The National Labor Relations Board (“NLRB” or the “Board”) has issued final rules that will require most private employers in the U.S. Virgin Islands and throughout the United States to post in the workplace by November 14, 2011 a notice informing employees of their rights under the National Labor Relations Act (“NLRA”), including their right to form and join labor unions. This new posting requirement is similar to one imposed last year on federal contractors pursuant to an Executive Order from the President. The new rules mark the first time that private employers other than government contractors have been required to post a notice informing employees of the full range of their NLRA rights. It should be noted that at least one lawsuit has already been filed challenging the NLRB’s authority to issue the new rules. 

Continue Reading VI Employers Required to Inform Employees of Right to Form and Join Labor Unions

Luis “Tito” Morales, President of the United Steelworkers Union – Local 8249, made good on this challenge to Governor John P. deJongh and the 29^th Legislature, when the main group of unions in the U.S. Virgin Islands petitioned a court to block the government’s plan to cut the pay of government workers across the board by eight percent.

The Central Labor Council argues that the cuts would not be needed if the government improved the collection of taxes. The CLC is seeking an injunction from the Superior Court of the Virgin Islands enjoining the Governor from implementing the cuts. Governor deJongh announced the cuts last week, saying the option would be to lay off over 600 workers. The new law also creates incentives for government workers to retire early.Continue Reading Virgin Islands Unions Petition Court to Block Government Pay Cuts

At the beginning of 2009, employers, insurers and COBRA administrators revised their procedures and notices to implement the COBRA subsidy provided under the American Recovery and Reinvestment Act of 2009 (“ARRA”). These provisions allowed certain eligible individuals to elect COBRA coverage and pay only 35% of the COBRA premium for up to 9 months. Subject to certain exceptions, employers then collect the other 65% of the premium from the federal government through a credit claimed on the employer’s payroll tax return. This COBRA subsidy was a temporary measure that was to be available only to individuals who were involuntarily terminated from employment and were entitled to elect COBRA coverage on or prior to December 31, 2009. On December 19, 2009, President Obama signed the Department of Defense Appropriations Act, 2010, which includes an amendment extending the COBRA subsidy (the “Subsidy Amendment”). Continue Reading Congress Provides for COBRA Extension

On January 29, 2009, President Obama signed into law the Lilly Ledbetter Fair Pay Act, effectively overturning a controversial 2007 Supreme Court decision dealing with discrimination in employee compensation. The Act, named for the plaintiff in the 2007 Supreme Court case, eases the path for employees suing their employers for pay discrimination by relaxing certain statutory deadlines for filing a claim. Continue Reading President Obama Signs New Law Creating Additional Rights to Recovery for Employees Claiming Discriminatory Pay

Continue Reading Department of Labor Issues Revisions to Family and Medical Leave Act Regulations

St. Croix, VI – Friday afternoon Luis Diaz, Agent for the National Labor Relations Board, announced the union election results by the workers of the St. Croix Kentucky Fried Chicken restaurants at Frederiksted, Orange Grove and Sunny Isle. Diaz declared that the workers voted 28-5 in favor of rejecting Our Virgin Islands Labor Union to represent them.

Juan Mujica, Vice President of Operations for Kazi Foods of the Virgin Islands Inc. stated that he is “very pleased with the results of the election and that the workers are giving Kazi Foods, the franchise owner, a chance to show its commitment to its employees”. Mujica stated that “the workers made an informed decision and now Kazi Foods will be able to work directly with its employees.”Continue Reading St. Croix KFC Workers Defeat Union

For the first time in nearly a decade the federal minimum wage will increase Tuesday, July 24, 2007 from $5.15 per hour to $5.85.   The $0.70 increase is scheduled to continue each summer for the following two years and will stop at $7.25 per hour in 2009.

Attorney Ravinder S. Nagi, Chair of the Labor and Employment Practice Group at Tom Bolt & Associates P.C., noted that most Virgin Islands employers and employees are not affected by the increase this year, because since January 1, 2007 the Virgin Islands’ minimum wage was increased to $6.15 per hour- higher then the impending $5.85 federal minimum wage increase.  Continue Reading Federal Minimum Wage Increase Will Not Immediately Impact VI