The issue of misclassification of workers as exempt when they might not be has been around for a very long time. Another class of such workers has been certified in the health care industry. The federal Judge has granted final certification to two classes of workers claiming they are entitled to overtime. The classes will
Lawyers Want To Withdraw From FLSA Class Action Against Cannabis Company Because Their Clients Are Incommunicado
This is an interesting and rather unique situation. Two lawyers who represent a putative class of workers who filed a class action under the Fair Labor Standards Act now want to withdraw from the case. They assert that they have had no contact with their clients, the named plaintiffs, for many weeks. The workers are
Employer Withholds Last Wages To Compensate It For Training Costs: Is This An Employer Expense?
A thorny issue for employers is training newly hired people, then having those people quit (for whatever reason) and being stuck with the training costs. What can the employer do? I think there are few options, but one option, a risky one, is to not pay the employee or withhold their pay when they leave.
Attacking the Lead/Named Plaintiff As An Inappropriate Class Representative: Another Arrow In The Employer’s Quiver
One tactic to defeat a class action is to assert that the named plaintiff is not an appropriate or proper representative for the class. These initiatives are not often successful, but defense counsel should always be looking for them. A defendant employer is doing just that by asserting that a lead plaintiff does not share
Disturbing Ninth Circuit Holding On Inclusion Of Per Diem Expense Reimbursement In FLSA Regular Rate
As a general rule, employee expense reimbursements are not includible in the regular rate for purposes of overtime computation. When the reimbursements, however, are unreasonable or out of whack (i.e. too high) as regards the particular expense, then the USDOL takes the position that the reimbursements are really a backdoor way of paying the employee
Named Plaintiff in OT Class Action Dooms The Case By Her “Re-Inventing” Her Deposition Testimony: A Cautionary Tale!
In class actions there is always a named plaintiff (or two or three, etc). That person acts as the class representative and is the “flagship” for the entire case. When that individual does something to jeopardize their status as such a “representative,” the entire case might go away. That is precisely what happened in a
FLSA Settlement Principles Illustrated by Recent Case: A Primer on What Is Appropriate
When FLSA lawsuits are settled, the matter must go before a federal judge for approval, as opposed to when a “demand letter” is sent and the parties settle prior to suit. There are many elements that a court must look at to determine if the settlement is appropriate and the recent case of Fritz v
Pandemic Instigates First of (Probably) Many Lawsuits on Wage Payment
Well, here we are, still in the midst of this horrible COVID-19 pandemic, staying home, scared to go out, wearing masks and gloves, but yet, the first lawsuit(s) involving virus issues have already been filed. In this instance, right in my home state of New Jersey, a hair stylist has filed a class and collective
Another Assistant Manager FLSA Class Action Goes Down—When Will They Ever Learn?
I love Assistant Manager class actions because it gives a defense lawyer a “golden” opportunity to defeat class certification by asserting that too much individual scrutiny is required to allow a class action to proceed. A beautiful example of this is a recent Walmart case where a group of Assistant Managers dropped their misclassification lawsuits,
New Jersey Wage Deduction Class Action Revived by Appellate Division: More Independent Contractor Fallout
When employers classify individuals as independent contractors, they are not obligated to provide them with certain benefits, as they would statutory employees. Sometimes, if those individuals are found to not be independent contractors, those “failures” come back oftentimes to haunt the employers. Another example of this phenomenon has happened in that a New Jersey appellate