HR Management & Compliance

Failure to Provide FMLA Notice to Employee Costs Employer $275K

A federal district court judge approved a consent decree requiring Staples to pay $275,000 for failing to notify an employee of his Family and Medical Leave Act leave rights to care for his critically ill wife over a period of two years. The U.S. Department of Labor contended that the office supply chain’s failure to notify Jeffrey Angstadt of his FMLA rights prevented him from making educated decisions when requesting leave to care for his wife, who was undergoing treatment for cancer. As a result — after nearly two years of using his vacation, sick and personal leave, and working remotely to balance his work and obligations as a care-giver — Staples fired Angstadt for failing to meet performance expectations.

Facts of the Case

In 2007, Jeffrey Angstadt began working as a marketing manager for Corporate Express, and continued in that position when the company was purchased in 2008 by Staples. In September 2010, Angstadt notified his supervisor that Angstad’s wife had been diagnosed with breast cancer, and he needed to take leave to care for her during her treatment.

During the next two years, Angstadt used his personal, vacation and sick leave intermittently to care for his wife during her treatment and its related complications. He also adjusted his schedule and worked remotely to meet his work obligations. In March 2011, Angstadt was transferred to position as a furniture sales executive, then fired 10 months later for failing to meet his job responsibilities.

The DOL Wage and Hour Division began an investigation in March 2012, and filed a lawsuit in June 2013 alleging that Staples had violated the FMLA by failing to notify Angstadt of his FMLA rights. Angstadt’s wife died in 2014.

Complaint and Settlement

FMLA regulations require an employer, within five business days after receiving an employee request for FMLA leave or acquiring knowledge that an employee’s leave may be for an FMLA-qualifying reason, to give the employee notice of his or her FMLA eligibility and rights and responsibilities under the law. After receipt of any information (such as a medical certification) needed to determine if a request qualifies as FMLA leave, the employer must inform the employee within five business days of its determination.

In its lawsuit, DOL contended that, even though Angstadt’s supervisors knew of his wife’s condition, at no time while using intermittent leave to care for his wife did Staples provide Angstadt any of the required notices. As a result of Staples’ failure to provide notice to Angstadt, he was unlawfully placed on a performance improvement plan and terminated.

Staples agreed to pay Angstadt $275,000 in lost pay and benefits and liquidated damages. In addition, Staples also agreed to: (1) provide training on FMLA notice and eligibility requirements to its human resources and managerial personnel; (2) post FMLA enforcement notices in the workplace; and (3) investigate and respond to complaints of potential FMLA violations concerning an employee’s notice of FMLA rights, including correcting any violations.

Employer Takeaway

As complex as the FMLA may appear, employers’ notice requirements are clear. Providing required notices to an employee is an employer’s very first step in complying with federal leave law — no delay, no excuses. Providing notice of FMLA rights through an employee handbook or by posting a notice in the lunchroom is not enough.

Employers must give notice of FMLA leave eligibility and the employer’s determination whether requested leave qualifies for FMLA protections each time an employee requests leave that might qualify. Numerous court decisions also are clear than an employee does not have to invoke the FMLA in a leave request to trigger an employer’s obligations — just having knowledge that an employee’s leave may qualify as FMLA leave requires the employer to seek more information and provide the required notices.

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