Iowa Drug Testing Law– Part Two

Hugh J. Cain

Hopkins & Huebner, P.C. 2700 Grand Ave - Ste 111Des Moines, IA 50312hcain@hopkinsandhuebner.com

Iowa Code § 730.5

• If Employer chooses to do drug testing, can only do so pursuant to a written plan.

• Written plan must be provided to every employee subject to testing and available for review by all employees and applicants.

Types of Testing Permitted• Pre-employment• Random• Reasonable Suspicion• Post accident when accident results in

injury to person or damage to property exceeding $1,000

• Rehabilitation testing

(Iowa Code § 730.5(8))

Positive Test of an Employee• Employer must notify employee in

writing by certified mail, return receipt requested, of:1.Employee’s right to obtain confirmatory test

at approved lab of employee’s choice; and2.The fee payable by the employee for the

second test.

(Iowa code § 730.5(7))

Positive Test of Employee

• Employee must, within 7 days from date when employer mails written notice:

1. Request a confirmatory test;

2. Identify an approved laboratory; and

3. Pay to the employer the fee for the second test.

Second Test

• If results of second test do not confirm results of initial test, then:

– The employer must reimburse the employee for the fee paid by the employee for the second test.

– The first test cannot be considered a positive test for disciplinary action purposes.

Positive Test of Prospective Employee

• Employer must notify prospective employee in writing of:

1.The results of the test;

2.The name and address of the Medical Review Officer who made the report; and

3.The prospective employee’s rights to request records.

(Iowa Code § 730.5 (7))

Positive Test of Prospective Employee

• Prospective employee is entitled to laboratory records if he/she requests them within 15 days of receiving notice of right to do so.

Positive Test of Prospective Employee

• Employers are required to pay the costs of retesting when the employer invokes its drug testing policy as a condition for hiring. Tow v. Truck Country of Iowa, 695 N.W.2d

36 (Iowa 2005)

Disciplinary / Rehabilitative Actions

• A requirement that the employee enroll in approved rehabilitation, treatment, or counseling program;

• Suspension with or without pay for a period of time;

• Termination of Employment;

Disciplinary / Rehabilitative Actions

• Refusal to hire prospective employee; or

• Other action in conformance with employer’s written policy.

(Iowa Code § 730.5(10))

Suspension of Employee Pending Results

• Following a test, but prior to receiving results, an employer can suspend an employee with or without pay pending the outcome of the test.

• An employee who has been suspended must be reinstated by the employer, with back pay and interest, if result of test is not a confirmed positive result.

Confidentiality of Tests

• Generally, all communications received by an employer relevant to an individual’s test results are confidential and may not be used or received in evidence, obtained in discovery, or disclosed in any public or private proceeding.

Confidentiality Exceptions

• In an arbitration proceeding pursuant to a collective bargaining agreement, a worker’s compensation proceeding, or an unemployment compensation proceeding;

• To a federal agency as required by law;

Confidentiality Exceptions• To any state licensing agency if the

employee is licensed by that agency and the agency requires disclosure;

• To a union representing an employee if disclosure required;

• To a substance abuse evaluation or treatment facility for purpose of treatment or evaluation.

(Iowa Code § 730.5(13))

Employer Liability for False PositivesIn order to sue an employee for a false positive

test, an individual must prove:– The employer’s action was based on a false

positive test; and– The employer knew or clearly should have known

that the test was in error and ignored the correct test result because of reckless, malicious, or negligent disregard of the truth, or willful intent to deceive.

(Iowa Code § 730.5(12))

Case Law• Sims v. NCI Holding Corp., 759 N.W.2d

333 (Iowa 2009)– Employer gave Plaintiff prompt oral notice

of right to second test but did not notify Plaintiff by certified mail until 5 months later - after Plaintiff had retained counsel.

– Court held that substantial compliance with Iowa Code § 730.5 is sufficient, but that NCI’s actions were not substantial compliance.

Case Law

Harrison v. Employment Appeals Bd., 659 N.W.2d 581 (Iowa 2003)– Interplay between Iowa Drug Testing Law

and unemployment benefits.– A positive drug test which does not comply

with § 730.5 cannot be used as a basis for a finding of misconduct which would allow for denial of unemployment benefits.