Is Bullying Harassment?

California is oft thought of as a trailblazer in the arena of sexual harassment law. Because California’s Fair Employment and Housing Act mirrors Title VII, practitioners and employers in other states often look to California cases and laws regarding sexual harassment for guidance.

One area that has created a stir nationwide is California’s latest addition to its statute regarding mandatory sexual harassment training for supervisors. The state now mandates training on the subject of “abusive conduct,” otherwise known as bullying, in addition to training on sexual harassment avoidance. While “abusive conduct” is not illegal in and of itself, this addition to the law’s training requirements has created speculation as to whether legislation may be coming down the pike deeming bullying illegal.

Add to this discussion a new California appellate court decision, Levi v. The Regents of the University of California. In that case, the plaintiff was a neuro-ophthalmologist who claimed that the department chair sexually harassed  her by standing above her and banging his fists on his desk while threatening to fire her and by yelling at her on various occasions.  She also presented evidence of the department chair engaging in similar hostile and intimidating conduct against various co-workers.  The court, however,  refused to accept the plaintiff’s invitation to characterize “bullying” as harassment, and held that because there was no evidence that this conduct was because of the plaintiff’s gender, there was no harassment under the law.

Of course, bullying in the workplace is something that employers should seek to eliminate and prevent for a variety of reasons, such as fostering an inclusive work environment, keeping morale levels high, and ensuring that everyone works to their potential. However, the Levi case makes it clear that the kind of conduct we think of as bullying is not currently illegal harassment in most jurisdictions. Nevertheless, California’s recent sexual harassment regulations make it clear that companies must provide training regarding abusive conduct and avoiding bullying behavior.  The question remains – what does the future hold, and will the California legislature decide to codify its anti-bullying stance?

This post was written by Krista M. Cabrera of Foley & Lardner LLP © 2017
For more Labor & Employment legal analysis go to The National Law Review

U.S. State Department Contractor to Resolve Allegations of Improper Vetting with $5 Million Settlement

On September 14, 2017, Pacific Architects & Engineers Incorporated (PAE) settled a whistleblower lawsuit alleging the company did not follow proper vetting procedures for its personnel that performed and billed work to the U.S. State Department. The $5 million settlement resolves allegations without any determination of liability of contract violations.

PAE is a company originally incorporated in California in 1955. The company first served the rebuilding of Japan after WWII and has since grown to participate in projects and government contracts globally. In 2007, already a contractor with the U.S. State Department, PAE was assigned the task of training U.S. personnel in Afghanistan and conducting extensive background checks and documentation for those in high-risk positions. Reporting the names, nationalities and background information on contract employees in these positions was a requirement of the contract for work between PAE and the U.S. government.

After its investigation, the U.S. Justice Department alleged that “PAE was aware of these contractual requirements but did not comply with them for extended periods.”

Robert Palombo, the former PAE manager, filed this whistleblower lawsuit against his employer alleging that this was the case and that PAE continued billing for work done under the contract.

PAE, however, contends that “The invoices specifically identified the names of employees for whom the lawsuit alleges that requisite notice was not made. The employees whose background investigations were allegedly inadequate were not involved in any security incidents or injuries. The services called for under the contract were provided in full.”

Without admitting fault or liability, PAE has decided to settle these allegations of improper vetting by paying the U.S. government $5 million, $875,000 of which whistleblower Robert Palumbo is entitled to receive.

This post was written by Tycko & Zavareei Whistleblower Practice Group of Tycko & Zavareei LLP © 2017

For more legal analysis go to The National Law Review