This is the first of two columns discussing decisions issued by the U.S. Supreme Court during the 2013-2014 term in the area of labor and employment law. In this column, we address the court’s rulings in cases involving rights of a state’s citizens to repeal affirmative action policies, the scope of the whistleblower provisions of the Sarbanes Oxley Act (SOX), the meaning of donning and doffing clothes under the Fair Labor Standards Act (FLSA) and whether severance pay is subject to withholding taxes.
Affirmative Action
In a highly anticipated decision, the Supreme Court in Schuette v. Coalition to Defend Affirmative Action, 134 S.Ct. 1623 (2014), upheld an amendment to the Michigan constitution that bans affirmative action in public university admissions. The ruling resolved a circuit split in favor of allowing states to repeal affirmative action policies in the public sector through state constitutional amendments. The decision is an important step in the analysis of affirmative action issues and therefore noteworthy for employers.
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