Information and guidance on every phase of employment
Q. A client of my company asked whether it could offer production bonuses to our employees who deliver their work product prior to the deadline. Does the FLSA require my company to account for these third-party bonuses when calculating the regular rate of pay for overtime purposes?
A. The answer to your question depends on…
Q. Has the salary threshold increased for exempt status under the Fair Labor Standards Act?
A. On September 24 — more than five years after the Obama administration first proposed updating the overtime regulations of the Fair Labor Standards Act (FLSA) — the U.S. Department of Labor (DOL) released the final version of its long-anticipated…
Q. What is the standard for determining whether a worker is an independent contractor for purposes of federal wage and hour laws and union organizing conduct?
A. Recently, both the U.S. Department of Labor (DOL) and the National Labor Relations Board (NLRB) issued documents supporting independent contractor status, evidencing the more pro-employer stance of the…
Q. I heard that the U.S. Supreme Court just issued a ruling finding that auto service workers are exempt from overtime pay. My company is not in the automobile industry. Will this opinion apply to us?
A. The U.S. Supreme Court issued an opinion this week in Encino Motorcars, LLC v. Navarro, finding that auto service workers – those employees who interact with customers and sell them services for their vehicles – are exempt from overtime pay under the Fair Labor Standards Act (FLSA). While the decision directly impacts this small category of jobs, the opinion will have a much more far-reaching impact, since the Court rejected long-standing precedent that exemptions must be construed narrowly against the employer.
Continue Reading United States Supreme Court Revises Standard for Review of Exempt Classification
Q: I received an email from an employee stating that he is sick, but will be working from home. Should I allow my employee to work remotely while sick? What are the FLSA implications of allowing an employee to work from home while sick?
A: The practice of working remotely or telecommunicating has become increasingly popular given technological advancements like smart phones, videoconferencing, and instant messaging services. While telecommuting provides several benefits for employers and employees, it can also create new challenges such as when employees opt to work from home while sick.
Continue Reading FLSA Implications When Telecommuting Due to Illness
Q: Do I need to pay non-exempt employees when they go on short rest breaks of 20 minutes or less?
A: Yes.
The United States Department of Labor (“DOL”) has long taken the position that when employers offer non-exempt employees short breaks of under 20 minutes, the time spent on that break is “compensable” under the federal Fair Labor Standards Act (“FLSA”).
Continue Reading Paying Employees During Short Rest Breaks
The U.S. Department of Labor (DOL) announced the final version of their long-awaited overtime exemption rule today, which makes notable changes to the requirements for employees to qualify under the Fair Labor Standards Act’s (FLSA) “white collar” exemption. The most noteworthy change is an increase in the required salary level for exempt employees to $47,476 per year, but there are other important changes as well.
The rule first surfaced nearly a year ago in June 2015 and it has been a concern of all employers since then. The stated goal of the rule is to expand federal overtime regulations so that more than 4 million more workers will likely be entitled to overtime.
Continue Reading Changes to the FLSA’s White Collar Exemptions Are Finally Here! Higher Salaries and More Overtime, Here We Come.
In 2011, the U. S. Supreme Court issued a landmark decision regarding certification of employment discrimination class actions. The opinion, Wal-Mart v. Dukes, rejected the “trial by formula” approach of allowing a random sample of the class members’ claims to be tried, with the results of those trials to be applied to the entire class. Among other problems, the Court found that this shortcut approach deprived defendants of the ability to litigate statutory defenses to individualized claims. Dukes, however, did not reach the narrower issue of whether “representative,” “sample” or “anecdotal” evidence” is ever appropriate in a class-action employment case.
Continue Reading Supreme Court Revisits “Trial by Formula” Approach in FLSA Collective Action
Earlier this year, the U.S. Department of Labor (DOL) issued new proposed regulations under the Fair Labor Standards Act (FLSA) to dramatically increase the minimum salary required for most exempt employees to remain exempt going forward. The DOL regulations generated a huge number of comments, but now the DOL is getting ready to issue their final regulations and put the new requirements in place.
Continue Reading Wage & Hour Law Changes: What Does It All REALLY Mean?
Determining what is or is not paid time under the Fair Labor Standards Act (FLSA) is no easy undertaking for employers. Whether the time involves preparatory tasks, or activities performed after the conclusion of a shift, employers face a difficult assignment in drawing the line between what activities should and should not be compensated. Fortunately, the U.S. Supreme Court handed down a unanimous decision yesterday that provides the guidance employers need.
Continue Reading Required But Not Integral: Why The Supreme Court Held Security Screening Time Is Unpaid
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