Fair Labor Standards Act

The Fair Labor Standards Act is a United States federal statute enacted in 1938 to promote fair labor conditions and protect workers from abusive treatment. The primary features of the FLSA address excessive... more +
The Fair Labor Standards Act is a United States federal statute enacted in 1938 to promote fair labor conditions and protect workers from abusive treatment. The primary features of the FLSA address excessive working hours, child labor, unpaid overtime and unsafe working conditions.  less -
News & Analysis as of

Exempt or Not? Service Advisors

The Fair Labor Standards Act (“FLSA”) requires payment of a minimum hourly wage and overtime, unless an employee fits within one of many exemptions. In some parts of the United States, courts had ruled that automobile service...more

Captain Obvious Issues Most Obvious FLSA Decision of 2015 (So Far...)

It happens every year: I read a decision from a federal judge about the federal Fair Labor Standards Act and shake my head that it actually took litigation to resolve such an obvious question. It is only March, but 2015...more

Circuit Courts Address Impact of Arbitration Agreements on Labor Class and Collective Actions

In Conners v. Gusano’s Chicago Style Pizzeria, plaintiffs, former employees of defendant, brought a collective action alleging violations of the Fair Labor Standards Act. Defendant responded by implementing a binding...more

Top franchise matters of 2014

DLA Piper IPT partners Barry Heller, John Verhey and John Hughes recently conducted a webinar reviewing 2014’s top franchise decisions. Three significant 2014 matters are summarized below. 1. In Patterson v. Domino’s...more

Ninth Circuit Holds Service Advisors Non-Exempt Under FLSA Dealership "Salesman" Exemption; Section 7(i) Exemption Is Still...

The Ninth Circuit U.S. Court of Appeals (with jurisdiction over the states of Alaska, Arizona, California, Hawaii, Idaho, Montana, Nevada, Oregon, and Washington) has ruled in Navarro v. Encino Motorcars, LLC that Service...more

FLSA Claims Were Properly Dismissed At Pleadings Stage

Greg Landers, who was employed as a cable services installer, brought suit individually and on behalf of other similarly situated persons, alleging that Quality failed to pay him and the other employees minimum and overtime...more

DOL Secretary Tells Congress New FLSA Regulations Are Delayed, Outlines Department Priorities

Last week, Secretary of Labor Thomas Perez testified during a hearing held by the House Education and Workforce Committee to discuss President Obama’s budget proposal for the Department of Labor. Secretary Perez’s testimony...more

U.S. Supreme Court Weighs in on Labor Department’s Interpretation of Overtime Rules for Mortgage Loan Officers

We know that many of you are aware of the U.S. Supreme Court's decision in Perez v. Mortgage Bankers Association. The Court held that the U.S. Department of Labor was not required to follow notice and comment procedures in...more

Eighth Circuit Finds Former Employees Lack Standing To Challenge Employer’s New Arbitration Policy

What’s one way to derail a potentially large collective action about Fair Labor Standards Act violations? To implement a new arbitration policy within days, thereby ensuring that your current employees cannot join the court...more

Court Rejects Kentucky Wage-Hour Representative Actions

The Kentucky Wages and Hours Act provides the mechanism for pursuing redress for minimum-wage or overtime violations under that law. KRS 337.385 provides, in pertinent part, that "[s]uch action may be maintained in any court...more

Supreme Court’s Perez Decision Shines the Light on Federal Agencies’ Authority to Use “Interpretations” (Often called Shadow...

Over the last three decades, federal agencies have increasingly used “interpretations” to “explain” what a formal regulation means, rather than to go through the more expensive, complicated and slow process of changing the...more

FLSA lawsuits on the rise

Statistics released earlier this month by the Administrative Office of the U.S. Courts show an 8.8% increase in the number of Fair Labor Standards Act (“FLSA”) cases in the year ending in September 2014 as compared to the...more

U.S. Supreme Court Upholds Validity of Department of Labor’s Interpretation on Overtime Pay for Mortgage Loan Officers

For the past several years, an action by the Mortgage Bankers Association has been brewing in the courts challenging the U.S. Department of Labor (“DOL”) for issuing contradictory opinion letters on whether mortgage loan...more

2015 Employment Law Issues Tournament: Second Round Results and Recaps

If you thought the Round of 64 was wild, then wait until you see what happened during the second round. Let’s just say that some shocking upsets left many a bracket busted wide open....more

Supreme Court Ruling Validates DOL’s 2010 Interpretation Regarding FLSA Status of Mortgage-Loan Officers

The Supreme Court recently rejected a challenge to the validity of a 2010 interpretation by the U.S. Department of Labor (the “DOL”), which had concluded that the administrative exemption of the Fair Labor Standards Act...more

Workers Win $185 Million for Retailer's Wage and Hour Violations in Understaffed Stores

The Pennsylvania Supreme Court recently upheld a $185 million judgment against a national retailer for state wage-and-hour violations, highlighting the risks employers face when they try to maximize profits at the expense of...more

The Internship 2: Now Paid? Viacom Pays Record Settlement on Intern Lawsuit

Viacom recently announced a settlement of $7.2 million dollars to end litigation by numerous unpaid interns for the Company’s television networks. In 2013, two former interns sued Viacom claiming that it violated the Fair...more

Supreme Court Holds Notice-and-Comment Rulemaking Not Required to Change An Interpretive Rule

When federal agencies change their interpretive rules, they are exempt from the formal notice-and-comment rulemaking requirements of the Administrative Procedures Act (APA), says the Supreme Court in its recent ruling in...more

Supreme Court Rules That Agency Interpretive Rules Are Not Subject to Notice-and-Comment Rulemaking

Recently, the Supreme Court issued a unanimous judgment that government agency "interpretive rules" are not subject to notice-and-comment rulemaking, but cautioned that those same rules do not carry the "force and effect of...more

Supreme Court Ruling Makes Mortgage Loan Officers Eligible for Overtime Pay

Federal agencies now have the authority to interpret their own rules. On March 9, 2015, in Perez v. Mortgage Bankers Ass’n, No. 13-1041, slip op. (U.S. Mar. 9, 2015), the United States Supreme Court effectively gave...more

Supreme Court Confirms That Agency Interpretative Rules Do Not Require Notice and Comment

In a March 9, 2015, decision in Perez v. Mortgage Bankers Ass'n., the U.S. Supreme Court unanimously held that an interpretative rule issued by an administrative agency does not require notice and opportunity for comment,...more

Too Many People Using Social Media?

Well, maybe there aren’t too many people using social media in general. But, perhaps, that is the lesson to be taken from a recent federal court decision that addressed the intersection of one statute’s purpose and the...more

"No Opinion Letters" Policy Reaffirmed

From the federal Fair Labor Standards Act's inception in 1938, employers sought, and officials of the U.S. Labor Department's Wage and Hour Division provided, official written explanations of how that law works in particular...more

New FLSA Regulations Set to be Released in First Quarter of 2015 Likely to Change America’s Overtime Pay Landscape

In March 2014, President Obama issued an Executive Order directing the Secretary of Labor to “update and modernize” the overtime exemption rules under the Fair Labor Standards Act (FLSA), (the “Act”), 29 U.S.C. 201 et seq., a...more

Third Circuit Says Trucker Entitled to Overtime

Professional motor carriers generally are exempt from overtime payment under the Fair Labor Standards Act (“FLSA”). ...more

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