Return-to-Work Changes Pose Litigation Trap for Overtime Rules

Here are the day’s top coronavirus stories from the team at Bloomberg Law:

• LABOR COSTS: Businesses have long relied on statutory exemptions to overtime requirements to limit labor costs and the burdens of tracking employee hours. Now, with businesses buffeted by recession and adjusting operational patterns under return-to-work plans, employers must proactively assess workers’ new routines, employment attorneys say.
• VIRUS EVICTIONS: Even as coronavirus case counts continue their ominous rise across the U.S., protections to stall evictions in states are slipping away. Boston has a clearer picture of where evictions will hit hardest once these cases resume. A new study paints a severe portrait of disparity: Eviction cases filed since the start of the pandemic are overwhelmingly located in majority-Black neighborhoods.
• JOBLESS BENEFITS: Senate Minority Leader Chuck Schumer (D-N.Y.) and Sen. Ron Wyden (D-Ore.) rolled out legislation that would extend the “supercharged” federal subsidy to unemployment insurance. The proposal would extend until March 2021 the current $600 a week unemployment boost, though it includes an “automatic stabilizer” to phase down the benefit in states where the three-month average jobless rate declines below certain thresholds. The bill sets a marker for Democratic lawmakers heading into negotiations over another virus relief bill.

Editor’s Top Picks

Pandemic Pushes Law Firm Mergers to Near 10-Year Low
Law firm mergers hit a near 10-year low in the second quarter as the pace of deals all-but stalled as the sector grappled with the economic fallout from the coronavirus pandemic.

FDA Vaccine Guidance Throws Cold Water on Trump 2020 Goal
The Food and Drug Administration’s new standards on Covid-19 vaccine development may dampen Wall Street hopes that a shot to prevent the spread of the pandemic will be available before the U.S. election in November.

Gilead Urged to Cut Virus Drug’s Price if It Fails to Save Lives
Gilead Sciences Inc. should be prepared to dramatically slash the price of its Covid-19 drug remdesivir if the drug fails to reduce deaths, an organization that analyzes the value of health-care treatments says.

MLB, Ticketmaster Seek Stay in Covid-19 Refund Suit
Major League Baseball, Ticketmaster LLC and several other ticket sellers asked the Central District of California to stay all discovery in a $1 billion class action seeking a refund on tickets sold for the 2020 season, which has been suspended due to the coronavirus.

Pizza Hut and Wendy’s Operator NPC Files for Bankruptcy
NPC International Inc., the largest franchisee of Pizza Hut restaurants in the U.S., filed for bankruptcy after coronavirus-related shutdowns added to competitive pressures in the restaurant industry.

U.S. Senate Passes Extension of Small Business Loan Program
The Senate passed an extension of the popular Paycheck Protection Program for small businesses, which was set to close down Tuesday night with more than $130 billion in funding left over.

Fauci Says U.S. Risks 100,000 Daily Cases in Dire Warning
The U.S. is “going in the wrong direction” in its effort to contain the novel coronavirus and daily case counts could more than double if behaviors don’t change, infectious-disease expert Anthony Fauci said Tuesday.

Job Opportunities Are Available for Grads Who Know Where to Look
Identifying shifts in the economy may be key for new graduates looking to survive in a market where more than 19.5 million Americans are unemployed, and many companies have stopped hiring or even shut down altogether.

Major Miami Hospital Limits Surgeries Amid Covid-19 Return
Jackson Health System, which operates one of Florida’s biggest hospitals, said it will limit inpatient surgeries and procedures to emergency and urgent cases amid an increase in Covid-19 cases in the state.

Citi Pulls Back on Plans for Office Return in 13 States
Citigroup Inc. is pulling back on plans for returning employees to offices across the U.S. as coronavirus cases surge in many states.

Colorado, Georgia Tweak Jobless Aid in Back-to-Work Policy Push
Colorado and Georgia would increase the amount workers can earn without reducing unemployment benefits, under bills awaiting governors’ signatures—one policy approach for states looking to nudge people back to work during the pandemic.

Airlines Warn Worsening Virus Spread in U.S. Threatens Travel
High coronavirus infection rates in the U.S. are threatening to undermine a global recovery in travel, according to the airline industry’s main trade group, the International Air Transport Association.

INSIGHT: Getting Back in the Game—Health, Safety for Live Sports
Several sports leagues in the U.S. and Europe have successfully reopened following Covid-19 closures, and the central focus has been on health and safety. Morgan, Lewis & Bockius LLP attorneys discuss best practices in reopening plans for sports to protect the health and safety of players, staff, and fans, as well as what to do if someone tests positive at an event.

Click here for updates on how federal courts are operating during the pandemic.

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Editor’s Note: The Bloomberg Law news team has been closely covering the legal, regulatory, business, and tax implications of the coronavirus pandemic. This daily email highlights the top stories of the day, across practice areas. To unsubscribe, please adjust your Bloomberg Law newsletter settings. For assistance, contact our help desk at 888-560-2529 or help@bloomberglaw.com.