We have been waiting for the United States Department of Labor to announce its plan for toning down the overtime rule revisions implemented in the last administration, but stayed by federal courts, and to announce its own proposal. Now, that momentous event has happened—the agency announced yesterday it will set the salary threshold at $35,308
Yet Another Store Manager FLSA Lawsuit: The Hits Just Keep On Coming
When will employers learn? They keep classifying retail Store Managers and Assistant Managers as exempt, when these workers are often misclassified, not intentionally, but because the nature of their duties often tends to undermine the primary duty test and render them non-exempt. Another example is a recent case where Store Managers have been granted conditional
Another Retail Industry FLSA Collective Action On Misclassification Settles: What Employers Should Do To Be Proactive
The retail industry is notoriously prone to FLSA collective action misclassification lawsuits because there are many levels of management, especially so-called lower management, where the employees may/may not discharge actual/true supervisory powers. Another illustration of this principle has resulted in a large dollar settlement that will pay employees known as “sales team managers” a fairly
Converting Exempts To Non-Exempts Leave A Window Of Opportunity
When an employer realizes that a certain classification or number of employees has been misclassified as exempt, the employer may do the right thing and, henceforth, treat those people as non-exempt and pay overtime accordingly. That corrective measure, however, leaves a gap because the workers can sue for overtime for the period preceding the change.
Interagency Coordination Between NJDOL And USDOL: Like Petula Clark Sang, Is This A “Sign Of The Times?”
The issue of who is and who is not an independent contractor has exploded on the legal scene in recent years. Many agencies are honing in on this topic and I have, over the last five years, probably defended more than fifty audits, inspections and lawsuits involving this issue. Well, the landscape just got murkier,
Sales Representatives Get Certification On Failure To Include Commissions In Overtime Class Action: A Cautionary Tale
It is vital for employers to remember that when non-exempt employees earn commissions, those commissions must be included in the computation of their regular rate when they work overtime. The inclusion of the commissions bumps up the regular rate a little but if this is not done, then these small amounts of money can quickly
Happy Birthday FLSA: Eighty And (Maybe Not) Still Going Strong!
The Fair Labor Standards Act is eighty years old this month and commentators strongly suggest that the law needs updating in many areas.
My colleague Tammy McCutchen stated that a complaint-driven mechanism defense should be engrafted into the FLSA. She stated that “I think employers should get the opportunity to avoid [some liability] by having
Homework Can be Compensable Work Hours—Can You Believe It?
I have often blogged (and am concerned about) working time issues, especially when they comprise the basis for a class action. These are “soft,” subtle activities that may rise to the level of compensable time, catching n employer unawares. A recent example of this is a class action filed seeking compensation for “homework” done after
Computer Exemption Case Settles: Discretion Is The Better Part of Valor
Exemption class actions, i.e. lawsuits alleging misclassification, continue to pop up in different contexts and concerning different classifications. A bank has just agreed to settle a case by paying more than $2 million to put a close to a Fair Labor Standards Act (FLSA) collective action based on a theory that the bank misclassified certain
Admissions Director Exemption Issue May Impact Whether She Is Entitled To Pay For On-Call Hours
I have blogged about and have long been concerned about working time issues and what constitutes compensable work hours. One of the thorniest of these issues is on-call time and when, if at all, on-call hours become working time. A recent case throws light on this issue, as a Court has held that an