News & Analysis as of

LinkedIn Pays Nearly $6 Million After US Labor Department Investigation

After being investigated by the US Labor Department for violations of the Fair Labor Standards Act, LinkedIn has been forced to pay out nearly $6 million in damages and unpaid overtime to 359 employees....more

Good Things Come To Those Who Document Good Wage & Hour Practices

We have written in the past about the myth of unauthorized overtime. A recent California appellate case, Jong v. Kaiser Foundation Health Plan, shows how you can make unauthorized overtime’s impact on your business a myth,...more

Employees in Maryland Can Now Get Treble Damages for Overtime Claims

On August 13, 2014, the Maryland Court of Appeals held in Peters v. Early Healthcare Giver, Inc. that unpaid overtime wages are recoverable under the Maryland Wage Payment and Collection Law (MWPCL or "Wage Payment Act"). ...more

Maryland Court of Appeals: Contrary to Federal Court Rulings, Maryland Employees Are Eligible to Recover Treble Damages from...

More bad news for employers: Maryland’s Court of Appeals (its highest court) has now put to rest any question about an employee’s right to recover treble damages in connection with an unpaid overtime claim....more

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

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

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

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

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

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

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

SuperVision Today - May 2014

Notes from the Chair and Executive Editor - Welcome to the second quarter edition of SuperVision Today, the quarterly e-newsletter published by Spilman's Labor & Employment Group. Readers of this newsletter are invited...more

Thinking about Hiring Interns? New Case Reminds Employers of Rules on Interns

Following similar decisions involving Hearst Corporation and Viacom, a federal judge in the Southern District of New York recently granted conditional certification of a potential nation-wide class of approximately 3,000...more

Rebuking “Trial by Formula,” Federal Court Decertifies Rule 23(b)(3) Class Action

In Stiller v. Costco Wholesale Corp., No. 3:09-cv-2473-GPC-BGS, Plaintiffs Eric Stiller and Joseph Moro alleged that Costco’s loss-prevention closing procedures effectively “forced” employees to work off-the clock without...more

Supreme Court To Decide Whether Employers Must Pay Workers for Security Checks

The U.S. Supreme Court recently agreed to hear a case brought by a group of temporary warehouse employees seeking pay for time spent going through mandatory security checks at the end of their work shifts. The workers are...more

Take 5 Newsletter: Five Hot Topics in Hospitality Law

ACA Final Regulations Provide Rules for Seasonal Employees - On February 10, 2014, the Internal Revenue Service ("IRS") promulgated final regulations for the ACA's employer "shared responsibility provisions" in IRS...more

Is an End-of-Shift Security Clearance Compensable? The Supreme Court Will Decide Next Term

On Monday, March 3, 2014, the Supreme Court of the United States agreed to decide whether a company was required to pay overtime compensation to its workers for the time they spent passing through a security clearance at the...more

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