Recent statistical reports from the U.S. Equal Employment Opportunity Commission ("EEOC") indicate that the number of pregnancy discrimination complaints rose substantially in the decade following the 1991 amendments to Title VII.  In 1992, the EEOC, the federal agency charged with investigating employment discrimination complaints, received 3,382 pregnancy discrimination complaints compared with 4,714 in 2002.  The number of complaints dipped slightly in 2005 to 4,449, but still represented a 31% increase in complaints over the last decade.

No matter the size of your operation, hiring and retaining qualified - and honest - employees is critical. A recent study revealed that 36.5% of employment verifications revealed inconsistencies from what the applicant reported and that 14% provided false or inconsistent information about their education. This gives every employer a good reason to undertake a background check of all potential employees before making hiring decisions, particularly if confidential or sensitive information is involved or if applicants are seeking managerial or supervisory positions. Employers in certain industries are sometimes required by law to conduct background checks, and background checks may also serve to prevent charges of negligent hiring.

Should employers be worried about the Supreme Court’s recent refusal to consider whether a waiver of a right to jury trial needs to be “knowing and voluntary” in discrimination, wage and hour, and pension cases? As general counsel, you already have enough concerns without adding the burden of considering whether your company’s jury waiver or arbitration agreements are enforceable. Typically, these agreements are contained within applications for employment, employee handbooks, or occasionally even in stand-alone documents. While the Supreme Court’s refusal to resolve a conflict among the circuit courts is disappointing, it is likely not determinative of whether your company can compel employment disputes to arbitration. Instead, given the trend in many federal and state courts, taking a few precautionary steps is likely to result in a valid waiver of a jury trial.

In March 2006, the U.S. Department of Labor's Wage and Hour Division issued an Opinion Letter indicating that an employer may not deduct from the salary of an exempt employee (or otherwise require him or her to reimburse the employer) for damage to or loss of company equipment without jeopardizing that employee's exempt status under the Fair Labor Standards Act's (FLSA) exemption for executive, administrative or professional employees.  The employer had requested the Division's opinion on whether exempt employees could be fined – in the form of either a payroll deduction or an out-of-pocket reimbursement – the repair or replacement cost of cell phones, laptop computers or other company equipment damaged while performing their jobs.