Class Action Wage and Hour

A class action is a type of legal action where a representative individual or group of individuals can bring a claim on behalf of a larger group or class who share a common legal interest.
News & Analysis as of

June 2015 Independent Contractor Compliance and Misclassification News Update

The month of June 2015 created more newspaper stories and blog posts on the subject of independent contractor misclassification than any other. Why? Uber lost an IC misclassification case and FedEx Ground agreed to pay $228...more

Second Circuit Teaches Unpaid Interns a Lesson

In a closely watched case affecting the viability of unpaid internship programs at for-profit employers, the Second Circuit held that the “primary beneficiary” test should be used to decide whether interns should be deemed...more

Unpaid Intern v. Employee Classification Analysis Must Look at Who is Primary Beneficiary of Relationship, Second Circuit Holds

The Second Circuit struck a blow today to individuals pursuing collective/class actions alleging that unpaid interns should be classified as employees. The Court announced an employer-friendly test that asks who benefits...more

“Black Swan” Internship Case Creates New Obstacles For Employers In California

In California, internships have always been viewed as a trade-off between prestigious employers and young students looking to get a foot in the proverbial door. College students and graduates looking for highly-coveted...more

Independent Contractor Misclassification: The Hidden Trap of Outsourcing

It’s a beguiling option. Companies that classify workers as independent contractors receive a number of benefits, including elimination of payroll taxes, workers’ compensation insurance, and unemployment insurance...more

Employment Law - June 2015 #2

Joint Employers Can Be Liable for Employee Misclassification in California: Why it matters - Liability under the California Labor Code extends to joint employers that are aware of a willful misclassification of an...more

Supreme Court to Decide Two Cases Addressing Important Class and Collective Action Issues

The Supreme Court has agreed to hear two cases during its Fall 2015 term that could further transform the wage and hour class action landscape. We briefly discuss those two cases below. Gomez: The Effect of Rule 68...more

The End of “Average Joe,” Class Plaintiff? The Supreme Court Will Review the Use of Composites in Class Actions

You run a business. You sell actual products. You employ hundreds, or even thousands, of warm-blooded employees, all with names, families, and histories. You battle real competitors daily. Your customers, thank goodness, are...more

Appellate Court Delivers for FedEx—Second Class Cert Denial Affirmed by Ninth Circuit

When an employer has a denial of class certification remanded by an appellate court, it has a reason to worry. And while the employer might breathe a sigh of relief when the district court on remand again denies class...more

Worth the Fight: Conditional Certification of FLSA Collective Actions is Not Automatic

Conventional wisdom holds that courts reflexively grant motions for conditional certification in Fair Labor Standards Act (“FLSA”) collective actions. As a result, some employers do not even oppose these motions. They are...more

Supreme Court Will Address Use Of Statistical Sampling and Whether A Class Can Be Certified If It Contains Members Who Are Not...

Last week, the United States Supreme Court granted cert in Bouaphakeo v. Tyson Foods, Inc., a Fair Labor Standards Act (“FLSA”) case with potentially wide reaching implications in federal class actions. In Bouaphakeo,...more

[Event] Employment Class Actions: Strategies for Target Defendants - July 23, Chicago, IL

BakerHostetler’s Employment Class Actions team is pleased to invite you to a seminar that will focus on recent developments in class action and collective action litigation involving workplace issues. Join us on Thursday,...more

New York Federal Courts Increasingly Scrutinize Excessive Attorneys’ Fees in Wage and Hour Class and Collective Actions

In what is becoming oft-cited language, U.S. District Judge William H. Pauley III of the Southern District of New York recently stated regarding the Fair Labor Standards Act that, A law is only effective to the extent...more

For Here or To Go? Senators Introduce Bill to Ban Noncompete Agreements, Increase Mobility For Sandwich Makers and Other Low-Wage...

Congress is getting into the non-compete business.  Citing the use of non-compete agreements by companies such as Jimmy John’s sandwich shops, Senate Democrats recently introduced a bill—called the Mobility and Opportunity...more

California Court of Appeal Refuses to Enforce Forum Selection Clause Because Employer Would Not Stipulate to Apply California Law...

In Verdugo v. Alliantgroup, L.P., the California Court of Appeal held that a forum selection clause in an employment agreement was unenforceable because the employer could not prove that the employee’s rights under the...more

FedEx to Pay $228 Million in Independent Contractor Misclassification Settlement

Things that $228 Million will buy: – LeBron James’s waterfront mansion in Miami, listed for $15 million – A 710-year old copy of the Magna Carta, sold in 2007 for $21.3 million – The Oakland A’s, sold in 2005 for $180...more

Supreme Court to Decide Class Action Issues Involving Settlement Offers to Named Plaintiffs, Statistical Sampling and Class Member...

I’ve been delayed a bit in reporting on this, but the October 2015 term of the U.S. Supreme Court is shaping up to be a blockbuster one for class action law. Perhaps even bigger than the October 2010 term, which brought us...more

Supreme Court to Consider “Trial by Formula” and Standing of Non-Injured Class Members in Tyson Foods

The Supreme Court recently granted Tyson Foods’ petition for certiorari which presents to the Court two important class action issues: (1) Whether differences among individual class members may be ignored and a class...more

Supreme Court Takes Aim at FLSA Class, Collective Actions

Last week, the Supreme Court granted a writ of certiorari to Tyson Foods in an appeal of a class and collective action filed under the FLSA and a similar Iowa state law. Hourly workers at Tyson’s Storm Lake, Iowa pork...more

$228 Million: The Cost of Independent Contractor Misclassification for FedEx Ground in California

Yesterday, June 12, FedEx announced in papers filed with the SEC that its Ground Division “has reached an agreement in principle with [drivers] in the independent contractor litigation that is pending in …California [federal...more

Employment Law - June 2015

Actual Knowledge by Employer Not Necessary for Title VII Religious Discrimination Claim, U.S. Supreme Court Rules - Why it matters: In a closely watched case, the U.S. Supreme Court sided with a teenage applicant to...more

Texas Don’t Hold ‘Em: Forum Selection Clause Is Unenforceable

California courts generally favor forum selection clauses entered into freely by parties and where enforcement is not unreasonable. This general principle is true even if the forum selection clause is “mandatory” and requires...more

MLB Litigation Brief: 4th Circuit Hostile Work Enviro, Class Action Trends Cause Concern, Low-Wage Non-Competes & More

Survey Says Increasing Number of Class Actions Most Important Litigation Trend: Norton Rose Fulbright recently released its global 2015 Litigation Trends Annual Survey, which compiles litigation trends and data gathered...more

Game Changer? The Supreme Court Agrees to Consider Standards for Certifying FLSA Collective Actions and State Law Class Actions

The U.S. Supreme Court agreed yesterday to hear an appeal challenging a nearly $6.0 million judgment in a collective and class action case against Tyson Foods, Inc. In Tyson Foods, Inc. v. Bouaphakeo, a wage and hour...more

Supreme Court Agrees to Hear Case Addressing Scope of Wage and Hour Class and Collective Actions

It’s hard enough to predict what the Supreme Court will do on a given case even after it has been briefed and oral argument has been heard. It’s even harder when all we have is the decision accepting certiorari, but this one...more

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