employment law briefing 2015 - dla piper/media/files/insights/events/... · 2015. 1. 30. ·...

60
EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around the Globe *This presentation is offered for informational purposes only, and the content should not be construed as legal advice on any matter

Upload: others

Post on 07-Oct-2020

0 views

Category:

Documents


0 download

TRANSCRIPT

Page 1: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

EMPLOYMENT LAW BRIEFING 2015An Update on Key Labor and Employment Law Developments Around the Globe

*This presentation is offered for informational purposes only, and the content should not be construed as legal advice on any matter

Page 2: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

Agenda

Asia Pacific

Europe

Middle East/Africa

Americas

2January 2015Employment Law Briefing 2015

Page 3: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

ASIA PACIFIC

3

Page 4: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

APAC agenda

China – New labor dispatch regulations; injuries outside workplace deemed work-related injuries; new work safety rules

Japan – New workplace harassment rules; fixed overtime allowance

South Korea – Bonus ≠ ordinary wages; new OSHA regulations; new sexual harassment training requirement; non-discrimination based on education; miscellaneous legal updates

Hong Kong – New Companies Ordinance; new paid paternity leave

Singapore – Protection from Harassment Act; Personal Data Protection Act; changes to Employment Act; new Fair Consideration Framework; amended Workplace Safety and Health Regulations

India – Sexual Harassment Act; miscellaneous legal updates

Australia – Workplace bullying law; new privacy principles; miscellaneous legal updates

4

Page 5: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

China – new LABOR DISPATCH REGULATIONS

Took effect 3/1/2014

Background: Law limiting dispatch workers (effective 7/1/2013) Key provisions in the new regulations:

10% Cap – Comply by March 2016 (2-year grace period) Consultation process required for setting up new auxiliary positions

Minimum terms in the labor dispatch agreement

Expanded circumstances under which dispatch worker may be returned

Circumstances under which dispatch worker may not be returned

Rep Office not subject to labor dispatch limitations

Can still use dispatch agencies (FESCO/CIIC etc.) for HR services (payroll, social insurance contribution, etc.)

Take aways:

For new hires going forward, employ directly

For current staff, convert5January 2015Employment Law Briefing 2015

Page 6: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

China – Supreme Court: Injuries outside the workplace

Supreme Court: Injuries outside the workplace could be deemed work-relatedOutside the workplace for a work-related reason

Reasonable route and reasonable time between work and home

Exceptions

Why important?

6January 2015Employment Law Briefing 2015

Page 7: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

China – new work safety rules

Took effect 8/31/2014

Higher penalties for production safety breach in the workplace Up to RMB 20 million (USD 3 million)

Potential criminal liability if a very serious safety breach

Person in charge of production safety can be penalized: Demoted/removed

Salary reduction by 60-100%

Not permitted to take charge of production safety again for any employer within the same industry

Take away: Ensure compliance

7January 2015Employment Law Briefing 2015

Page 8: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

Japan – new workplace harassment rules

Took effect 7/1/2014; amends Equal Employment Opportunity Act for Men and Women

Goal: Ensure more rigorous enforcement of Japan’s guidelines on workplace harassment

Highlights:

Requiring employee to agree to relocate at hiring or promotion, without reasonable explanation, could constitute indirect gender discrimination

Discrimination based on marital status is a type of gender discrimination

Recognizes sexual harassment between employees of the same gender

Supreme Court (Oct. 2014): Recognized maternity harassment for the first time, holding that demoting or dismissing a pregnant woman was invalid and illegal

Take away: Implement or update your policy

8January 2015Employment Law Briefing 2015

Page 9: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

Japan – Judicial Guidance re: fixed overtime allowance

Applies to employers that have a fixed overtime allowance scheme

According to Supreme Court and subsequent Tokyo District Courts’ decisions, employment contracts or work rules should:

Set out exact monetary amount of the fixed overtime allowance

Include a maximum number of hours of premiums for Overtime; and/or Work between 10 p.m. and 5 a.m.; and/or Work on the prescribed rest day

State that LSA (Labor Standards Act) premiums will be separately paid for overtime worked in excess of hours covered by the allowance

Restrictions on working more than 5 hrs/day, 45 hrs/month, 360 hrs/year

Take away:

Make sure your scheme complies;

Monitor employees’ hours and pay them separately for hours in excess of the scheme

9January 2015Employment Law Briefing 2015

Page 10: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

Japan – on the horizon: dispatch workers

New law on dispatch Arrangement anticipated in 2015 Abandons distinction between 26 specialized jobs and other

occupations 3 year time limitation for all dispatch arrangements (with some

exceptions)

10January 2015Employment Law Briefing 2015

Page 11: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

South Korea – Supreme Court: Certain bonus ≠ ordinary wage

Supreme Court ruling in Kabul Autotech (December 2013) Fixed bonus = ordinary wage “Good faith and trust” defense

Subsequent lower court rulings: Fixed bonus paid only to incumbent employees ≠ ordinary wage

Supreme Court ruling (June 2014): “Incumbent employee” requirement can be established through implied consent or customary practice HOWEVER, Busan District Court (Oct. 2014): “Incumbent employee”

requirement established through practice is not good enough Standard for “good faith and trust” defense is not settled Supreme Court ruling (May 2014): No need to show concrete financial

figures Seoul Central District Court (May 2014): Evidence needed to show

financial burden Take away: Bonus will continue to be a hot-button issue

January 2015Employment Law Briefing 2015 11

Page 12: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

South Korea – New OSHA regulations

Took effect March 2014, specific obligations effective 3/3/2014, 9/13/2014 and 9/13/2015

Expand the scope of companies required to: Implement a “Process Safety Management

System”;

Submit a “Harm/Danger Prevention Plan”;

Appoint a Chief Safety & Health Manager;

Provide safety & health information to sub-contractors

Take Away: Ensure compliance

12January 2015Employment Law Briefing 2015

Page 13: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

South Korea – sexual harassment training

Effective 1/14/2014, high level management are required to go through sexual harassment training E.g., personnel classified as “employers,” such as executives and

managers

Training at least once a year

Take Away: Schedule your training!Other employees already required to do training once a year

13January 2015Employment Law Briefing 2015

Page 14: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

South Korea – No discrimination based on education

Effective 7/22/2014, educational background cannot be ground for discrimination

Expressly prohibited by Basic Employment Policy Act

The Act does not define any particular types of activities; clarification expected later in specific regulations and guidelines

Previously, the National Human Rights Committee ruled that certain hiring practices = discrimination based on education

Alleged victim could file a petition to National Human Rights Committee (NHRC) NHRC could issue a corrective order if discrimination is found

Take Away: Implement or update your policy

14January 2015Employment Law Briefing 2015

Page 15: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

South Korea – Miscellaneous

Amendments to the Labor Standards Act took effect on 3/24/2014

Amendments to the Dispatched Workers’ Act took effect on 9/19/2014

Amendments to the Fixed-Term Act took effect on 9/19/2014

Fair Hiring Act to take effect in phases from 2015 to 2017

Effective 1/14/2014, childcare leave expanded from “pre-schoolers aged 6 or below” to children “8 years in age or younger, or a second grade or lower at elementary school”

Take Away: Implement or update your policies/practices re:

Pregnant employees

Dispatch workers

Overtime pay for part-time workers

Record-keeping re documents submitted by job applicants

Childcare leave15January 2015Employment Law Briefing 2015

Page 16: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

Hong Kong – New developments

New Companies Ordinance took effect 3/1/2014

Implications for employment law: provisions for a court-free regime for

amalgamations (i.e., more companies merge) restriction on companies entering into any

service or employment contract with a director for a guaranteed period that exceeds three years the standard of directors’ duty of care, skill

and diligence

Paid statutory paternity leave effective February 2015

3 days at 80% pay

16January 2015Employment Law Briefing 2015

Page 17: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

Singapore – Protection From Harassment Act 2014

Took effect 11/15/2014

Not limited to workplace harassment

Broad scope, including Cyber bullying

Stalking

False statements

Criminal sanctions available, including fines, community orders, protection orders and imprisonment

Extra-territorial reach

Unclear whether vicarious liability for employer

Take away: Implement or update your policy to mimic the law’s broad scope

17January 2015Employment Law Briefing 2015

Page 18: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

Singapore – Personal Data Protection Act

Took effect 7/2/2014

Applies to anyone carrying on a business in Singapore, whether incorporated or resident in Singapore

Organizations must: Appoint at least one person as a Data Protection Officer and ensure their details are made publicly

available

Secure individuals' consent to the collection and retention of their personal data (except where required by law)

Ensure the accuracy of the data, with appropriate consideration given to the nature of the data and the significance it has for the individual;

Provide access for individuals to establish what data an organization holds on them as well as providing mechanisms to correct any inaccuracies both within the organization and within any third party to which it has disclosed the inaccurate data

Put in place appropriate security measures to prevent any unauthorized access to personal data. Security should be reviewed at intervals to determine whether security measures continue to be appropriate

Ensure that any recipient outside of Singapore to whom data is transferred is legally obliged to provide data protection comparable to that in the PDPA

Non-compliance with these provisions may result in severe financial penalties for the organization of up to SGD 1 million (approx. USD 750,000) imposed by the PDPC

18January 2015Employment Law Briefing 2015

Page 19: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

Singapore – Changes To The Employment Act

Effective 4/1/2014 Highlights: Better protections for more workers (Part

IV EA protection now for salaries up toS $2,500; general EA protection now up to S $4,500)

Improved employment standards and benefits

Enhanced enforcement and compliance with employment standards

Some flexibility for employers

Take away: Address relevant information in policies and contracts

19January 2015Employment Law Briefing 2015

Page 20: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

Singapore – New fair consideration framework

As of 8/1/2014, all firms submitting Employment Pass (EP) applications for foreigners to work in Singapore are required to advertise these jobs to locals

Exemptions

Jobs in companies with fewer than 25 employees

Jobs that pay a fixed monthly salary of S$12,000 and above

Jobs filled by Intra-Corporate Transferees (ICTs)

Short-term jobs for not more than 1 month

Take aways:

Before hiring, review job descriptions/requirements to ensure that they do not discriminate against locals

Advertise non-exempt positions to locals

20January 2015Employment Law Briefing 2015

Page 21: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

Singapore – Workplace safety and health regulations amended

Took effect on 1/6/2014

Highlights: Increase in the protection of workers by

changing the trigger requirements for the reporting of accidents

Increase in the scope of accidents that must be reported

Take away: Implement or update policies

21January 2015Employment Law Briefing 2015

Page 22: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

India – Sexual Harassment Act

Sexual Harassment Act became effective in December 2013

Employer obligations under the Sexual Harassment Act Formulate an internal policy

Set up an internal complaints committee (if 10 or more employees)

Conduct training

Recent Delhi High Court judgment held that forfeiture of gratuity would be justified if dismissal is on account of sexual harassment (P K Kataria v. Chairman & Managing Director, National Fertilizers Limited, [2014 LLR 6 ])

Take away: Adopt appropriate policies and measures, if not already in place

22January 2015Employment Law Briefing 2015

Page 23: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

India – Miscellaneous developments

Labor Laws Amendment Bill 2011 passed on 11/26/2014

Apprentices Amendment Bill 2014 passed on 11/26/2014

Delhi High Court: Employee secondment may trigger permanent establishment

Changes re: EPF (Employees’ Provident Fund)Wage ceiling raised: Employers have to make contributions for a

larger workforce and to make higher contributions

Submission of employees’ bank account details mandatory

Expats may get PF withdrawals directly in a bank account outside India

23January 2015Employment Law Briefing 2015

Page 24: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

Australia – New workplace bullying law

New workplace bullying laws took effect on 1/1/2014 Under new laws, workers can bring bullying

claims to the Fair Work Commission Lessons from existing rulings Employers should take disciplinary actions

promptly Employers should train frontline managers to

respond appropriately to bullying complaintsWorkplace bullying could occur over a very

short period of time Take aways:Make sure you have a good anti-bullying policyMake sure your managers are trained and

comply with policy24January 2015Employment Law Briefing 2015

Page 25: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

Australia – New privacy principles

Effective 3/12/2014, employers must observe strict requirements of handling employee-related information

Employers should:

Use caution when collecting personal information from contractors and job candidates

Use caution when a group company collects personal information

Destroy collected information if the purpose is complete (but be cautious in case of possible litigation)

Conduct privacy training sessions for relevant employees

Consequences for non-compliance

Investigation by the Privacy Commissioner

Up to $1.7 million of penalty for company

Up to $340,000 of penalty for individuals

Take away: Implement or update your privacy policies

25January 2015Employment Law Briefing 2015

Page 26: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

Australia – Miscellaneous developments

Supreme Court: No implied term of “mutual trust and confidence” in employment contracts (Commonwealth Bank of Australia v. Barker)

Fair Work Commission: Excessive delay in employer’s investigation lead to unfair dismissal ruling; employee was reinstated

New gender equality reporting obligations to take effect in April 2015

New Employee Share Schemes Tax rules to take effect on 7/1/2015

Federal government will set up a separate tax regime for start-up entities

26January 2015Employment Law Briefing 2015

Page 27: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

EUROPE

27

Page 28: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

Europe agenda

UK – Holiday pay issues, reform of family-friendly rights and current challenges with mass layoffs and business transfers

Belgium – Overhaul to employment laws

France – New redundancy rules, working time challenges

Germany – Introduction of a minimum wage and family friendly rights

Italy – Upcoming changes to laws in Italy

Netherlands – Changes to the laws relating to fixed term workers and dismissals

Round up of Europe-wide developments – Data protection, definition of trade secrets, gender imbalance on company boards

28January 2015Employment Law Briefing 2015

Page 29: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

UK and Europe – Holiday pay

European directive derived right in each Member State, both to take holiday and be paid for it

Calculating appropriate rates of pay now more complex following recent European cases. These will determine the extent employers must include various elements of pay

European Courts held that both overtime and commissions (if linked to the work the employee is required to do) must be included in holiday pay calculations. Question of whether bonuses should be remains open

29January 2015Employment Law Briefing 2015

Page 30: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

UK and Europe – Holiday pay

Concern in the UK: Risk of retrospective claims for underpaid holiday

November 2014: UK Employment Appeal Tribunal suggested claims would be barred if there was a gap of more than 3 months between any alleged failure to pay holiday in line with the correct calculation

December 2014: draft legislation was proposed to limit back pay to a maximum of 2 years. If implemented, limit will apply to claims brought on or after 7/1/2015

Key decision of Lock v British Gas Trading is expected in February 2015

30January 2015Employment Law Briefing 2015

Page 31: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

UK – Family friendly developments

Flexible working Since 6/30/2014 all employees with six

months’ service can request flexible working

Simplified procedure

Shared Parental Leave For children due from 4/5/2015, working

couples can share 50 weeks’ leave and 37 weeks’ pay

Employees can request to take leave in blocks of a week and couples can take leave at the same time

Complex regulations will be difficult to administer

31January 2015Employment Law Briefing 2015

Page 32: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

UK – Flexible working

32January 2015Employment Law Briefing 2015

Page 33: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

UK – Shared parental leave

Previously Additional Paternity Leave (APL) existed since April

2011. Fathers (or partners of adopters) entitled to take up to 26 weeks' APL between 20 weeks and 12 months after birth/adoption

The mother (or adopter) must have returned to work. The employee must have provided appropriate written evidence, including from the mother (or adopter)

New Regime Came into force on 12/1/2014 for employees whose

expected week of childbirth is on or after 4/5/2015

52 weeks’ maternity leave and 2 weeks’ paternity leave remains default position. Additional paternity leave abolished. New entitlement to shared parental leave

33January 2015Employment Law Briefing 2015

Page 34: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

UK – Mass layoffs

European Directive on mass dismissals implemented by UK

Collective consultation needed where 20 or more employees at one establishment to be made redundant in a 90 day period. 30 days or 45 days, subject to numbers. Award of up to 90 days' pay for failure

Recent cases have caused problems for employers with multiple operations/sites in the UK (Woolworths). Currently need to aggregate all redundancies across the country

Case appealed to the European Court of Justice. Advocate General’s opinion is expected 2/5/2015

34January 2015Employment Law Briefing 2015

Page 35: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

Significant changes to employment laws in Belgium

Background Harmonize the difference in treatment between

white-collar employees and blue-collar employees

July 2011: Belgian Court held that difference intreatment was unconstitutional. Law setting out thenew rules came into force in January 2014 (withtransitional provisions)

What’s New? Harmonized Notice Periods

For both blue and white collar workers, notice must now calculated based on length of service

Termination of Fixed-Term or Specific Task Contracts

Now possible to terminate fixed-term or specific term contracts before their expiry without incurring significant financial liabilities

35January 2015Employment Law Briefing 2015

Page 36: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

Significant changes to employment laws in Belgium

No Trial Periods No longer possible to agree a trial period in an employment contract, except in limited cases

Sick Leave ChangesCarensday (or Carensdag/Jour de Carence), that is, the first day of sick leave (which was unpaid for blue collar workers), abolished

Right to Outplacement Services ExtendedNew right to take leave during notice period to search for employment; existing right to use outplacement extended

New Obligation to Explain Dismissal ReasonsSince April 2014, all employers must explain reasons for dismissal when requested by employee

36January 2015Employment Law Briefing 2015

Page 37: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

New redundancy rules in France

Florange lawSince 4/1/2014, employer intending to shut down a site must try to find a buyer before the closure (and the associated redundancy measures)

Practical Implications Law applies to: (i) companies employing at least

1,000 employees in France and/or Europe; and (ii) companies or groups of companies meeting the legal requirements for a EWC or a Group Committee

No legal obligation to find a purchaser, but companies have to inform potential buyers of their intention to sell; provide specific information to potential buyers; consider purchase offers; provide a motivated response to any purchase offers; inform the Works Council of the offers and the reasons for refusal

37January 2015Employment Law Briefing 2015

Page 38: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

New rules in France

Hamon lawAs of 11/1/2014, in case of contemplated sale (share deal or asset deal) of certain companies (employing fewer than 250 employees and whose turnover does not exceed specific thresholds), employer has obligation to inform the employees in advance, in the event they would be interested in buying the company

Practical Implications Employees must be informed at least 2 months

before the contemplated sale

Sale can occur before the 2-month period if all employees inform employer that they are not interested in buying the company

In case of non-compliance cancellation of sale

38January 2015Employment Law Briefing 2015

Page 39: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

Working time challenges in France –SYNTEC CBA

Ban on emails being sent by French employees after 6 p.m.?

Amendment to the SYNTEC CBA that applies to executive employees subject to a specific working time scheme (convention de forfait en jours sur l'année). does not prevent employees from checking their emails after 6 p.m., but they must disconnect from remote working devices during rest periods and employers must ensure means are in place to ensure this happens

Conventions de forfait en jours sur l'année assessed in a more and more restrictive way by the courts

39January 2015Employment Law Briefing 2015

Page 40: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

Germany – New employment laws

Minimum wage legislation 1/1/2015: First nationwide minimum hourly wage of EUR 8.50 New family and medical leave rights 1/1/2015: changes to the German Care Act and the German Family

Care Act will for employers with more than 25 employees Employee entitled to work part-time to care for sick relatives, weekly

working time may be reduced to up to 15 hours; employees entitled to take 10 days’ leave in the case of an immediate need for care. During this time, they will be reimbursed by a state fund

Special dismissal protection Reform of German Parental Allowance and Parental Leave Act Parental Allowance Plus will be available for parents of children born on

and after 7/1/2015. Right to request up to 24 months of paid parental leave (instead of 12 months) or, if both parents decide to go on parental leave, 28 months (instead of 14 months) to be shared between the parents

40January 2015Employment Law Briefing 2015

Page 41: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

Italy – Jobs Act

New rules governing consequences of unfair dismissal - Rules for companies with more than 15 employees will change for new hires only. For a period following hiring (3 years proposed), reinstatement for unfair dismissal to be limited to specific cases only (i.e., discriminatory dismissals or where alleged disciplinary grounds are not proven). For dismissals due to economic reasons and collective dismissals, reinstatement not to be available and employees will be entitled to financial compensation only (the amount of which may be increased)

Simplification of the labor legislation - Reduction of the number of fixed-term contracts and atypical working agreements; simplification of the labor code; and review of the system of protections and safeguards

Minimum hourly salary - Experimental introduction of an "hourly minimum salary" for all employment relationships

Change of job duties - In cases of a restructuring, new law is expected to give employers more freedom to change job duties assigned to employees, in accordance with the provisions of collective bargaining (at national, local, or company level)

41January 2015Employment Law Briefing 2015

Page 42: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

Changes to employment laws in The Netherlands

Changes coming into effect on 1 January 2015 Use of non-compete restrictions in fixed-term contracts Prohibited unless the restrictions are necessary to protect a substantial

business interest. Court will be able to test the justification and declare restraint void

Probationary periods in fixed-term contracts and requirement to notify a fixed-term employee of non-renewal Only possible to include probationary period if the contract's duration is

six months or more. The employer must inform the fixed-term worker of any decision not to extend the contract one month before the contract end date

42January 2015Employment Law Briefing 2015

Page 43: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

Changes to employment laws in The Netherlands

Changes coming into effect on 1 July 2015 Conversion of fixed-term employment contracts into indefinite

term contracts Currently employers can offer up to three contracts for a definite period, for

no longer than three years in total From 1 July 2015, after two years of employment under definite term

contracts, the contract will convert into an indefinite contract (unless the chain of consecutive contracts is broken by a six month break)

Reforms to Dutch dismissal procedures and severance payments Currently, "dual dismissal system". If it is not possible to terminate with

mutual consent, an employer can terminate by giving notice after receiving permission from the UWV or through a court ruling. It is proposed: New compulsory proceedings (UWV or court) will apply depending on the reason

for termination Severance payment will be capped and eligibility to such payments will change

43January 2015Employment Law Briefing 2015

Page 44: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

Some other important expected Europe-wide developments

Reform of the EU Data Protection Regime European Parliament approved proposals to reform

and harmonize EU data protection laws across Europe; Council must adopt the proposals to become law

Regulation setting out an EU framework for data protection and A Directive on protecting personal data. For example: Company would have to seek prior authorization of

an EU national data protection authority before disclosing an EU citizen’s data and inform the citizen about the request

Right to erase personal data and new limits on personal “profiling” on the internet

Draft proposes substantial fines for data breaches of up to EUR100 million or up to 5% of annual worldwide turnover, whichever is greater

44January 2015Employment Law Briefing 2015

Page 45: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

Other important expected Europe-wide developments

New EU Directive on Trade Secrets In December 2013 EU Commission adopted proposal for Directive to

provide standardized level of protection for trade secrets across Europe

Proposal aims to harmonize rules on the acquisition, use and disclosure of confidential business information across the EU: Definitions of a trade secret and of unlawful acquisition and use of

trade secrets

Remedies for redress (including precautionary seizure of goods, interim injunctions, compensation and damages)

Limitation period of two years for claims

Protection of trade secrets during litigation

Proposed Directive is with Council for adoption

45January 2015Employment Law Briefing 2015

Page 46: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

Some other important expected Europe-wide developments

Gender Balance on Corporate Boards

EU Parliament has approved legislative report on EU Gender Directive which will require member states to ensure that companies take measures to adopt clear and transparent appointment procedures to attain at least 40% female non-executive directors by January 2020

Directive will apply to EU-incorporated companies with more than 250 employees listed on any EU regulated market that have an annual worldwide turnover of more than EUR50 million

Where candidates are equally well qualified in terms of suitability, competence and professional performance, priority to be given to candidate of the under-represented sex (unless an objective assessment tilts the balance in favor of the other candidate). Companies must publish the gender composition of their board annually

Directive requires the approval of Council to become law

46January 2015Employment Law Briefing 2015

Page 47: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

MIDDLE EAST/AFRICA

47

Page 48: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

Middle East/Africa agenda

Israel – New notification requirements for job applicants

Saudi Arabia – Changes to the Nitaqat System

South Africa – New employment legislation: anti-discrimination rules; increased protections for part-time and temporary workers

48Employment Law Briefing 2015 January 2015

Page 49: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

New job notification requirements in Israel

Effective 1/30/2015 employers will be obligated to provide written notification to job applicants: Notification regarding the progress in the screening

process – two months from the date on which the job candidates begin their participation in the screening process at the latest, and, every two months thereafter, for as long as the screening process continues

Notification regarding a decision not to accept them for the applied position – no later than 14 days following the date on which another candidate is accepted for the position

“Screening Process” defined broadly to include “interview or examinations/assessments”

Applies to all employers with 25 or more employees and all positions except for temporary ones

49Employment Law Briefing 2015 January 2015

Page 50: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

Changes to the NITAQAT System In Saudi Arabia

Roles reserved for Saudi nationals only Applies regardless of the company's

Saudization quota and size

Evidence of qualifications for post required

Applies together with Nitaqat

Nitaqat Replaces previous quota system

Dependent on size and category of company (205 categories)

Calculation of Saudization percentages

Changes Extension of period of time for which Saudi

national must be employed before they count as part of a company’s Saudization percentage

50Employment Law Briefing 2015 January 2015

Page 51: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

Saudization percentage for NITAQATsystem for the IT sector

51Employment Law Briefing 2015 January 2015

Page 52: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

New employment legislation in force in South Africa

Amendments to the Employment Equity Act, 55 of 1998 (EEA) and the Basic Conditions of Employment Act, 75 of 1997 (BCEAA)

Portions of the amendments went into effect on 8/1/2014 and 9/1/2014

Expansion of protected grounds for discrimination

Introduction of equal pay

Increased sanctions for non-compliance with the EEA

Labour Relations Amendment Act effective 1/1/2015

Offers more protections to fixed-term, temporary, and part-time workers who earn below a specified income threshold (currently R205,433.30 per annum (approximately USD 17,730.00))

Amendments primarily intended to limit use of these employees to true short term contracts (e.g., 3 months or less)

Implements non-discrimination provisions protecting part-time employees

52Employment Law Briefing 2015 January 2015

Page 53: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

AMERICAS

53

Page 54: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

Americas agenda

Brazil – Expanded dismissal and anti-discrimination protections; increased flexibility in engaging temporary workers

Canada – Anti-bullying and harassment requirements in British Columbia; compliance with accessibility regulations in Ontario

Mexico – New regime for workplace inspections by the labor authority

54Employment Law Briefing 2015 January 2015

Page 55: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

Developments in Brazil

FRANCHISOR liability: franchisor found not liable for the employment obligations of its franchisee

Unemployment Guarantee Fund: Reduction in statute of limitations for claims against severance funds

Anti-Discrimination: Discrimination on grounds of HIV/AIDS status is criminal offense

Temporary workers: Temporary contracts may not be issued or extended over a maximum of 9 months in total (previously 3 months with the possibility of extension for another 3 months)

Dismissal protections: Job protection for guardians of new-born children in the event of the mother’s death

Work time: New regulations for work on Sundays and holidays

55Employment Law Briefing 2015 January 2015

Page 56: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

New developments in British Columbia, Canada

Anti-bullying and Harassment Requirements Employers required to develop policies

regarding workplace bullying and harassment and to take steps to prevent or minimize workplace bullying

Supervisor and worker training requirements

Reporting Work Place Accidents

56Employment Law Briefing 2015 January 2015

Page 57: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

Changes to employment legislation inOntario, Canada

Accessibility for Ontarians with Disabilities Compliance Employers required to put into place policies, procedures and

training including individualized workplace emergency response information for employees

Deadlines differ depending on the size of an employer’s workforce

Job Protected Leaves 3 new job protected leaves introduced: Family Caregiver Leave,

Critically Ill Childcare Leave, and Crime-Related Death and Disappearance Leave

Amendments to Employment Legislation Employment Standards Act: Minimum wage increases; removal of

monetary limitations on recovery for unpaid wages

Occupational Health and Safety Act: Expanded definition of “worker”

57Employment Law Briefing 2015 January 2015

Page 58: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

Labor authority inspections in Mexico

New regulations regarding labor inspections published through the General Regulations for Work Inspection and Sanctions Applicability (Reglamento General de Inspección del Trabajo y Aplicación de Sanciones)

Regulations went into effect 9/17/2014

Purpose: monitor companies’ compliance with employment legislation and to apply sanctions where non-compliance is detected

New mechanism for companies to request inspection which will not trigger sanctions if non-compliant

58Employment Law Briefing 2015 January 2015

Page 59: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

ON THE HORIZON

59

Page 60: EMPLOYMENT LAW BRIEFING 2015 - DLA Piper/media/files/insights/events/... · 2015. 1. 30. · EMPLOYMENT LAW BRIEFING 2015 An Update on Key Labor and Employment Law Developments Around

Global workforce issues in 2015 and beyond

60

Emerging Global Workforce IssuesAlternative workforces

Data privacy & security

Performance management on the global scale

Cross-borderteams

Global policies and procedures

Local lawcompliance

M&A and restructurings

Compliance, FCPA

Health and safety threats and mobile employees

Global expansion Global reductions in force

Wage & hour compliance on the global scale

Global whistleblowers and Code

Discrimination & harassment

Cross-border litigation

Global attorney-client privilege issues

Employment Law Briefing 2015 January 2015