Tag: flsa

Ninth Circuit Refuses to Entertain En Banc Review of its Decision Rejecting Tip-Pooling Arrangements

Earlier this year, we wrote about the Ninth Circuit Court of Appeals decision in Oregon Rest. & Lodging Ass’n v. Perez, which prohibited tip-pools that include “back-of-the house” employees. Last week, the Court rejected a petition to review the decision en banc. This means that, unless the Supreme Court weighs in on the issue, restaurants in the Ninth Circuit … Continue Reading

Ninth Circuit Declares Tip Pools Invalid Under FLSA Even Where Employers Pay More Than Minimum Wage

In Oregon Rest. & Lodging Ass’n v. Perez, the Ninth Circuit ruled this week that federal law restricts a restaurant employer from maintaining a tip pool that includes “back-of-the-house” employees and requires directly tipped employees to share their tips, regardless of whether a tip credit is taken and employees are paid at least minimum wage. … Continue Reading

It’s a Trap!  Students Receiving Credit Need Not Be Paid? 

As colleges and universities begin new terms, not all students are returning to the classroom.  Some students are headed into the “real world,” to work alongside corporate titans, small-business owners, or moms and pops in their shops, while receiving academic credit—and not wages—for their efforts.  These students are applying the lessons learned in their prior … Continue Reading

U.S. Supreme Court Finds Post-Shift Security Checks Noncompensable in Integrity Staffing v. Busk, But Employers Shouldn’t Get Too Excited

The U.S. Supreme Court, in a rare unanimous decision earlier this week in Integrity Staffing Solutions v. Busk, held that time spent by warehouse employees at Amazon.com warehouses waiting to go through security checks at the end of their shifts was “postliminary” activity not compensable under the federal Fair Labor Standards Act (“FLSA”) and its … Continue Reading

9th Cir. Finds FedEx Delivery Drivers Are Employees, Not Contractors

Last week, the 9th Circuit held in two related cases from California and Oregon that FedEx misclassified approximately 2,600 delivery truck drivers as independent contractors, rather than as employees. The cases—Alexander v. FedEx and Slayman v. FedEx—are an important reminder for employers that reality matters more than labels when it comes to classifying workers.  On that … Continue Reading

US Supreme Court Gives Green Light For Employers To Use Offers Of Judgment To Moot FLSA Collective Actions

Today the US Supreme Court issued its long-awaited opinion in Genesis Healthcare v. Symczk. In the case, the Court held that employers could effectively end collective action lawsuits under the Fair Labor Standards Act (FLSA) by agreeing to pay the named plaintiffs in those lawsuits whatever they claim they are owed. The Court held that because the … Continue Reading

OSHA Issues Interim Final Rules on Whistleblower Protection Provisions Under ACA

The Occupational Safety and Health Administration (OSHA) issued an interim final rule and request for comments regarding procedures for handling employee whistleblower complaints under the Affordable Care Act (ACA), Section 1558. This part of the ACA added a new Section 18c to the Fair Labor Standards Act (FLSA), which protects employees from retaliation for exercising certain … Continue Reading

Washington Court Affirms That Anti-Retaliation Laws Protect HR Employees

The Washington Court of Appeals recently determined that state anti-discrimination laws prohibit retaliation against human resources and legal professionals who oppose discrimination as part of their normal job duties. The court also declined to extend the same actor inference, a defense against discrimination claims, to retaliation claims. Lodis worked at Corbis Holdings as a vice president … Continue Reading

Recordkeeping: The Often Overlooked Element of FMLA Compliance

Most employers grapple with the better-known aspects of the Family and Medical Leave Act (FMLA), such as determining whether an employee’s illness constitutes a serious medical condition, obtaining required certification or providing adequate coverage for workers on intermittent leave. All too often employers focus on the leave itself and breathe a sigh of relief when notice … Continue Reading

Supreme Court Declares Pharmaceutical Sales Reps Exempt From Overtime

In Christopher v. SmithKline Beecham, a 5-4 decision announced Monday afternoon, the U.S. Supreme Court ruled that pharmaceutical sales representatives are exempt from the overtime requirements of the federal Fair Labor Standards Act ("FLSA") under the outside sales exemption. The Court ruled that the Department of Labor’s interpretation of the exemption, raised for the first … Continue Reading

Are Remedies Available to Working Moms Who Experience “Lactation Discrimination”?

For many new moms returning to work after the birth of a child, pumping breast-milk is considered to be a necessary evil.  Necessary because pumping ensures that these mothers’ babies can continue to experience the many benefits of breast-milk, and helps the mothers to maintain their milk supplies, relieves painful engorgement, and prevents potentially serious … Continue Reading

DOL Demonstrates Commitment to Wage and Hour Violations with Launch of New “DOL-Timesheet” App

In a highly visual public expression of its commitment to wage-and-hour violations, and to encouraging employees to file wage and hour complaints, the Department of Labor’s Wage and Hour Division entered the world of Smartphone apps when it recently launched its own “DOL-Timesheet” app for the iPad and iPhone. At first glance, the DOL-Timesheet App may … Continue Reading

Supreme Court Rules Oral Complaints Of Wage Violations Are Protected Under FLSA

Today the U.S. Supreme Court issued another employee-friendly opinion in Kasten v. St. Gobain Performance Plastics Corp., holding by a 6-2 margin that the Fair Labor Standards Act ("FLSA") anti-retaliation provisions protect an employee’s oral complaints to supervisors about wage and hour violations. This is the latest of three opinions this term that have expanded the … Continue Reading

Ninth Circuit Issues Split Decisions on Compensation for Travel Time and “Off-the-Clock” Work

  Employees who drive company vehicles between home and work will find little to cheer about in a recent Ninth Circuit decision . . . unless they live in California.  In Rutti v. Lojack Corporation, a three-judge panel refused to relax the rule that commuting time is non-compensable under the Fair Labor Standards Act (FLSA).   The employee, who installed vehicle recovery systems, contended … Continue Reading

2009 Mid-Term Federal Legislative Update

We expected many changes in federal labor and employment law in 2009 – for the first time in years, Democrats control the White House and both houses of Congress and have the political ability to make significant reforms.  However, not much has happened in 2009: we have only significant labor and employment bill signed into … Continue Reading

Managers Individually Liable for Unpaid Wages Despite Employer’s Bankruptcy

A recent case should strike fear into the hearts of all upper-level managers and human resources professionals:  in Boucher v. Shaw, the Ninth Circuit ruled that individual managers were liable for their subordinates’ unpaid wages, even though the employer company filed for bankruptcy.  In Boucher, a group of former casino employees sued the CEO, CFO and … Continue Reading

Federal Minimum Wage Rises to $7.25/Hour Today

If you pay your employees minimum wage, prepare to give them a raise effective today:  the federal minimum wage increases to $7.25 per hour, effective July 24.  Of course, you may live in a state that has a higher minimum wage; in that case, employers are obligated to pay the higher of the two wages.  … Continue Reading

Seventh Circuit Rules FLSA Doesn’t Protect Verbal Complaints

Most employment lawyers and HR professionals know that firing an employee for making a complaint about being paid properly is a recipe for disaster.  This week in Kasten v. Saint-Gobain Performance Plastics Corp., the Seventh Circuit Court of Appeals thought differently, at least for verbal complaints about violations of the Fair Labor Standards Act. The plaintiff, Kevin Kasten, was … Continue Reading

DOL Secures $3.4 Million Settlement for NY Car Wash Employees

A portend of things to come in federal wage enforcment?  Yesterday, a group of New York car washes have agreed to pay over one thousand current and former employees a total of $3.4 million to settle a lawsuit filed by the Department of Labor (DOL) alleging violations of the Fair Labor Standards Act (FLSA).  Click here to read the consent decree in … Continue Reading

Federal Minimum Wage Increases to $7.25 Effective July 24

Employers take note:  the federal minimum wage increases to $7.25 per hour effective July 24, 2009.   For more information, check out the Department of Labor’s Fair Labor Standards Act site.  Of course, many states also have minimum wage laws, an where an employee is subject to both state and federal minimum wage laws, the employee is entitled … Continue Reading

Minnesota Wal-Mart Employees Get $54 Million Christmas Present

Wal-Mart Stores Inc. announced yesterday that it will pay $54.25 million to settle a class-action lawsuit over allegations that Wal-Mart made its employees work during break time and off the clock after regular working hours.  The class consists of approximately 100,000 current and former hourly employees who worked at Minnesota Wal-Marts and Sam’s Clubs between September 11, 1998 … Continue Reading

Washington’s Minimum Wage To Rise to $8.55 January 1, 2009

Washington employers get ready to give your minimum-wage employees a raise:  effective January 1, 2009, Washington’s minimum wage will increase to $8.55 per hour, allowing Washington to maintain the highest minimum wage in the country.  For more information, click here to read the Department of Labor and Industries’ Press Release.  Washington’s current minimum wage is … Continue Reading
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