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Beware of this hidden FMLA danger

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May 15, 2008
1 minute read
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As if the law wasn’t tricky enough, one court has found a new way to rule against companies in FMLA suits.
An employee needed time off for a medical problem. When she came back, there was no job for her, so she sued. Sounds like a typical FMLA case, but here’s the twist:
The company had less than 50 employees, so normally it would have no FMLA obligations. But the woman was hired as an outside contractor through a staffing agency, which was covered by FMLA. So the woman had a right to take leave, and the company was liable for violating those rights.
The court’s reasoning
Like in most cases when temps or contractors are hired, the company was found to be a “joint employer” along with the agency – i.e., both companies exercised enough control over the worker to be considered employers, even though only one signed the paychecks.
According to the DOL, in cases like these, the “primary employer” (in this case, the staffing agency) has the responsibility of offering and granting leave, and informing employees about their rights. But the “secondary employer” (the company) is responsible for putting an eligible employee back into his or her previous assignment.
And in this case, the court rule that applies even if the company’s regular employees wouldn’t qualify for FMLA leave.
Cite: Grace v. USCAR

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