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Leave of Absence (FMLA)—News—Maryland


08/04/2005
Appeals Court Says Waiver of FMLA Rights Unenforceable
Relevant Jurisdictions: Federal, Maryland, North Carolina, South Carolina, Virginia, West Virginia

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The 4th Circuit Court of Appeals has ruled that a Department of Labor regulation barring a waiver of an employee's rights under the Family and Medical Leave Act applies to all rights under the act.

In the case before the court, Barbara Taylor alleged that her former employer, Carolina Power & Light Company, violated her rights under the Family and Medical Leave Act of 1993, including the violation of (1) her substantive right to twelve weeks of unpaid leave to deal with a serious health condition and (2) her proscriptive right not to be discriminated or retaliated against for exercising her substantive FMLA rights.

The company argued that Taylor waived her rights to file a lawsuit when she signed and returned a general release and severance agreement. Taylor argued that 29 C.F.R. § 825.220(d), a Department of Labor regulation, bars the waiver or release of FMLA rights. The regulation reads: "Employees cannot waive, nor may employers induce employees to waive, their rights under [the] FMLA."

A district court, in ruling in favor of the employer, said the department's regulation applies to only the prospective waiver of substantive FMLA rights (twelve weeks of unpaid leave to deal with a serious health condition), not to a retrospective waiver of FMLA claims or the release of claims that an employer has discriminated or retaliated against an employee for the exercise of her substantive FMLA rights.

The 4th Circuit Court of Appeals--which covers Maryland, North Carolina, South Carolina, Virginia, and West Virginia-- disagreed with the district court's interpretation.

"The regulation's plain language prohibits both the retrospective and prospective waiver or release of an employee's FMLA rights," the 4th Circuit wrote. "In addition, the regulation applies to all FMLA rights, both substantive and proscriptive (the latter preventing discrimination and retaliation)."

The appeals court said the waiver was unenforceable, adding that the Department of Labor permits a waiver of FMLA rights only with prior approval of the department or a court.

"Finally, the DOL, by recognizing that the FMLA's enforcement scheme is analogous to that of the Fair Labor Standards Act (FLSA), 29 U.S.C. § 201 et seq., has indicated that § 825.220(d) permits the waiver or settlement of FMLA claims only with the prior approval of the DOL or a court," the 4th Circuit wrote.

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