Administrative Agency Developments: June 2020 | Practical Law

Administrative Agency Developments: June 2020 | Practical Law

This Legal Update reports on select federal administrative agency developments which occurred through June 2020, and which are not covered in our full-length Legal Updates, such as information about agency posters, notices, and agreements with agencies. For federal COVID-19-related developments, see COVID 19: Employment Law and Development Tracker.

Administrative Agency Developments: June 2020

Practical Law Legal Update w-026-1153 (Approx. 5 pages)

Administrative Agency Developments: June 2020

by Practical Law Labor & Employment
Published on 30 Jun 2020USA (National/Federal)
This Legal Update reports on select federal administrative agency developments which occurred through June 2020, and which are not covered in our full-length Legal Updates, such as information about agency posters, notices, and agreements with agencies. For federal COVID-19-related developments, see COVID 19: Employment Law and Development Tracker.

Department of Homeland Security (DHS)

  • June 17, 2020: DHS published a final rule increasing the 2020 annual inflation adjustment to its civil monetary penalties. The new penalties will be effective for penalties assessed after June 17, 2020 whose associated violations occurred after November 2, 2015 (85 Fed. Reg. 36469 (June 17, 2020)).

US Citizenship and Immigration Services (USCIS)

  • June 26, 2020: DHS published a final rule implementing the rule proposed on November 14, 2019 that would modify the DHS's regulations governing asylum applications, interviews, and eligibility for employment authorization based on a pending asylum application. The final rule becomes effective August 25, 2020.
  • June 22, 2020: USCIS published a final rule removing the regulatory provision stating that the agency has 30 days from the date an asylum applicant files the initial Form I-765, Application for Employment Authorization (EAD), to grant or deny that initial employment authorization application. The rule also removes the provision requiring that the application for renewal be received by USCIS 90 days before the expiration of the employment authorization. USCIS initially issued a news release on June 19, 2020 announcing this change to the 30-day timeframe. The final rule becomes effective on August 21, 2020.
  • June 17, 2020: USCIS announced that it will automatically extend parole and employment authorization if applicable for current parolees present in the Commonwealth of the Northern Mariana Islands (CNMI) whose parole status will expire on June 29, 2020. To ensure that all eligible foreign nationals, including parolees, will have the full opportunity to apply for CNMI long-term resident status without interruption to their parole status, USCIS will automatically extend parole (and employment authorization, if applicable) for these foreign nationals without interruption through August 17, 2020.

DOJ

  • June 19, 2020: The DOJ issued a final rule adjusting for inflation the civil monetary penalties assessed or enforced by the DOJ for penalties assessed after June 19, 2020 for violations occurring after November 2, 2015. This rule is effective June 19, 2020.

DOL

Wage and Hour Division (WHD)

  • June 25, 2020: The WHD announced the issuance of the following five new opinion letters that address compliance issues related to the FLSA:
    • FLSA2020-6: Addresses whether salespeople who travel to different locations to sell products using their employer's mobile assets qualify for the outside sales exemption under FLSA section 13(a)(1);
    • FLSA2020-7: Addresses whether an automobile manufacturer's direct payments to an automobile dealership's employee, compensating the employee for work done on behalf of the dealership, may count toward the dealership's minimum wage obligation to the employee under the FLSA;
    • FLSA2020-8: Addresses whether salespeople who set up displays and perform demonstrations at various retail locations not owned, operated, or controlled by their employer to sell the employer's products qualify for the outside sales employee exemption under Section 13(a)(1) of the FLSA;
    • FLSA2020-9: Addresses whether emergency-management coordinators employed by a county government qualify for administrative exemptions under Section 13(a)(1) of the FLSA; and
    • FLSA2020-10: Addresses the application of the retail or service commission sales exemption under Section 7(i) of the FLSA, where more than half of an employee's compensation in the relevant representative period ultimately does not consist of commissions.
  • June 24, 2020: The WHD signed a Memorandum of Understanding (MOU) with the Equal Rights Division of the Wisconsin Department of Workforce Development. The three-year agreement allows the two agencies to work together and communicate more efficiently and effectively, providing an opportunity for the agencies to conduct joint investigations, conduct joint outreach, and share training materials and other information.
  • June 8, 2020: The WHD published a final rule revising its regulation for computing overtime compensation of salaried nonexempt employees who work hours that vary each week (fluctuating workweek) under the FLSA. The final rule clarifies that:
    • payments in addition to the fixed salary are compatible with the use of the fluctuating workweek method of compensation; and
    • such payments must be included in the calculation of the regular rate as appropriate under the FLSA.

NLRB

General Counsel of the NLRB

  • June 26, 2020: The Office of the General Counsel of the NLRB published Memorandum GC 20-09 providing guidance on make whole remedies in duty of fair representation cases. The memorandum states that regions should urge the NLRB to reverse Alamillo Steel and adopt a standard requiring that, once the General Counsel establishes the arguable merit of the underlying grievance, the burden shifts to the union to establish that the grievance was not meritorious. If the union fails to carry its burden, the union will be liable to make the employee whole for the damage. UPDATE: On February 1, 2021, the NLRB Acting General Counsel rescinded this General Counsel Memorandum (NLRB Gen. Counsel Mem. GC 21-02, Rescission of Certain General Counsel Memoranda (Feb. 1, 2021)).
  • June 17, 2020: The Office of the General Counsel of the NLRB published Memorandum GC 20-08 providing instructions regarding how Regions are to proceed during investigations in connection with securing the testimony of former supervisors and former agents, and how audio recordings should be dealt with during investigations. UPDATE: On February 1, 2021, the NLRB Acting General Counsel rescinded this General Counsel Memorandum (NLRB Gen. Counsel Mem. GC 21-02, Rescission of Certain General Counsel Memoranda (Feb. 1, 2021)).
  • June 3, 2020: The Office of the General Counsel of the NLRB issued Memorandum OM 20-10, which includes a chart prepared to assist regions and the parties in determining pre-election hearing dates as well as due dates for Statements of Position and Responsive Statement of Position for RC, RD, and RM petitions with service dates from June 1, 2020 through May 28, 2021 that do not present unusually complex issues.
  • June 3, 2020: The Office of the General Counsel of the NLRB released Memorandum OM 20-10 providing that, except in cases presenting unusually complex issues, the pre-election hearing in RC, RD and RM cases will be scheduled for 14 business days from the date of service of the Notice of Representation Hearing.

US Department of State (DOS)

  • June 16, 2020: The DOS issued a final rule codifying the eligibility criteria for special immigrant status granted by the Immigration and Nationality Act (INA) for certain immigrants who have been employed by, and performed faithful service for, the US government abroad for at least fifteen years and the application process for applicants. This rule is effective December 16, 2020.
For additional labor and employment developments, see Labor & Employment: Updates.