EMPLOYERS & LAWYERS, WORKING TOGETHER BLOGS, SOCIAL NETWORKING & VIRTUAL WORLDS: A BRAVE NEW WORKPLACE Presented By: Tom Farr Ogletree Deakins tom.farr@ogletreedeakins.com www.ogletreedeakins.com What’s Out There? EMPLOYERS & LAWYERS, WORKING TOGETHER Social Networking Sites: Facebook, MySpace, Friendster Twitter, Spokeo, MyLife Classmates.com, YouTube Web Logs – “Blogs” a personal online journal that is frequently updated, intended for general public consumption and often encourages comments or discussions Professional Networking Sites: Plaxo LinkedIn www.ogletreedeakins.com Just How Big is Social Networking? EMPLOYERS & LAWYERS, WORKING TOGETHER Facebook now has 500 million active users worldwide who spend, on average, more than 55 minutes on Facebook each day MySpace has 100 million active users, although it is in decline, losing ground to Facebook Twitter claims to have 175 million users Linkedin has 100 million users 70 Million Blogs, 175,000 Blogs Created Daily www.ogletreedeakins.com EMPLOYERS & LAWYERS, WORKING TOGETHER Headline News – Diary of a Fired Flight Attendant Ellen Simonetti, a Delta Airlines flight attendant, was fired for her blog, Diary of a Flight Attendant (now called Diary of a Fired Flight Attendant). Delta became aware of her blog with “inappropriate” pictures, including two of her in a Delta uniform. www.ogletreedeakins.com www.ogletreedeakins.com EMPLOYERS & LAWYERS, WORKING TOGETHER www.ogletreedeakins.com EMPLOYERS & LAWYERS, WORKING TOGETHER Simonetti Strikes Back! EMPLOYERS & LAWYERS, WORKING TOGETHER After Delta terminated her employment, Simonetti learned that other male employees posted similar pictures of themselves on social media sites in uniform She filed suit against Delta alleging disparate treatment based on sex The case was never adjudicated because Delta filed bankruptcy shortly after Simonetti filed suit www.ogletreedeakins.com Headline News – “Cisco Fatty” EMPLOYERS & LAWYERS, WORKING TOGETHER An applicant, immediately after being offered a job at Cisco, ‘tweeted:’ “Cisco just offered me a job! Now I have to weigh the utility of a fatty paycheck against the daily commute to San Jose and hating the work.” A Cisco employee responded: “Who is the hiring manager? I’m sure they would love to know that you will hate work. We here at Cisco are versed in the Web.” This individual was not hired by Cisco. www.ogletreedeakins.com Headline News – Teachers’ Tirades EMPLOYERS & LAWYERS, WORKING TOGETHER A high school teacher in Pennsylvania was suspended after she complained on Facebook that her students were “rude, disengaged, lazy whiners” A first-grade teacher in Paterson, New Jersey was suspended after posting on Facebook that she felt like a warden overseeing future criminals www.ogletreedeakins.com Headline News – The Fairy Intern EMPLOYERS & LAWYERS, WORKING TOGETHER On October 31, an intern e-mailed his employer that he could not come to work as he needed to get to NY immediately for a family emergency. Instead, he attended a Halloween party, posting on his Facebook page a dated picture of himself dressed as a fairy. The picture was promptly noted by his bosses, distributed around the office along with an e-mail thanking him for the notice, hoping everything was ok and adding “…nice wand.” He was fired for lying. www.ogletreedeakins.com Headline News – Microsoft EMPLOYERS & LAWYERS, WORKING TOGETHER A Microsoft employee posted a photo to his weblog of pallets of new Apple computers on the Microsoft loading dock with the caption “It looks like somebody over in Microsoft land is getting some new toys.” Microsoft fired him claiming he was a security risk. www.ogletreedeakins.com Headline News – Boss Bashing EMPLOYERS & LAWYERS, WORKING TOGETHER An employee was fired for posting on Facebook that she hated her job and that her boss was a “total pervvy wanker” and always made her do “shit stuff” Unfortunately, the employee forgot that she had previously “friended” her boss The boss proceeded to terminate her via Facebook www.ogletreedeakins.com EMPLOYERS & LAWYERS, WORKING TOGETHER CYBERSPACE ISSUES PRESENTED TO EMPLOYERS What are the risks of accessing and evaluating cyber-information on applicants as part of the screening process? What are the risks of using cyber-information to take disciplinary action against current employees? Should you regulate or outright prohibit cyberspace activities by current employees? www.ogletreedeakins.com EMPLOYERS & LAWYERS, WORKING TOGETHER What are the risks of accessing and evaluating cyber-information on applicants as part of the screening process? www.ogletreedeakins.com Who is Doing It? EMPLOYERS & LAWYERS, WORKING TOGETHER In a recent Jump Start Social Media Poll, 100 hiring managers at small, mid-size and large companies were surveyed – 75% use LinkedIn 48% use Facebook 26% use Twitter www.ogletreedeakins.com EMPLOYERS & LAWYERS, WORKING TOGETHER Information Contained Online: The Good, The Bad & The Ugly Charitable activities Hobbies Educational background Special talents Licenses Fluency in foreign language Certifications Writing style Grammar/spelling Employment experience, including periods of unemployment www.ogletreedeakins.com EMPLOYERS & LAWYERS, WORKING TOGETHER Information Contained Online: The Good, The Bad & The Ugly Race Gender Children National origin Sexual orientation/ gender identity Age Political views Controversial opinions Religion Genetic information www.ogletreedeakins.com EMPLOYERS & LAWYERS, WORKING TOGETHER Information Contained Online: The Good, The Bad & The Ugly Drug/alcohol/tobacco use Prior lawsuits/charges Arrest/criminal history Bigotry Marital/family status Workers’ comp claims Other “lawful out of work activities” Records of disabilities Union membership Health/psychiatric issues www.ogletreedeakins.com EMPLOYERS & LAWYERS, WORKING TOGETHER Information Contained Online: The Good, The Bad & The Ugly Whistleblowing Sexual Content Disclosure Of Prior Employer’s Secrets Harassment Of Co-Workers Employer Bashing Gossip Defamation Of Employer’s Clients Or Third Parties Use of foul language www.ogletreedeakins.com EMPLOYERS & LAWYERS, WORKING TOGETHER Do Employers Really Want to Utilize This Information in Hiring? Pros: Important decision to hire someone Invaluable information about character that you might not get anywhere else Far easier to avoid a bad hire than to get rid of a bad hire Failure to hire suits much less likely than suits over termination Avoid negligent hiring claim www.ogletreedeakins.com EMPLOYERS & LAWYERS, WORKING TOGETHER Do Employers Really Want to Utilize This Information in Hiring? Cons: Captive with information impermissible to consider Taint otherwise well-based decision Tempt decision on improper information Make decision on incorrect information Bad publicity for company Increase likelihood of litigation www.ogletreedeakins.com EMPLOYERS & LAWYERS, WORKING TOGETHER Statutory Risks of Employer’s Use of Employee Cyberspace Activity Federal Statutory Restrictions Fair Credit Reporting Act National Labor Relations Act - § 7 “concerted activity” Railway Labor Act – railroads and airlines “protected organizing activity” Anti-Discrimination Statutes (e.g., Title VII, ADEA, ADA) Anti-Retaliation Statutes (e.g., FLSA) Stored Communications Act State Statutory Restrictions Retaliatory Employment Discrimination Act Workplace Violence Prevention Act Off-Duty Use of Lawful Products www.ogletreedeakins.com Risks and Common Law Restrictions EMPLOYERS & LAWYERS, WORKING TOGETHER Invasion of Privacy False Light (not recognized in NC) Defamation (Libel and Slander) www.ogletreedeakins.com EMPLOYERS & LAWYERS, WORKING TOGETHER What are the risks of using cyber-information to take disciplinary action against current employees? www.ogletreedeakins.com EMPLOYERS & LAWYERS, WORKING TOGETHER Do Employers Really Want to Utilize This Information on Current Employees? Pros: Can be an effective way to catch employee misconduct: Dishonesty about need for absence Harassing/discriminating behavior Disclosing confidential information Badmouthing company (but watch for protected activity!) Illegal conduct Can have employees sign Social Networking Policy which makes clear employer will monitor any workplace use Avoid negligent retention claim www.ogletreedeakins.com EMPLOYERS & LAWYERS, WORKING TOGETHER Do Employers Really Want to Utilize This Information on Current Employees? Cons: Risk of inconsistency Piecemeal information or happenstance Real risk of making decision based on incorrect information Bad publicity for company Increased likelihood of litigation Statutory (retaliation, off-duty lawful conduct) Common law (invasion of privacy) www.ogletreedeakins.com EMPLOYERS & LAWYERS, WORKING TOGETHER Recent Case Law Zimmerman v. Weis Markets, Inc. (Pa. CP 2011) Plaintiff sued his employer after he was injured on the job by a fork lift He sought lost wages and compensation for pain and suffering as a result of the “permanent diminution in [his] ability to enjoy life and life’s pleasures” Specifically, he testified that he could no longer wear shorts because he was so embarrassed by the scaring on his leg However, on public portions of his Facebook and MySpace pages the employee posted pictures in shorts with his scarred leg clearly visible The court rejected plaintiff’s privacy claim as a defense to discovery and held that a person who voluntarily posts information to a social-networking profile has no expectation of privacy www.ogletreedeakins.com Recent Case Law EMPLOYERS & LAWYERS, WORKING TOGETHER EEOC v. Simply Storage Mgmt. (S.D. IN 2010) Two women claimed they were subject to sexual harassment during employment During discovery, Simply Storage sough plaintiffs’ Facebook and MySpace records claiming that they had placed their emotional state at issue by claiming medical treatment stemming from alleged harassment, depression, and post-traumatic stress disorder The court found that the requested information was discoverable despite the fact that plaintiffs had “locked” their profiles from public access www.ogletreedeakins.com Recent Case Law EMPLOYERS & LAWYERS, WORKING TOGETHER TEKsystems v. Hammernick (Dist. Ct. Minn. 2010) TEKsystems sued three employees for breaching noncompetition and nonsolicitation agreements, among other things TEKsystems claimed that one of the former employees had used her LinkedIn site to contact current TEKsystems employees to determine whether they were looking for career opportunities www.ogletreedeakins.com Recent Case Law EMPLOYERS & LAWYERS, WORKING TOGETHER Stengart v. Loving Care Agency, Inc. (NJ 2010) Employee emails her attorney about potentially suing Company using Company’s computer but her personal Yahoo email account After employee resigns, Company accesses emails and tries to use them against her in the lawsuit Court held e-mails protected by the attorney-client privilege Company’s ambiguous computer monitoring policy did not make clear that personal emails are Company property Court specifically rejected idea that Company’s ownership of the computer is the sole determinative factor in deciding whether an employee’s personal communications become Company property www.ogletreedeakins.com Recent Case Law EMPLOYERS & LAWYERS, WORKING TOGETHER Van Alstyne v. Elec. Scriptorium, Ltd. (4th Cir. 2009) Allowed punitive damages under the Stored Communications Act, even absent a showing of actual damages, where an employer had accessed an employee’s personal AOL e-mail account without the worker’s authorization. www.ogletreedeakins.com Recent Case Law EMPLOYERS & LAWYERS, WORKING TOGETHER Pietrylo v. Hillstone Restaurant Group (D.N.J. 2009) Company managers surreptitiously monitored 2 employees’ postings containing complaints and sexual remarks about managers in a private, password protected MySpace account Managers obtained the password from a female employee and then terminated the 2 employees Employer liable for violating the federal Stored Communications Act and the NJ Wiretapping and Electronic Surveillance Control Act, because they obtained the password by duress www.ogletreedeakins.com EMPLOYERS & LAWYERS, WORKING TOGETHER Recent Case Law Yath v. Fairview Clinic, N.P. (Minn. App. 2009) Patient brought an action against healthcare provider and two of its employees where employees posted information from plaintiff’s medical file on a MySpace page Ultimately, the employer won on summary judgment on plaintiff’s vicarious liability claim because the court held that wrongful access and dissemination of the patient’s private information was not foreseeable. And further granted summary judgment to Fairview on plaintiff’s invasion of privacy claim because there was no evidence that Fairview was involved in creating the webpage. Key Point: Fairview blocked employee access to MySpace at work. www.ogletreedeakins.com EMPLOYERS & LAWYERS, WORKING TOGETHER Recent Case Law Konop v. Hawaiian Airlines (9th Cir. 2002) Hawaiian Airlines executive gains unauthorized access to website maintained by pilot Robert Konop which is critical of the Airline Executive’s unauthorized access could have constituted a violation of the Stored Communications Act (SCA) and the Railway Labor Act www.ogletreedeakins.com EMPLOYERS & LAWYERS, WORKING TOGETHER Recommendations on Use of Employee Cyberspace Activity 1. Informed Decision on Use of Internet Searches for Applicants/Employees Know the pros and cons Make an effort to minimize the use of impermissible information Make every effort to verify factual information before basing a decision on it www.ogletreedeakins.com EMPLOYERS & LAWYERS, WORKING TOGETHER Recommendations (Cont’d) 2. Gut Check Do not try to access or break into any site that you have not been provided authorization to access Do not falsify information or impersonate another individual in order to attempt to obtain access www.ogletreedeakins.com Recommendations (Cont’d) EMPLOYERS & LAWYERS, WORKING TOGETHER 3. Retention of Information Because you are opening the door to impermissible information, it is important to retain all permissible information on which you are basing your decision Retain your search information so you cannot be accused of accessing information you did not Retain information on the efforts you made to avoid accessing or using impermissible information www.ogletreedeakins.com Recommendations (Cont’d) EMPLOYERS & LAWYERS, WORKING TOGETHER 4. Focus on Job-Relatedness of Information Study the job description or list of essential functions Have defined search criteria that match the job duties Have a list of the type of information you are looking for Have a list of the information you do not intend to look at or use www.ogletreedeakins.com EMPLOYERS & LAWYERS, WORKING TOGETHER Recommendations (Cont’d) 5. Ensure Right Person is Involved Don’t task this to someone who is not qualified and doesn’t have the right information Should be an HR professional trained in these kinds of searches (if possible) www.ogletreedeakins.com EMPLOYERS & LAWYERS, WORKING TOGETHER Recommendations (Cont’d) 6. Consistently Apply Search Consistency, always important, is now even more critical You are accessing information you would otherwise never have obtained Be consistent in your search criteria Be consistent in your decision-making criteria www.ogletreedeakins.com Recommendations (Cont’d) EMPLOYERS & LAWYERS, WORKING TOGETHER 7. Check Terms and Conditions of Website Being Accessed Do not violate the terms of a site in order to access information Obtain appropriate information from your applicant or employee to access site lawfully Some employers are asking for user names and passwords (!) to access password-protected sites like Facebook A better practice would be to set up a Company page and request that the applicant/employee hit the “like” button www.ogletreedeakins.com EMPLOYERS & LAWYERS, WORKING TOGETHER Recommendations (Cont’d) 8. Timing of Search: Pre-Offer/PostOffer Pros of post-offer include Ability to avoid tainting otherwise well-based decisions on people you have no intention of hiring Cons of post-offer include Focusing the applicant on the reason for the decision and potentially increased likelihood of litigation due to yanking of job offer www.ogletreedeakins.com EMPLOYERS & LAWYERS, WORKING TOGETHER Recommendations (Cont’d) 9. Include Release/Authorization in Applications Should include express acknowledgement that the employee has no further privacy interest in any information posted on password-protected or useronly sites Should at least attempt to obtain indemnification and release www.ogletreedeakins.com EMPLOYERS & LAWYERS, WORKING TOGETHER Should you regulate or prohibit outright cyberspace activities by current employees? www.ogletreedeakins.com EMPLOYERS & LAWYERS, WORKING TOGETHER What Kinds of Trouble Can Employees Get Into? Trade secret disclosure Disclosure of private customer and client information Posting defamatory statements about the company, its products/services, co-workers/bosses, or clients Engaging in discrimination/harassment through social media False endorsement Picking up viruses, worms, Trojan horses and other malware that can infiltrate your company network www.ogletreedeakins.com EMPLOYERS & LAWYERS, WORKING TOGETHER What Kinds of Trouble Can Employees Get Into? Posting offensive, embarrassing or otherwise objectionable content while identifying themselves with the Company Waste and downtime at work Non-compete issues Privacy related torts www.ogletreedeakins.com What kind of trouble can employers get into? EMPLOYERS & LAWYERS, WORKING TOGETHER Postings can spread quickly to millions of people -- “viral” posts Damage to the company’s reputation or brands Loss of confidential information is hard to cure Identity of offenders may be tough to learn Firing for Internet use may lead to lawsuits Off-duty conduct laws Discrimination or retaliation Whistleblowing under SOX Concerted activity under the NLRA Invasion of Privacy Violations of Stored Communications Act, Wiretap Act, and Electronic Monitoring Statutes www.ogletreedeakins.com EMPLOYERS & LAWYERS, WORKING TOGETHER The Employer’s Choice: Prohibit vs. Regulate Prohibition Effect on morale Effectiveness of prohibition Time to police it? Resources to monitor? Consistency Enforcement – what will be the penalty for violations? www.ogletreedeakins.com Prohibit vs. Regulate EMPLOYERS & LAWYERS, WORKING TOGETHER Regulation Some large employers like IBM, Sun Microsystems, Google and Microsoft have elected to regulate employee social networking and blogging by establishing internal, common sense guidelines on usage. Social networking sites may be commercially helpful to your company (marketing, professional referrals, branding, etc.) Social networking is this decade’s answer to email – it’s here to stay! www.ogletreedeakins.com Social Networking Policy Elements EMPLOYERS & LAWYERS, WORKING TOGETHER Employee must read and sign policy at outset of employment Make clear in the policy that employees have no expectation of privacy when using company-issued equipment Require adherence to company code of conduct/values No slurs, demeaning jokes, sexist terms, offensive photos, etc. Prohibit disclosure of company confidential information Prohibit use of company logos or trademarks without written permission Remind employees of their own personal responsibility for posts www.ogletreedeakins.com Social Networking Policy Elements EMPLOYERS & LAWYERS, WORKING TOGETHER Disclaimers - reflect content of post as being author’s opinion alone, not the company’s Limit blogging, tweeting, facebooking while on the job to business-related purposes Depending on the nature of your business, you may want to consider blocking social networking sites You can also include a policy that if an employee discovers a policy violation by a coworker, he or she must report it to management Make clear that a violation can lead to discipline, up to and including termination www.ogletreedeakins.com A Word About LinkedIn EMPLOYERS & LAWYERS, WORKING TOGETHER Each profile invites others to “recommend” that person for employment People openly solicit “recommendations” from their peers You scratch my back, I’ll scratch yours www.ogletreedeakins.com EMPLOYERS & LAWYERS, WORKING TOGETHER A Word About LinkedIn Two Issues for Employers - While you certainly can evaluate “recommendations” of individuals in considering them for employment, take them with a grain of salt Self-promotion Consider the source www.ogletreedeakins.com A Word About LinkedIn EMPLOYERS & LAWYERS, WORKING TOGETHER Make sure you are advising supervisors, managers and HR personnel not to make “recommendations” of employees at your company on LinkedIn Plaintiffs’ lawyers are mining these sites for glowing recommendations which contradict the reason for termination, discipline, etc. Safest policy is to comply with your company’s official job reference policy – typically, a designated person gives out pre-determined information and nothing more www.ogletreedeakins.com EMPLOYERS & LAWYERS, WORKING TOGETHER Questions or Comments? www.ogletreedeakins.com