Cal/OSHA Penalizes Plumbing Companies $529K for Trench Collapse Violations
February 18, 2025 | JacobiJournal.com — Cal/OSHA Penalizes Plumbing Companies: The California Division of Occupational Safety and Health (Cal/OSHA) has fined Smelly Mel’s Plumbing and Sewer Rat Plumbing a total of $529,640 for trench safety violations. The penalties follow an August 2024 trench collapse in San Mateo, which severely injured a construction worker. Investigation Reveals Multiple Safety Failures Cal/OSHA Penalizes Plumbing Companies: Cal/OSHA’s investigation found serious violations that put workers at high risk. As a result, inspectors issued eight citations to each company. These plumbing companies were cited for failing to implement the most basic trench safety protocols, which Cal/OSHA considers essential to prevent collapses and protect workers. By neglecting proper inspections, protective systems, and emergency readiness, the plumbing companies exposed employees to hazards that could have resulted in fatalities. Key violations included: Trench Safety Is Critical Trenching accidents can be deadly if safety measures are ignored. To prevent collapses, Cal/OSHA requires protective systems like trench boxes and shoring. Daily inspections are also mandatory to identify potential hazards. “Ignoring these safety requirements puts workers’ lives at risk,” a Cal/OSHA representative stated. “Employers must follow trench safety laws to prevent serious injuries and fatalities.” Stronger Enforcement for Workplace Safety California regulators are increasing safety enforcement to hold employers accountable. This case highlights the severe consequences of workplace negligence. Read the official Cal/OSHA citation details here. FAQs: Cal/OSHA Penalizes Plumbing Companies and Trench Safety Why did Cal/OSHA penalize plumbing companies in this case? Cal/OSHA penalized plumbing companies because they failed to provide proper trench safety measures such as protective systems, safe exits, inspections, and first aid readiness. What violations were found when Cal/OSHA penalized plumbing companies in San Mateo? The violations included lack of competent inspections, no ladder or escape routes, absence of trench shoring or shielding, debris hazards, and failure to notify Cal/OSHA before excavation. How much did Cal/OSHA penalize plumbing companies for trench safety failures? Cal/OSHA penalized plumbing companies a total of $529,640 after the trench collapse, issuing multiple serious citations to both employers involved. What lessons can employers learn from the case where Cal/OSHA penalized plumbing companies? The case highlights the importance of daily inspections, protective trench systems, and safety meetings. Employers who ignore these requirements risk severe penalties and worker injuries. Stay ahead of workplace safety and compliance news. Subscribe to JacobiJournal.com today for weekly updates. 🔎 Read More from JacobiJournal.com:
‘Old-School’ Job Search Secures Lost Wages for Injured Worker
February 8, 2025 | JacobiJournal.com — An injured 60-year-old service technician secured lost wages after a Virginia Workers’ Compensation Commission (VWCC) panel ruled in his favor. His employer and workers’ compensation insurer argued that his job search lacked effort, but the commission found his approach reasonable given his circumstances. Worker’s Injury and Return to Light Duty Lost Wages for Injured Worker: Mark Shumate, a senior maintenance technician at a manufacturing company, sustained injuries while moving pallets on October 27, 2023. He suffered neck, right shoulder, right hand, and right leg injuries. Both parties agreed the incident was a compensable workplace accident, entitling him to medical benefits and temporary total disability payments. In January 2024, Shumate returned to light-duty work with his employer accommodating his restrictions, which included a 15-pound lifting limit, no bending or pushing, and scheduled breaks. However, in May 2024, he was laid off, prompting a job search to qualify for wage loss benefits. Dispute Over Job Search Efforts Shumate, who described himself as “old-school” with no computer skills, approached his job search traditionally. He researched potential jobs by calling friends and checking phone directories. Each Friday, he contacted five employers and extended his search across seven communities. He avoided industrial maintenance positions due to physical demands but sought supervisory roles and other maintenance-related work. Despite his persistence, he did not receive job offers. The employer and insurer argued his job search was inadequate, pointing out that he only contacted five employers weekly, didn’t utilize online job searches or newspapers, and registered with the Virginia Employment Commission four months late. They claimed he merely “went through the motions” rather than making a serious effort to find employment. VWCC Ruling and Justification A VWCC deputy commissioner ruled in favor of Shumate, affirming his consistency and sincerity in job hunting. The deputy commissioner acknowledged imperfections in his search but found it reasonable given his background and lack of digital literacy. “In the end, Mr. Shumate’s job search was neither perfect nor even successful, but it was reasonable—a consistent, good-faith effort to find suitable work,” the ruling stated. The employer and insurer appealed the ruling, but the three-member VWCC panel upheld the decision. The commission considered multiple factors, including Shumate’s age, experience, education, physical limitations, job market conditions, and intent. They concluded that his search was genuine and aligned with his physical capabilities. The VWCC emphasized that Shumate’s job search efforts, though unconventional, demonstrated a genuine attempt to mitigate his wage loss. His focus on maintenance-related jobs, despite shifting to lighter roles, was seen as a reasonable approach. Employer’s Right to Appeal The employer still has the option to appeal the decision to the Virginia Court of Appeals. However, the VWCC’s ruling highlights that a claimant’s job search doesn’t have to be flawless—only reasonable and in good faith. Read the full ruling from the Virginia Workers’ Compensation Commission. FAQs: About the Lost Wages for Injured Workers What does it mean to secure lost wages for an injured worker? It means the worker is entitled to compensation for income lost while recovering, as determined by the Virginia Workers’ Compensation Commission. How did the commission decide lost wages for the injured worker were justified? They considered his age, lack of digital skills, medical restrictions, and consistent weekly job search as a reasonable effort to find employment. Can employers appeal rulings on lost wages for injured workers? Yes, in this case the employer can still appeal the decision to the Virginia Court of Appeals, though the VWCC panel upheld the worker’s claim. Why is a job search important in lost wages cases for injured workers? A good-faith job search shows the worker is making efforts to return to employment, which is often required to qualify for continued wage benefits. Stay updated on workplace rights, legal rulings, and compensation cases. Subscribe to JacobiJournal.com for trusted coverage. 🔎 Read More from JacobiJournal.com:
Washington Man on Workers’ Comp for 3 Years Caught Lifting Heavy Table
January 29, 2025 | JacobiJournal.com — Washington Man Caught Lifting: A Pierce County man must repay more than $60,000 to Washington’s workers’ compensation fund after investigators discovered he had been working while collecting benefits. The case is a clear example of workers’ compensation fraud, as video evidence showed him lifting a 48-pound table—far exceeding his medical restrictions. Workers’ compensation fraud cases like this highlight how false claims undermine the system designed to protect legitimately injured workers. When individuals misrepresent their medical conditions to continue receiving benefits, it not only drains state resources but also increases insurance costs for employers and makes it harder for truly injured employees to access the support they need. Claimed Injury, But Kept Working Juan P. Delgado, a roofer in Tacoma, suffered back, ankle, and knee injuries in March 2019 after falling over six feet from a ladder. His doctor determined he could not work, and Delgado repeatedly submitted official forms affirming his inability to hold a job. However, in early 2021, a private investigator—hired by his former employer—reported that Delgado had been working. The Washington State Department of Labor & Industries (L&I) launched its own investigation and found that just weeks after his injury, he resumed working as a custodian, roofer, and house-cleaner. Video Evidence Uncovers the Truth In October 2022, an undercover L&I investigator approached Delgado near a Tacoma house and asked if he could have a discarded table. Delgado agreed and carried it alone for more than 50 feet—unaware that another investigator was filming the scene. Later, investigators weighed the table and found it was 48.6 pounds, nearly double the 25-pound limit imposed by his doctor. After reviewing the footage, Delgado’s physician concluded he had misrepresented his physical abilities and could have resumed roofing work much earlier. Guilty Plea Leads to Restitution and Sentencing Delgado, 51, pleaded guilty to second-degree malicious mischief, a felony, for unlawfully collecting workers’ compensation payments from April 2019 to January 2022. A Pierce County judge ordered him to pay $60,116 in restitution and serve 20 days on electronic home monitoring. The Washington State Attorney General’s Office prosecuted the case. In addition to financial penalties, the guilty plea underscores how seriously Washington courts treat workers’ compensation fraud. Prosecutors emphasized that even short-term schemes can lead to felony charges, restitution orders, and restrictions on personal freedom. While the electronic home monitoring sentence is less severe than jail time, it still reflects the court’s intent to hold offenders accountable while allowing them to maintain limited community access under strict supervision. Cases like Delgado’s serve as a warning that fraudulent claims are aggressively pursued and carry long-lasting legal and financial consequences. Restitution in workers’ compensation fraud cases is not optional; it is a court-ordered obligation. If defendants like Delgado fail to make scheduled payments, the state can enforce restitution through wage garnishment, tax refund interception, or even placing liens on property. These enforcement measures ensure that stolen funds are repaid to the workers’ compensation system, protecting the integrity of state resources. For many offenders, the financial impact of restitution lasts years beyond the initial conviction, serving as both a penalty and a deterrent against future fraud. Read the full report from Washington State L&I. FAQs: Workers’ Compensation Fraud What is workers’ compensation fraud? Workers’ compensation fraud occurs when someone lies about their injury or ability to work in order to keep receiving benefits they are not entitled to. How was the Washington man caught committing workers’ compensation fraud? Investigators filmed him lifting a 48-pound table, well above his doctor’s restriction, proving he misrepresented his condition while collecting benefits. What are the penalties for workers’ compensation fraud? Penalties can include restitution, probation, electronic monitoring, or even prison time, depending on the scale and intent of the fraud. Why is workers’ compensation fraud a serious issue? Fraudulent claims drain state funds, raise insurance premiums for employers, and undermine the system designed to protect legitimately injured workers. Don’t miss real cases that shape workplace law and fraud enforcement. Subscribe to JacobiJournal.com today and stay ahead of the headlines. 🔎 Read More from JacobiJournal.com:
Sky Zone in Washington Fined for Violating Teen Labor Laws
January 28, 2025 | JacobiJournal.com — Violating Teen Labor Laws: A trampoline park in Tukwila, Washington, faces over $68,000 in fines for violating labor laws. The violations included overworking teenage employees and failing to provide required meal breaks. L&I Investigation and Citations The Washington State Department of Labor & Industries (L&I) investigated Sky Zone Seattle after receiving a complaint. The investigation revealed several labor law violations. It found that 57 minors worked more than five consecutive hours without meal breaks on 537 occasions. Additionally, 19 minors worked over 20 hours per week during a school week on 43 occasions. Similarly, 34 minors worked over four hours on a school day before another school day 154 times. Moreover, 15 minors worked more than eight hours on a non-school day during a school week on 32 occasions. Safety Violations and Prior Citations The L&I probe began with a workplace safety complaint. A teen was reportedly asked to fix a zip line 12 feet off the ground without proper training or fall protection. This led to a citation for Sky Zone for failing to conduct required safety meetings. This is the second time a Sky Zone location has been cited. In 2024, L&I cited a Vancouver, Washington, location for similar violations. There, 43 teens worked without meal breaks over 250 times and exceeded the allowed hours on more than 350 occasions. Franchise in Hot Water Again Sky Zone operates about 200 indoor trampoline parks across the U.S. This fine highlights the importance of following youth employment laws at all Sky Zone locations. For further details, read the full report from Washington State Department of Labor & Industries. FAQs: About the Teen Labor Laws in Washington What are teen labor laws in Washington? Teen labor laws in Washington regulate work hours, break requirements, and job duties to protect the health and safety of minors. How did Sky Zone violate teen labor laws? Investigators found minors working too many hours during school weeks, exceeding daily limits, and being denied required meal breaks. Why are teen labor laws important? These laws ensure young workers are not overworked or placed in unsafe situations, helping balance school commitments with part-time jobs. What penalties can companies face for breaking teen labor laws? Businesses can face fines, legal action, and repeat citations that damage their reputation and operations if they fail to comply. Stay informed on workplace violations, labor law changes, and compliance updates — subscribe to JacobiJournal.com today and never miss a critical report. 🔎 Read More from JacobiJournal.com:
Fake Deer-Collision Claim Leads to South Carolina Fraud Charges
January 28, 2025 | JacobiJournal.com — Fake Deer-Collision Claim: A South Carolina woman faces fraud charges after allegedly filing a false insurance claim, falsely stating that her car was damaged in a deer collision. Investigators uncovered inconsistencies in her claim, leading to her arrest. Insurance Fraud Uncovered Queen Viola Arthur, 33, of Hartsville, reported to Progressive Insurance that she hit a deer, causing damage to her vehicle. However, Progressive denied her claim after metadata from the digital photographs she submitted revealed that the images were taken before the alleged accident and even before her policy began. According to South Carolina Law Enforcement Division (SLED) investigators, who acted on behalf of the state Department of Insurance, the fraud attempt occurred in October 2023. Authorities arrested Arthur earlier this month, though she was later released on bond. Fake Deer-Collision Claim Attempted Fraud and Legal Consequences The arrest warrant stated that Arthur falsely claimed her vehicle had no prior unrepaired damage. By submitting the fraudulent claim for $2,014, she attempted to secure an undeserved financial payout. The warrant also noted that Arthur admitted to at least some of the allegations. A Trend in Fake Animal Collision Claims Arthur’s case follows a similar incident in California. Just two months earlier, four Los Angeles residents faced fraud charges after claiming a bear caused more than $141,000 in vehicle damage. Investigators later determined the “bear” was actually a person in a costume. For the full report, refer to the South Carolina Department of Insurance. FAQs: Fake Deer-Collision Claim Fraud What is the South Carolina fake deer-collision claim about? The fake deer-collision claim involved Queen Viola Arthur, who allegedly filed a false insurance report stating her car was damaged in a deer accident. How did investigators uncover the fake deer-collision claim? Investigators reviewed metadata from photos submitted with the claim and discovered they were taken before the alleged crash and before the policy began. What penalties could result from the fake deer-collision claim fraud? If convicted, the South Carolina woman could face fines, restitution, and possible jail time for attempting to defraud Progressive Insurance. Are fake animal collision claims becoming more common? Yes. The South Carolina fake deer-collision claim follows similar fraud attempts, including a California case where individuals staged a bear accident for $141,000. Stay informed on the latest insurance fraud cases and legal enforcement trends. Subscribe now to JacobiJournal.com for real-time updates and in-depth coverage. 🔎 Read More from JacobiJournal.com:
Denied Workers Compensation Claim for School Employee Kicked Repeatedly Over 11 Days
January 18, 2025 | JacobiJournal.com — Compensation claim denied: A Virginia school employee’s workers’ compensation claim was rejected after sustaining knee injuries from repeated kicks. The Virginia Workers’ Compensation Commission (WCC) upheld the decision, ruling that the injuries did not meet the state’s criteria for compensable workplace injuries. Allegations and Medical Diagnosis The claimant, a behavior assistant at Loudoun County Public Schools, filed his compensation claim on July 18, 2022. He stated that, between September 30 and October 10, 2021, a student kicked him in both knees 25 times over 11 days. After seeking medical treatment on February 27, 2023, a physician diagnosed him with “prepatellar bursitis in both knees,” attributing the condition to the repeated kicks. School System’s Objection The school system disputed the compensation claim, arguing that the injury did not stem from a single, identifiable incident. Under Virginia law, workers are eligible for compensation only for injuries caused by sudden events, not cumulative trauma. In September 2023, a deputy commissioner denied the compensation claim, ruling that it lacked the required identifiable incident. Cumulative Trauma and Its Legal Implications Although the claimant admitted that his injury occurred over time, his reports showed that repeated kicks caused the trauma. The injury report, filed in April 2022, detailed the 25 kicks he received during a week in September. In a July 2022 interview, the claimant confirmed that the injury occurred over 11 consecutive days, not from a single event. Additionally, the physician’s March 2024 report linked the knee injuries to the repeated kicks. Virginia Case Law on Workers Compensation The WCC agreed with the deputy commissioner’s ruling, concluding that the claimant’s injuries were caused by cumulative trauma. The ruling cited a 2007 case, which found that injuries must result from a sudden, identifiable event and cause an obvious structural change in the body. The commission also referenced 1985 and 1996 cases where injuries from repetitive motion or cumulative trauma were deemed non-compensable. Right to Appeal The claimant has the right to appeal the WCC’s decision to the Court of Appeals of Virginia. This appellate process allows the employee to challenge the ruling that denied compensation for injuries caused by cumulative trauma. During the appeal, the court will review the evidence, medical reports, and legal interpretations applied by the WCC to determine whether the initial decision properly followed Virginia workers’ compensation law. Filing an appeal provides an opportunity to argue that the repeated kicks should be considered a compensable workplace injury, potentially setting a precedent for how cumulative trauma cases are assessed in the future. Claimants typically must meet strict deadlines and procedural requirements when submitting their appeal to ensure the case is heard by the appellate court. For further details, see the Virginia Workers’ Compensation Commission official site. FAQs: Virginia School Employee Workers’ Compensation Claim Why was the Virginia school employee’s workers’ compensation claim denied? The WCC ruled that the knee injuries were caused by cumulative trauma over 11 days, not a sudden, identifiable event as required under state law. What injury did the school employee sustain? The employee suffered prepatellar bursitis in both knees after being kicked repeatedly by a student. Can the school employee appeal the decision? Yes, the claimant has the right to appeal the ruling to the Court of Appeals of Virginia. What legal precedent influenced this workers’ compensation decision? The ruling cited past Virginia cases, including a 2007 case, establishing that injuries from repetitive actions or cumulative trauma are generally non-compensable. Stay updated on workplace injury rulings and workers’ compensation law. Subscribe to JacobiJournal.com for expert coverage of legal cases affecting school employees and public-sector workers. 🔎 Read More from JacobiJournal.com:
Texas Drywall Company Owner Indicted for Workers’ Compensation Fraud
January 15, 2025 | JacobiJournal.com — Texas Drywall Company Owner: Cristino Tapia Castaneda, the owner of Texana Drywall Construction, is scheduled to appear in Travis County District Court on February 12 to face three counts of fraud totaling $170,000, according to the Texas Department of Insurance Division of Workers’ Compensation (DWC). Charges Against Castaneda and Texana Drywall Construction In November, a grand jury indicted Castaneda on charges of Securing Execution of Document by Deception, a second-degree felony. Additionally, Texana Drywall Construction faces accusations of Insurance Fraud and Fraudulently Obtaining Worker’s Compensation Coverage, both classified as state jail felonies. Texas Drywall Company Owner Allegations and Investigation Findings The DWC’s Compensation Fraud Unit conducted a detailed investigation, revealing that Castaneda and his company allegedly misled multiple workers’ compensation insurance providers. They reportedly secured coverage for large, high-profile construction projects in Austin through deceptive means. Furthermore, the investigation uncovered that Castaneda falsified payroll information to significantly reduce the premiums his company had to pay. Insurance Providers Affected These fraudulent activities impacted major insurance carriers, including Texas Mutual and National Specialty Insurance, as reported by the DWC. The insurers were deceived by the manipulated information provided by Castaneda and his company. For full coverage, see the Business Insurance. FAQs: Texas Drywall Company Workers’ Compensation Fraud What is this workers’ compensation fraud case about? It involves allegations that Texana Drywall Construction and its owner falsified payroll and misled insurers to reduce premium costs. What charges were filed against the drywall company owner? Cristino Castaneda faces three felony counts, including securing execution of a document by deception and insurance fraud. Which insurance providers were impacted by the scheme? The fraud affected major carriers such as Texas Mutual and National Specialty Insurance, according to the Texas Department of Insurance. When is the court hearing scheduled? Castaneda is set to appear in Travis County District Court on February 12, 2025. Stay informed on corporate crime, insurance fraud, and legal accountability. Subscribe to JacobiJournal.com for expert reporting on workers’ compensation fraud cases and enforcement updates. 🔎 Read More from JacobiJournal.com:
Construction Firm Owner Sentenced for Fraud Involving Taxes, Mail, and Workers’ Compensation
January 15, 2025 | JacobiJournal.com — The construction firm owner fraud case in Massachusetts resulted in an 18-month prison sentence for a Hopkinton man, who was convicted in federal court of defrauding the IRS and Travelers Insurance Co. over employee wages at his companies. The case highlights how payroll manipulation and insurance misrepresentation can carry severe criminal consequences. Prosecutors emphasized that schemes like this not only defraud government agencies and insurers but also place honest businesses at a competitive disadvantage. The sentencing sends a strong message that federal authorities are prioritizing accountability in the construction sector, where wage reporting and workers’ compensation compliance are closely monitored. Sentencing and Restitution Orders In the construction firm owner fraud case, U.S. Attorney Joshua S. Levy announced that Dariusz Pietron was sentenced to 18 months in prison, followed by three years of supervised release. As part of the judgment, he must pay $1,107,000 in restitution to the IRS and $244,000 to Travelers Insurance Co. The restitution reflects both unpaid employment taxes and underreported workers’ compensation premiums, underscoring the financial scale of the scheme. Federal prosecutors noted that restitution orders are intended not only to recover losses but also to deter other business owners from similar misconduct. By pairing prison time with financial penalties, the court aimed to reinforce accountability in cases where fraudulent practices impact both government revenue and private insurers. Guilty Plea and Fraud Details In May 2024, Pietron pleaded guilty to charges of failing to pay employment taxes to the IRS and committing mail fraud by underreporting workers’ compensation insurance premiums. Construction Firm Owner Sentenced Between 2012 and October 2018, Pietron owned and operated TJM Construction, Inc. (TJM) and Point Construction, Inc. He failed to report employee wages to the IRS, did not withhold required income taxes, and neglected to pay necessary employment taxes. Additionally, he misrepresented the wages paid to his employees to Travelers, resulting in lower workers’ compensation insurance premiums than owed. Scheme Involving Shell Companies Prosecutors revealed that, in the fraud case, Pietron paid two employees to create three shell companies, making it appear that TJM and Point’s workers were subcontractors. This arrangement allowed him to avoid employment tax and workers’ compensation obligations, ultimately evading more than $1.1 million in taxes and defrauding Travelers of approximately $244,000. Federal investigators emphasized that the use of shell companies is a common tactic in employment and insurance fraud, designed to disguise payroll obligations and conceal true business costs. In this case, the scheme not only deprived the IRS and Travelers Insurance of significant revenue but also gave Pietron an unfair advantage over competitors who complied with tax and labor laws. Authorities highlighted the prosecution as a warning that such fraudulent arrangements will be closely scrutinized and aggressively prosecuted. For further details, refer to the original article from Business Insurance. FAQs: Construction Firm Owner Fraud Case What was the construction firm owner fraud case about? The case involved a Massachusetts construction company owner who defrauded the IRS and Travelers Insurance by underreporting wages and avoiding taxes. What sentence did the construction firm owner receive in the fraud case? The owner was sentenced to 18 months in prison, followed by supervised release, and ordered to pay over $1.3 million in restitution. How did the construction firm owner commit fraud? He failed to report employee wages, withheld employment taxes, and misrepresented payroll to reduce workers’ compensation insurance premiums. What role did shell companies play in the construction firm owner fraud case? The owner used shell companies to disguise employees as subcontractors, allowing him to evade taxes and reduce insurance costs illegally. Stay informed on fraud cases and corporate crime enforcement. Subscribe to JacobiJournal.com for trusted reporting on financial fraud, insurance scams, and federal prosecutions. 🔎 Read More from JacobiJournal.com:
Federal Court Dismisses Wrongful Termination and FEHA Violation Claim Against Costco
January 13, 2025 | JacobiJournal.com — A California federal court recently granted Costco Wholesale Corp. summary judgment, dismissing a claim of wrongful termination and Fair Employment and Housing Act (FEHA) violation filed by an injured worker. The court determined that Costco had met its obligation to accommodate the worker’s disability. Background of the Case Margarita Zamora, a long-time Costco employee, filed a lawsuit after a shoulder injury prevented her from lifting, pulling, or pushing more than 10 pounds. This injury made it impossible for her to return to her original job as a stocker. Zamora suggested she could perform other tasks, like cleaning, if the company modified her role. However, the court ruled that FEHA does not require employers to create light-duty positions for workers unable to do essential job functions. Costco was not obligated to offer her a modified position with non-essential tasks, according to the court. Court’s Ruling Violation Claim Against Costco: The court found that Costco made reasonable efforts to accommodate Zamora. Despite trying to find alternative roles for her, the company could not offer a position that met her medical restrictions. In January 2021, Costco terminated her employment. The court concluded, “Costco reasonably accommodated Zamora by offering vacant positions that aligned with her medical limitations.” The court emphasized that Costco had no duty to create a new position with tasks outside of Zamora’s restrictions. Legal Precedents and Implications This case reinforces that employers must engage in good-faith efforts to accommodate employees with disabilities. However, employers are not required to create modified roles or change essential job functions. They must demonstrate reasonable attempts to adjust existing roles to fit the employee’s medical needs. For detailed coverage, read the original article from WorkCompCentral. FAQs: Costco FEHA Termination Case What was the Costco FEHA termination case about? The case involved a Costco employee who claimed the company failed to accommodate her shoulder injury, leading to her termination. How did the court rule in the Costco FEHA termination case? The court dismissed the claim, finding Costco had reasonably accommodated the worker by offering alternative positions within her restrictions. Does FEHA require employers to create new roles for injured employees? No, the court clarified that FEHA requires reasonable accommodation but does not obligate employers to create modified or light-duty positions. What does the termination case mean for employers? It reinforces that employers must show good-faith efforts to accommodate workers but are not required to alter essential job functions or invent new roles. Stay ahead in workplace and employment law. Subscribe to JacobiJournal.com for expert insights on FEHA cases, employee rights, and federal court rulings. 🔎 Read More from JacobiJournal.com:
CFPB Files Lawsuit Against Walmart and Branch Messenger Over Alleged Unlawful Pay Practices for Gig Workers
January 6, 2025 | JacobiJournal.com — Walmart gig worker pay lawsuit: CFPB Files Lawsuit Against Walmart and Branch Messenger Over Alleged Unlawful Pay Practices for Gig Workers. The Consumer Financial Protection Bureau (CFPB) has taken legal action against Walmart and scheduling platform Branch Messenger, accusing the companies of illegal pay practices that impacted delivery drivers in Walmart’s Spark program. The lawsuit claims that Walmart and Branch misled workers about their wage access and forced them to use costly deposit accounts. Alleged Violations Affecting 1 Million Gig Workers Filed last week, the lawsuit alleges that for nearly two years, starting in 2021, Walmart and Branch violated federal law by requiring drivers in the Spark program to use Branch’s accounts for payments. According to the CFPB, Walmart and Branch forced around 1 million drivers to use these accounts and threatened termination for those who opted out. CFPB Files Lawsuit Against Walmart and Branch Messenger Over Alleged Unlawful Pay Practices for Gig Workers Walmart’s Spark program relies on gig workers for “last mile” deliveries from Walmart stores to customers’ homes across the country. The lawsuit highlights concerns over workers being misinformed about how to access their earnings and being charged fees for using the required deposit accounts. The CFPB’s suit brings attention to the growing scrutiny of gig economy labor practices, particularly in relation to how companies manage compensation and pay methods. For further details, read the full report on Bloomberg. FAQs: Understanding the Walmart Gig Worker Pay Lawsuit What is the Walmart gig worker pay lawsuit about? The Walmart gig worker pay lawsuit was filed by the CFPB, alleging that Walmart and Branch Messenger misled delivery drivers about accessing their wages and forced them to use costly deposit accounts in the Spark program. How many gig workers are impacted by this lawsuit? According to the CFPB, approximately 1 million Walmart Spark delivery drivers were affected by the alleged pay practices, facing threats of termination if they did not comply with using Branch accounts. What laws are Walmart and Branch accused of violating? The companies are accused of violating federal labor and pay regulations by restricting wage access and imposing unnecessary financial burdens on gig workers. What could the outcome of this Walmart gig worker pay lawsuit mean for the gig economy? The case could set a precedent for stricter oversight of pay practices in gig economy platforms, encouraging transparency and protecting independent contractors from unfair financial practices. Stay informed on labor enforcement and gig economy legal developments. Subscribe to JacobiJournal.com for weekly updates on worker rights, corporate accountability, and regulatory actions. 🔎 Read More from JacobiJournal.com: