NLRB Posting Requirement is on Hold
Karen G. Schanfield
As we have previously reported, the National Labor Relations Board (NLRB) issued a rule requiring most private sector employers to display a poster giving employees notice of their rights under the National Labor Relations Act. The controversial rule’s effective date was to be April 30, 2012. Its status has been uncertain as the legality of the rule was challenged in federal court proceedings.
JOBS Act Rewrites Rules on Emerging Company Financing
Robert K. Ranum
President Obama is expected to sign the Jumpstart Our Business Startups (JOBS) Act within days, giving effect to some of the most significant changes in decades in the rules governing how small companies raise money. The bill enjoyed rare bipartisan support from legislators desperate for some accomplishment in an election year, passing the House with a vote of 390 to 23 on March 8, 2012 and, with amendments, the Senate with a vote of 73 to 26 on March 22, 2012. The House passed the bill again with the Senate amendments on March 27, by a vote of 380 to 41, and sent the bill to the White House for signature.
Sale of S Corporation Holding Companies/Banks
Thomas W. Garton
Since 1996, many bank holding companies and their wholly owned banks have chosen to be taxed under Subchapter S of the Internal Revenue Code (Code). S Corporation holding companies and their wholly owned qualified Subchapter S electing banks (called QSubs), are not separate taxpayers for tax purposes, but rather their combined income and loss is passed through pro rata to their shareholders. Income allocated to the shareholders increases their basis in their holding company stock, and distributions from the holding company are received as a tax free return of basis.
New Report on Social Media Provides No Bright Line Tests for Employee Conduct or Employer Policies
Teresa M. Thompson
Norah E. Olson Bluvshtein
Disciplining and terminating employees for “bad behavior” in social media continues to be a hot topic of discussion for all employers. As many of you know, these so-called “Facebook firing” cases have drawn the attention of the National Labor Relations Board (NLRB), which views social media sites as an open venue for employees to engage in activity protected by the National Labor Relations Act (NLRA).