In a landmark decision, the Supreme Court of California in Dynamex Operations West, Inc. v. Superior Court adopted a new test to determine whether a worker performing services for a company is an employee or an independent contractor under California’s wage orders. The new three-factor test, known as the ABC test, will determine whether a company “employs” a worker under the wage orders, which address certain requirements for minimum wage, overtime, and meal and rest periods, among others. The ABC test, which has long existed in other parts of the country in different forms, has not previously been used in California.

On May 21, 2018, the U.S. Supreme Court upheld the legality of arbitration agreements containing collective- and class-action waivers. The Court held that arbitration agreements providing for individualized proceedings are valid and that neither the Federal Arbitration Act’s (“FAA”) savings clause nor the National Labor Relations Act (“NLRA”) suggests otherwise.

“Optimism about future job opportunities and market growth in 2018 and beyond remains high among union contractors, labor representatives and owner-clients – but at the same time, many remain concerned about a growing shortage of union craft workers,” reports The Association of Union Constructors (TAUC) in a recent press release about the publication of the 2018 Union Craft Labor Supply Study. The study was conducted by TAUC and the AGC-supported Construction Labor Research Council.

On May 9, 2018, the Trump Administration unveiled its Spring 2018 Unified Agenda of Regulatory and Deregulatory Actions mapping out federal agency priorities for the coming months. This bi-annual publication informs the public of regulations under consideration or planned by federal agencies. The present agenda includes several submissions by labor agencies.

The AGC Labor and Employment Law Council (LELC) held its 34th Annual Construction Labor Law Symposium on May 3 and 4 in Washington, DC. Attorneys and labor relations managers from across the country gathered to learn about labor and employment law developments and government initiatives relevant to construction employers.

Responding to recommendations from a 2016 Government Accountability Office (GAO) report and input gathered from succeeding Compliance Assistance Town Halls and stakeholder meetings, the Office of Federal Contract Compliance Programs (OFCCP) has released its “Town Hall Action Plan” addressing “three general areas of focus: training, communication and trust.”

Registration and hotel reservations are open for the June 5 tour of the International Union of Operating Engineers’ brand new International Training & Conference Center in Crosby, TX.

On April 18, AGC submitted a response to the National Labor Relations Board’s Request for Information regarding representation-case procedures. AGC also signed onto a response submitted by the Coalition for a Democratic Workplace (CDW). Both responses call on the Board to rescind or modify its 2014 rule that changed the procedures for union representation elections. The rule is often called the “quickie” or “ambush” election rule because it expedites the procedures in a way that can disadvantage employers that oppose a union organizing campaign.

On April 12, 2018, the U.S. Department of Labor (DOL) issued 3 new opinion letters addressing compliance under the Fair Labor Standards Act (FLSA) and other laws. The DOL issued the letters as part of its commitment to protect employees, enforce the law, and ensure employers have the tools for compliance.

On April 11, the Senate confirmed John F. Ring’s appointment to the National Labor Relations Board for a term expiring on December 16, 2022. Once Ring is sworn in, the Board will return to a full complement of five members, with a three-to-two Republican majority. Ring is currently a partner at the law firm of Morgan Lewis & Bockius in Washington, DC, where he co-leads the firm’s Labor-Management Relations Practice representing employers in a variety of labor and employment matters. He has been with the firm his entire legal career, starting in 1988.