Staffing Law Conference Addresses Key Legal Issues

Staffing firm owners and managers, lawyers, and human resource professionals from across the country gathered in Washington, DC, April 20–21 to take part in the ASA staffing law conference, an event devoted specifically to legal issues affecting the staffing industry.

At a time when staffing firms are facing monumental changes to the labor and employment law landscape, the staffing law conference attracted a record number of attendees.

One highlight of the conference was a session presented by election consultant Charlie Cook, who is regarded as one of the most astute impartial analysts of the Washington political scene. Cook offered a rousing and informative preview of the 2010 midterm elections. Cook echoed former Speaker of the House Thomas "Tip" O'Neill's comment that "all politics is local" and added, "except when it's not." Cook said that once in a while the country will experience an abnormal election based on national, rather than local, sentiment, and that this year's congressional elections will likely fit that description.

Acknowledging that midterm election voter turnout is typically lower than for presidential elections, Cook predicted that the Republicans will retake a majority in the U.S. House of Representatives but not in the Senate. Addressing the business community directly, he suggested that some business owners' low confidence in public policy makers was having a chilling effect on hiring.

In other sessions during the conference, national labor and employment law experts addressed the latest developments in and compliance issues relating to wage and hour laws, workplace safety, and other topics. Leading employment law experts also held concurrent workshops covering legal issues in health care staffing, permanent placement, industrial and day labor services, and information technology staffing.

Eric Rumbaugh of Michael Best & Friedrich LLP discussed the complexity of state-by-state rules that dictate how to handle background check information and the degree to which staffing firms are exposed to liability if they do not properly act on the results. He also provided an overview of noncompete agreements and explained best practices that staffing firms can adopt to prevent incoming and departing staff from making damaging or unlawful transfers of proprietary information and client relationships.

Labor law specialist Brad Livingston of Seyfarth Shaw LLP gave a spirited presentation on union developments and what they mean for the staffing industry. He cautioned that although the Employee Free Choice Act has stalled in Congress over the past year, organized labor and its friends in government have been looking for opportunities to implement rules and practices that make it easier for unions to organize. He also briefed attendees on the implications of President Obama's appointment of former union lawyer Craig Becker to the National Labor Relations Board. The NLRB is expected to try to reinstate a ruling that would make it easier for unions to organize temporary workers.

The staffing law conference culminated in a highly anticipated presentation on health care reform, led by Alden Bianchi of Mintz, Levin, Cohen, Ferris, Glovsky & Popeo PC; Katie Mahoney of Greenberg Traurig; and ASA general counsel Ed Lenz.

This session focused on the new federal law set to take effect in 2014 and what it will mean for staffing firms and their clients. The law was dissected in various ways, offering interpretations of who is considered a "full-time employee" and what types of penalties employers may face if they do not provide health insurance coverage for their employees.

One key question was whether it will still be permissible for staffing firms to offer a different level of health insurance coverage to their internal staff than they offer to their temporary employees. The panelists agreed that there is no clear-cut answer to the question at this point, but that guidance is expected in the coming weeks and months. Lenz said that ASA will continue to provide information to members as it becomes available.

Several attendees also took the opportunity to meet with their members of Congress while in Washington. ASA helped facilitate the meetings and assisted attendees in explaining the association's position on key federal issues.

If you missed the staffing law conference or want to revisit the sessions presented there, an archive of the program will soon be available on ASAPro—professional development center. ASA also will continue to provide information on health care reform developments on ASAPro and at Staffing World^® 2010, Oct. 12–15 in Las Vegas.