Unpaid Overtime

News & Analysis as of

Court of Appeals Rejects Mandatory Treble Damages Under Wage Payment and Collection Law

Last week, in the case of Peters v. Early Healthcare Giver, Inc., the Court of Appeals had another opportunity to reflect on the Maryland Wage Payment and Collection Law (“WPCL”) and specifically discuss the application of...more

Pennsylvania Issues Regulations Under Excessive Overtime in Health Care Act

On July 19, 2014, the Pennsylvania Department of Labor and Industry published new regulations to implement certain provisions of the Prohibition of Excessive Overtime in Health Care Act, 43 P.S. §§ 932.1 to 932.6 (the "Act")....more

Late Payment Resulted In An FLSA Violation

A recent decision by the U.S. Court of Claims underscores important propositions under the federal Fair Labor Standards Act to the effect that: - Failing to pay non-exempt employees the FLSA-required minimum-wage or...more

California Supreme Court Limits the Use of California's Commissioned Salesperson Exemption

The California Supreme Court recently released an important decision regarding California's "commissioned salesperson" exemption. To qualify for this exemption to California's overtime laws, an employee must: (1) earn at...more

Sixth Circuit Refuses to Uphold Collective Action Waiver Absent Arbitration

My working title for this blog was “collective action grab bag,” concerning the recent Sixth Circuit case in Killion v. KeHE Distributors, LLC, Case Nos. 12-3357/4340 (6th Cir. July 31, 2014). I went with the title that...more

Update on Orozco v. Plackis: was franchisor’s principal the employer of franchisor’s employee? Fifth Circuit reverses – 3...

We reported in September 2013 about Orozco v. Plackis, a case out of the United States District Court for the Western District of Texas in which the plaintiff (a cook in a franchised restaurant) filed an action under the Fair...more

FLSA Collective Action Waivers In Separation Agreements May Not Be Valid In 6th Circuit

Employees discharged as part of a company restructuring can participate in a collective action lawsuit for unpaid overtime wages under the Fair Labor Standards Act (FLSA) despite waiving their collective action rights in...more

Second Circuit Finds that Entry-Level Audit Associates at Accounting Firm are Exempt from Federal Overtime Requirements

In Pippins v. KPMG LLP, No. 13-889 (2d Cir. July 22, 2014), the Second Circuit Court of Appeals unanimously held that entry-level audit associates (“Plaintiffs”) at KPMG LLP qualify for the Fair Labor Standards Act’s (“FLSA”)...more

Employers May Require Exempt Employees to Use Accrued Leave for Absences Shorter Than Half a Day

On July 21, 2014, a California Court of Appeal held that overtime exempt status is not undermined by requiring employees to use accrued leave for absences of less than half a day. ...more

Arizona District Court Rejects Joint Employer Arguments in Independent Contractor Case Alleging Misclassification of Truck Drivers

A month ago we discussed the Ninth Circuit’s decision in Ruiz v. Affinity Logistics Corp., Case No. 12-56589 (9th Cir. June 16, 2014), in which the employer treated its delivery drivers as employees in everything but name,...more

Department of Labor to Revise Federal Regulations Interpreting the Right to Receive Overtime Pay under the Fair Labor Standards...

In a March 2014 Memorandum, President Obama directed the Department of Labor to “modernize and streamline” the regulations that dictate when an employer may lawfully designate an employee as exempt from overtime pay under the...more

California Supreme Court Clarifies Requirements of Commissioned Employee Exemption

In recent years there has been substantial litigation regarding whether and how employers may satisfy California minimum wage requirements for compensation plans involving commissions. In Peabody v. Time Warner Cable, Inc.,...more

Financial Advisors Advance Their Cause for Overtime Pay

According to Judge Frank Maas of the U.S. District Court for the Southern District of New York, the first step was taken in the settlement process between Merrill Lynch & Co. and over 500 field financial advisors. Recently...more

Remember to Calculate Overtime Pay Based on Your Employees' "Regular Rate of Pay"

When a non-exempt employee is entitled to overtime compensation, the hourly rate of pay from which the overtime compensation is calculated is known as the employee's "regular rate of pay." If an employee subject to...more

Dispelling Employment Myths Series – Issue 5: Not Entitled to Overtime

Ever play the game telephone? It’s a game in which one person whispers something into the ear of the next person, and that person is supposed to whisper the same thing into the ear of the next person, and so on. When the...more

New Department of Labor Rule to Limit Live-In Employees Eligible for Exempt Status

The Fair Labor Standards Act (FLSA) has long provided an exemption for overtime wages to employees engaged in "companionship services," such as in-home caretakers who sleep at their patients' homes. Recently, however, the...more

More Good News for California Employers Who Utilize Employee Arbitration Agreements

On the same day the California Supreme Court upheld an arbitration agreement containing a class action waiver in Iskanian v. CLS Transportation of Los Angeles, LLC, the Ninth Circuit Court of Appeals upheld employment...more

Are Your Sales Employees Properly Classified as Exempt?

Many employers treat their sales employees as exempt from the Fair Labor Standards Act's overtime and minimum wage requirements. Regardless of whether they pay them a salary, commissions, or some combination of both,...more

California Supreme Court Issues Favorable Decision for Employers in Duran v. U.S. Bank

The California Supreme Court has issued its long-awaited decision in Duran v. U.S. Bank. In a significant victory for employers, the Court unanimously agreed to overturn a $15 million judgment in a wage and hour class action...more

An Update on "Overtime" Class Actions

Since 2012, “overtime” class actions have been successfully certified in Ontario but were limited to certain areas. Recent additional certification success suggests we are likely to see more such claims. At a basic...more

FLSA Overtime, Minimum Wage Lawsuits Continue to Skyrocket

My colleagues and I talk regularly about the ever-increasing number of wage and hour cases alleging violations of minimum wage and overtime provisions of the Fair Labor Standards Act (FLSA). ...more

Court Approves FLSA Settlement that Extinguishes Related State Law Claims

When an employer settles a collective action lawsuit under the Fair Labor Standards Act (FLSA), may the settlement agreement also include a release of any rights to overtime pay which the plaintiffs may have under state law?...more

Some Surprises in DOL’s Just Issued Spring 2014 Regulatory Agenda

On Friday, May 23, 2014, the White House, through its executive branch and other federal agencies, issued the Spring 2014 edition of the Semiannual Regulatory Agenda. Published twice a year, the agencies’ regulatory agendas...more

Once An Employee – Never A Volunteer

It should be obvious that employees cannot be required to perform services for their employers as “volunteers.” This is properly seen by the Department of Labor as a ruse to avoid paying wages or overtime. By contrast,...more

Department of Labor Sets FLSA Regulation Deadline for November 2014, Final Regulations Unlikely to Arrive Before Spring 2015

Recently, we told you that President Obama had issued a Presidential Memorandum to the U.S. Department of Labor (DOL) instructing its Secretary to update regulations regarding overtime protection for workers under the Fair...more

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