Ok, so this topic has been blogged to death by not only me, but the blawgosphere as a whole. However, I just received this update to the story.

Sam Zell, the head of Tribune Co., met with his employees/journalists last week at the Orlando Sentinel, one of the newspapers covered by his idiotic/inspiring (depending on which side you are on in the debate) new employee handbook.

One employee asked Mr. Zell about the direction the newspaper was heading and asked some follow up questions when she felt like he did not answer her question directly. At the end of the exchange, Mr. Zell simply said: "F*ck you" to the employee and left it at that. Unfortunately for Mr. Zell, a video of the incident quickly made its way onto YouTube.

I would direct Mr. Zell to the following paragraph in the handbook he so proudly introduced just last month:

8. QUESTION AUTHORITY. ...Question authority and push back if you do not like the answer. You will earn respect, and not get into trouble for asking tough questions.

Apparently Mr. Zell isn't very concerned about practicing what he preaches. When "feel good" handbook policies like this are not followed by management, a culture of cynicism and hypocrisy emerges in most companies.

This is probably even more true in the case where the person who created the policy and widely publicized its merits, violates its own terms just a few weeks later just as publicly.

Mr. Zell has stated publicly that he tried to contact this employee twice and not been able to get in touch with her. Also, she has refused to comment about the incident to the media.

Sounds to me like she, and likely other Tribune Co. employees, have learned their lesson about talking out of turn and not to "question authority".

A Reuters story this morning deals with what is both one of the most liberal paid leave policies I have ever seen and also one of the most blatantly discriminatory.

Hime & Company, a Tokyo-based marketing firm, offers paid leave to employees who have a bad breakup, termed "heartache leave".  While this is quite generous and one could argue that such a leave is often necessary to regain your composure, the terms are quite interesting.  Employees 24 years old or younger only get one day off, those between 25 and 29 get two days off and those 30 or older get three days.

CEO Miki Hiradate explains the reason for these different policies: "Women in their 20s can find their next love quickly, but it's tougher for women in their 30s, and their break-ups tend to be more serious."

I won't go into the age discrimination implications for women over 40, because this story is from Japan and the odds of this happening in the US are virtually none (unless you work at Tribune, Co.--then all bets are off).

A timely study by the Institute for Corporate Productivity (i4cp) that was released on Tuesday finds that the vast majority of corporations have some sort of formal anti-discrimination policy.

However, failure to adequately communicate such policies is a frequent problem, where only 80% of those companies rate anti-discrimination training "either somewhat or very important".

This study is certainly timely in the debate over Tribune company's hopelessly inadequate anti-harassment policy. Training employees using such a policy might actually have a negative effect, since it does not even recognize creation of a hostile work environment as illegal harassment.

Well, my post about the Los Angeles Times article on their new employee handbook seems to have set off (or at least contributed to) a firestorm throughout the web. Some of the reaction seems off-the-mark, though.

Comments: The Good, The Bad and the Ugly

The overwhelming majority of mail I received is in agreement with my comments on the handbook, but I also received the most hate mail for any post I have made in the past year. For example:

I’d like to see the legal system so jammed with lawsuits and uncollectible (sic) judgments that it fails altogether. Maybe then we could get out from under the thumb of the scum sucking lawyer filth who rule our lives. I support the kind of tort reform that would bankrupt 95% or more of attorneys.

However, I did actually receive some civil and thoughtful disagreement, most of which can be summed up by an anonymous comment that reads:

[T]hat "gobbledygook" that can be read and understood by 99% of the population is better than "gobbledygook" that is incomprehensible to 80% of the population. A legal system that is incomprehensible to the vast majority of those to whom it is supposed to apply is an incredibly bad system.

I agree with the second sentence of this comment, but to me the first sentence refers to a non-existent problem with employee handbooks. Generally these handbooks contain little (if any) legalese at all, because that would simply defeat their purpose.¹

Good Handbooks Have NO Gobbledygook

A post by Andrew Mitton at his new blog Legal Frontier that discusses the following provision as an example:

5.1 You may want to think twice before you enter into an intimate relationship with a co-worker. When you start, it might seem like a good idea. It's when you stop, or the wrong people find out (and they will) that you could discover that perhaps it wasn't.

While I did not originally comment on this provision, Daniel Schwartz at the Connecticut Employment Law Blog (an employment law defense attorney) has expressed concern over this provision. Mr. Mitton, on the other hand, praises the Tribune's provision for not having "wherefores, the herebys, and the all-encompassing list" of rules against behavior.

However, under the Tribune's provision, the company is refusing to take the position on the issue and the policy has no "teeth". If they want to terminate an employee for violating it, all the company can say is "we told him he should 'think twice'", when they should have made it a rule.

You might wonder to yourself "Ok, fancy lawyer guy, how would YOU have written it?" Alright, I will give it a shot:

5.1 The company discourages intimate relationships between co-workers and prohibits such relationships between supervisors and subordinates.

This is a clear statement of policy that the company can point to when an employee refuses to follow the rules and must be terminated. It contains no legalese and, in my opinion, CAN be understood by 99% of the population.

The Tribune's provision also does not prohibit relationships between supervisors and their subordinates, which are NEVER a good idea to allow. When the relationship sours, it can lead to sexual harassment suits and even if it does not go bad, employee morale can plummet when they think the subordinate is getting favorable treatment from the supervisor.

Of course, it is possible that the Tribune does not wish to prohibit relationships between supervisors and subordinates. It is also possible that instead of discouraging co-workers from having intimate relationships with each other, they simply want to make a public service announcement suggesting they "think twice". If so, then I suppose this provision accomplishes its goals.

The Reality of Typical Employee Handbooks

The public might be surprised to know that even most lawyers are opposed to legalese and overly complicated language (myself included). In fact, most law students today are taught not to write in legalese and to use plain English. Many jurisdictions (including the federal courts) are completely rewriting their rules to remove legalese and make them more clear for laypeople.

I have probably read close to 1,000 employee handbooks in my career and I do not recall ever seeing one written in legalese using "wherefore's" or "hereby's". In fact, using legalese in an employee handbook may even be as bad an idea as the Tribune's approach.

The main purpose of handbooks is to put employees on notice of what is expected of them. In litigation, the employer would have a tough time justifying termination of an employee for violation of a handbook provision so complicated the employee could not have been expected to understand it.

While I have seen many handbooks that are poorly written and difficult to understand, this is almost always because the employer did not consult a lawyer about it not because they did.

An article in Thursday's Los Angeles Times discusses their own parent company, Tribune Co.'s new employee handbook that was introduced by their CEO, Sam Zell, via a recent e-mail to employees.

This caught my eye because it is not every day that a company publicly releases or discusses their employee handbook. In fact, many handbooks actually state that its pages are the employer's property and must be returned at the end of employment.

The (Bad) Idea

According to Zell, the handbook outlines "our company's new core values" and "reminds us not to take ourselves too seriously, and to have fun." Unfortunately for the Los Angeles Times, legal documents (which are almost always referred to in employment law cases by one or both sides) do serve a legal function.

Although the handbook has the requisite disclaimer stating that it is not a contract, its provisions may be modified at any time, etc. and contains a footnote stating "Of course, Tribune follows...state laws," this will not let them off the hook in future litigation.

In provision 18.1.4 of the new handbook, the Tribune points out that:

It's good judgment not to put in writing what you don't want printed on the front page of a newspaper. Or posted on a website...

The company probably should have taken its own advice and left some of these provisions out of their official employee handbook, but it appears they did not consult an attorney before releasing it, so now they are stuck with it.

Use of Employee Handbooks in Litigation

Employee handbooks are used in litigation to demonstrate an employer's mindset, attitudes or as foreshadowing conduct at issue in a lawsuit.

For example, a handbook might say "you will be terminated immediately if you cannot satisfactorily perform your job due to a medical condition" (from an actual handbook I have seen in a case).

This is extremely good evidence in a disability discrimination or family medical leave case because it can be used as proof that the employer has already stated its intention not to comply with the law.

Examples from the Tribune Handbook

Here are some examples from the recently implemented handbook that point out that likely will cause its outside employment counsel to drive their head repeatedly into the nearest brick wall.

Harassment is not "Harassment"

From section 4, "Harassment Policy (Sexual & Otherwise), of part 3, "Employee Manual" of the handbook:

4.1 Working at Tribune means accepting a creative, quirky,...odd, humorous,...opinionated and sometimes annoying atmosphere.

4.2 Working at Tribune means accepting that sometimes you might hear a word that you...might not use...experience an attitude you don't share...[or] hear a joke that you might not consider funny.

4.3 This should be understood, should not be a surprise and is not considered harassment.

4.4 Harassment means being told that a raise, promotion or other benefit is dependent on you going on a date with your boss or some other similar activity. (emphasis added)

Provision 4.4 actually refers to the relatively uncommon "quid pro quo" sexual harassment, which includes "sleep with me or you are fired"-type conduct.

The vastly more prevalent form of sexual harassment is "hostile work environment" harassment, which occurs when a sexually-charged atmosphere is created, such as frequent, unwelcome sexual propositions towards an employee.

In fact, hostile work environment claims include situations where the conduct is not even directed at the plaintiff, such as other employees' constant viewing of pornography in close proximity to her or constant sexual comments about other employees to or within hearing distance of her.

Provisions 4.1-4.2 could easily be read to encompass a hostile work environment and 4.3's bold statement that in the company's view it is simply "not considered harassment". It does not take much work for a plaintiff's attorney to argue that this provision basically says that the company does not consider hostile work environments to be a form of harassment.

If an employee complains about such conduct and is ignored or retaliated against, provision 4.3 will be very damaging to the employer's case because its state position is that there is nothing wrong with the conduct in the first place.

Managers Love it When You Question Their Authority

8. QUESTION AUTHORITY. ...Question authority and push back if you do not like the answer. You will earn respect, and not get into trouble for asking tough questions.

In theory, this might seem to be a "breath of fresh air" and a great company-wide "open door policy". However, in practice this policy is likely bad for both employees and the company itself.

For the company, it is basically a promise that they will not take any action against an employee for complaining, no matter what it is about or how much they complaint. Every workplace has an employee who just loves to complain about anything and everything constantly. This provision both encourages such behavior and bars management from doing anything about it.

On the other side of the issue, I advise employees every day to be careful with taking such open-door policies too literally. It is commendable for a company to have a well-intentioned policy like this in place, but it has to be (and rarely is) followed by lower-level managers who usually do not like their orders or policies being questioned. In only a rare case will the employee earn any "respect" for complaining.

If an employee takes advantage of a policy like this, they should do so in writing and document both their complaints and their supervisor's reactions. That way, if retaliation does occur then there is a paper trail to prove it.

Alcoholism: Only Disease You Can Get in Trouble for Having¹

7.1 If you use or abuse alcohol or drugs and fail to perform the duties required by your job acceptably, you are likely to be terminated...

Alcoholics and drug addicts are considered to be disabled under California law and an employer terminates them for it at their own risk. In many circumstances, the Americans with Disabilities Act also applies to these situations.

In fact, under California Labor Code § 1025-1028, employers are required to reasonably accommodate these employees by allowing them to attend an alcohol or drug rehabilitation program if they have a substance abuse problem.

These types of disability discrimination claims are often difficult to prove and an uphill battle to establish that the disability (and not its side effects along, e.g. tardiness, poor performance) is the reason for termination.

However, a handbook provision like this could be the piece of evidence that wins the case, since this is singled out as a specific reason for terminating a poor performer. In other words, it does not say "If you have a mental breakdown and fail to perform...," so an argument that the difference is the specific disability itself is the reason gains a great deal of credibility.

"The company intends to actively discriminate..."

2.4 The company intends to actively discriminate based on job performance, ability and attitude.

2.5 Discrimination based on gender, age, race, religion, national origin, marital status, sexual orientation, disability, or any other characteristic not related to performance, ability or attitude, protected by federal or state law, or not protected (such as inability to tell a joke, the occasional poor wardrobe choice or bad hair day), is strictly prohibited.

There are a couple of issues with this provision that merit discussion, both of which can turn out bad for the company.

First, these paragraphs essentially promise that they will not terminate or otherwise discriminate based on any reason not related to performance, ability or attitude. Therefore, budget cuts, general "personality conflicts" with co-workers or management, or simply their manager's not liking them are not valid reasons to terminate or take any other action against an employee.

Second, while singling out someone with the "inability to tell a joke, the occasional poor wardrobe choice or bad hair day" as "unprotected" is clearly intended as a light-hearted joke, it could also be applied to that "weird" janitor/mailroom person/manual laborer who works for the company. I have represented some of these employees who are terminated for their social awkwardness which is sometimes a symptom of a disability such as mild autism.

While this may seem far-fetched, Tribune Co. has tens of thousands of employees and such an issue is bound to arise at some point in the next several years.

That's What Employment Law Attorneys Are For

Apparently the handbook was actually written by Randy Michaels, Tribune's CEO for Interactive Broadcasting. He has said he believe that "The more policies you have, the more opportunities there are for someone who is very unhappy to sue." However, with the right disclaimers in place, breaking a promise in an employee handbook itself provides no basis to sue.

Although our firm only practices employee rights law and does not advise employers or draft employee handbooks, this is most certainly the kind of thing that makes management-side employment law attorneys crucial in preventing lawsuits and other problems before they occur.

Mr. Michaels seems all too eager to say he is "amazed and amused at what lawyers get businesspeople to do," suggesting that other companies who pay lawyers to write (as the LA Time piece puts it) "the mind-numbing, lawyer gobbledygook in most corporate manuals" are being swindled or misled. In fact, that "gobbledygook" is often instrumental in successfully defeating many lawsuits by employees.

Once the Tribune faces its first lawsuit where this handbook is used as evidence against them, they will hopefully realize that Mr. Michaels has actually created more legal liabilities than he has prevented.

At that point, I will feel sorry for the attorney who has to defend a company that believes they will "have fewer legal problems with plain English and common sense than with pages and pages of rules". Essentially, that their own gobbledygook is better than any gobbledygook a lawyer could have written for them.

Good luck with that.