously affect many employers. According to the “Wall Street Journal,” 53.6 million U.S. workers received less than $15 an hour in 2015.
However, not every state has bought into the idea that a rising minimum wage will help the economy. North Carolina recently passed a law that limits how local governments across the state can raise the minimum wage. Similarly, after the Birmingham City Council raised the city’s minimum wage to $10.10, in February, Alabama lawmakers passed a law to ban local governments from establishing local minimum wages. 
• Equal pay enforcement
Along with minimum wage laws, states have also been developing or expanding upon their own equal pay laws. On Jan. 1, California’s Fair Pay Act took effect. Under the new law, employers have a far greater burden to prove that their pay practices aren’t discriminatory. New York has passed a similar law. And state contractors in Delaware must pay their employees equally.
Along with state laws, employers can also face pay discrimination claims under laws such as the Equal Pay Act of 1963, Title VII of the Civil Rights Act of 1964, the Age Discrimination in Employment Act of 1967, the Lilly Ledbetter Fair Pay Act of 2009, and Title I of the Americans with Disabilities Act of 1990. According to the U.S. Equal Employment Opportunity Commission (“EEOC”), “The law against compensation discrimination includes all payments made to or on behalf of employees as remuneration for employment. All forms of compensation are covered, including salary, overtime pay, bonuses, stock options, profit sharing and bonus plans, life insurance, vacation and holiday pay, cleaning or gasoline allowances, hotel accommodations, reimbursement for travel expenses, and benefits.” 
• Union issues
The U.S. Supreme Court always been an unknown factor when it comes to deciding cases involving unions, but the situation has only grown more uncertain with the death of Justice Antonin Scalia and gridlock in Washington that has left the nation’s highest court with only eight justices. That gridlock was on clear display in a recent ruling for California Teachers Association that handed a major victory to public-sector labor unions. 
When the case was argued in January, many observers thought Scalia would stand with the majority and find that forcing public workers to financially support unions they refused to join violated their First Amendment rights. However, with Scalia’s death, the court deadlocked 4-4. That meant that the ruling from the U.S. Court of Appeals for the Ninth Circuit upholding the fee collections remained in effect. 
Beyond California, a ruling against the union could have had an impact in 23 states, where teachers and other government workers are required to contribute to unions they don’t support.
The teachers who brought the case have asked the court to rehear their case once a ninth justice has been confirmed—although the result of that case will likely depend on who wins control of the White House in the fall, and whether a liberal or conservative justice ultimately joins the Supreme Court.
In July 2016, the National Labor Relations Board (“NLRB”) issued another significant decision.  In part one of this two-part series, we discussed the NLRB’s recent activity in cases involving Browning-Ferris Industries and McDonald’s, and we talked about how the NLRB has loosened considerably the amount of control a company must exercise over a worker before that company will be deemed a joint employer for labor law purposes.  Since then, the NLRB has expanded upon its precedent.  In a case involving Miller & Anderson, Inc., the NLRB overruled its own prior case law and found that an employer and a staffing company need not consent before an election covering temporary workers and regular employees can take place.  This decision expands upon the NLRB’s recent joint employer rulings, and opens the door even further for organizing of a company’s temporary workforce.
• The push to “ban the box”
Over the past several years, there has been a push by many advocates to “ban the box,” meaning preclude employers from asking applicants whether they have ever been convicted of a crime.  The EEOC previously issued guidance on the use of criminal history information and has even filed several high-profile lawsuits alleging violations of anti-discrimination law based on application questions.  Several states and cities have issued regulations banning such questions, at least until after a job offer has been made.  For example, in March 2016, Austin, Texas amended the city code to preclude private employers from asking applicants questions pertaining to their criminal history.  Employers should be aware of any such rules in their area, whether state-wide or via local ordinance, and should tailor their hiring process accordingly.
In the current regulatory, legislative and legal environment, employers need to understand how they could be impacted by all the changes in the regulatory landscape. By working with trusted experts, including outside counsel, companies can minimize their exposure, risk, and expenses.
-30-
 
Richard D. Alaniz is senior partner at Alaniz Schraeder Linker Farris Mayes, L.L.P., a national labor and employment firm based in Houston. He has been at the forefront of labor and employment law for over thirty years, including stints with the U.S. Department of Labor and the National Labor Relations Board. Rick is a prolific writer on labor and employment law and conducts frequent seminars to client companies and trade associations across the country. Questions about this article, or requests to subscribe to receive Rick’s monthly articles, can be addressed to Rick at (281) 833-2200 or ralaniz@alaniz-schraeder.com.
KEYWORDS: Adams and Reese legislation

Share This Story

Looking for a reprint of this article?
From high-res PDFs to custom plaques, order your copy today!

Richardalaniz
Richard D. Alaniz is senior partner at Alaniz and Schraeder, a national labor and employment firm based in Houston. He has been at the forefront of labor and employment law for over thirty years, including stints with the U.S. Department of Labor and the National Labor Relations Board. He is a prolific writer on labor and employment law and conducts frequent seminars to client companies and trade associations across the country. For more information, call Alaniz at 281-833-2200.

Recommended Content

JOIN TODAY
to unlock your recommendations.

Already have an account? Sign In

  • Roofing Contractor Group Publisher Jill Bloom

    Physics, the Power of Authenticity and You

    In February's Publisher's Note, Jill Bloom describes a...
    Columns
    By: Jill Bloom
  • The Family Food Fare supermarket in Midland, Mich.

    ‘Rooftop Ninja’ Discovered Living on Roof, Inside Grocery Sign

    A bizarre tale out of Midland, Mich.: a woman dubbed the...
    Roofing News
    By: Bryan Gottlieb
  • A before and after heat measurement comparison

    How Hot is Too Hot in the Attic?

    If the ventilation is working, how hot should the attic...
    Steep Slope Roofing
    By: Paul Scelsi
You must login or register in order to post a comment.

Report Abusive Comment

Subscribe For Free!
  • eMagazine Subscription
  • Sign Up for the eNewsletter
  • Online Registration
  • Manage My Preferences
  • Subscription Customer Service

More Videos

Sponsored Content

Sponsored Content is a special paid section where industry companies provide high quality, objective, non-commercial content around topics of interest to the Roofing Contractor audience. All Sponsored Content is supplied by the advertising company and any opinions expressed in this article are those of the author and not necessarily reflect the views of Roofing Contractor or its parent company, BNP Media. Interested in participating in our Sponsored Content section? Contact your local rep!

close
  • An overhead view of a residential block
    Sponsored byCBIZ CompuData

    From Spreadsheets to Strategy: How Roofing Companies Can Transform Financial Operations

  • Snow Guard Solutions for Metal Roofs by S-5!
    Sponsored byS-5!

    Safeguard Your Building: How Snow Guards Prevent Costly Roof & Property Damage

  • A hand holding a wooden block that reads 'EVOLVE'
    Sponsored byWatercress Financial

    Embracing Change: A New Era for the Roofing Industry

Popular Stories

QXO closed its acquisition of Beacon Building Supply on April 29, 2025.

QXO Closes Beacon Acquisition, Rebrands Immediately; Jacobs to Ring NYSE Bell

New executive orders signed by President Trump will likely further constrict an already tight labor market for the construction industry.

New Executive Orders Will Further Squeeze Labor Force

QXO CEO Brad Jacobs will share the company’s strategic vision today at the Wolfe Research Global Transportation & Industrials Conference in New York following its acquisition of Beacon Roofing Supply..

QXO’s Brad Jacobs Charts Growth at Wolfe Research Conference

Roofing Contractor Webinar

Events

December 3, 2025

The Premier Roofing Conference: Best of Success

Join roofing professionals from across the nation at the 2025 Best of Success conference, the ultimate destination for roofing professionals seeking the latest industry insights and networking opportunities. Pick up strategies for critical challenges like workforce shortage with innovative solutions, explore the latest advancements in roofing technology and sustainable practices, and gain valuable insights from industry leaders on navigating the evolving roofing landscape.

View All Submit An Event

Related Articles

  • legally speaking

    Regulations, Executive Orders and Court Rulings: Part 1—What Employers Need to Know Now

    See More
  • Legally Speaking

    EEOC Overreaching and What Employers Need to Know

    See More
  • Marijuana in the Workplace

    Marijuana in the Workplace: What Employers Need to Know

    See More

Related Products

See More Products
  • gco.png

    Contractor's Guide to Change Orders

  • cc2.png

    Handbook of Construction Contracting, Vol. 2

  • 51ZWZgSymnL._SX331_BO1,204,203,200_.jpg

    Accidents Waiting to Happen: Best Practices in Workers' Comp Administration and Protecting Corporate Profitability

See More Products
×

Be in the forefront of the roofing industry!

Join thousands of professionals today. Shouldn’t you know what they know?

JOIN NOW!
  • RESOURCES
    • Advertise
    • Contact Us
    • Directories
    • Store
    • Want More
  • SIGN UP TODAY
    • Create Account
    • eMagazine
    • eNewsletter
    • Customer Service
    • Manage Preferences
  • SERVICES
    • Marketing Services
    • Reprints
    • Market Research
    • List Rental
    • Survey/Respondent Access
  • STAY CONNECTED
    • LinkedIn
    • Facebook
    • Instagram
    • YouTube
    • X
  • PRIVACY
    • PRIVACY POLICY
    • TERMS & CONDITIONS
    • DO NOT SELL MY PERSONAL INFORMATION
    • PRIVACY REQUEST
    • ACCESSIBILITY

Copyright ©2025. All Rights Reserved BNP Media.

Design, CMS, Hosting & Web Development :: ePublishing