Non-Exempt Employees

News & Analysis as of

FLSA "Per Diem" Claims On The Rise

A recent U.S. Labor Department press release highlights a growing area of scrutiny under the federal Fair Labor Standards Act: Paying "per diem" amounts to non-exempt employees....more

When Numbers Lie: The Limits of Statistical Methodology in California Class Action Management

Courts that oversee class actions can use class sampling and other statistical methods to manage litigation involving large numbers of plaintiffs and the vast amount of data associated with them. In California, however, those...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

California Supreme Court: Newspaper Carriers Can Proceed With Class Action Challenging Independent Contractor Status

On June 30, 2014, the California Supreme Court issued a decision addressing how trial courts should determine the appropriateness of class certification in cases where workers claim they were improperly classified as...more

California Minimum Wage Increases July 1st!

Any California employer that has been in hiding the last six months or more may not be aware that California’s minimum wage increases to $9 per hour from the existing minimum wage of $8 per hour on July 1, 2014. In addition...more

Supreme Court Agrees To Hear Trade Group Challenge To Mortgage Loan Officer Compensation Guidance

On June 16, the U.S. Supreme Court consolidated and agreed to hear two related cases regarding the Department of Labor’s (DOL) 2010 interpretation of its regulations under the Fair Labor Standards Act that mortgage loan...more

California Delivery Drivers Gain Employee Status Despite Independent Contractor Agreements

On June 16, the U.S. Court of Appeals for the Ninth Circuit ruled that home-delivery drivers who transported furniture and appliances for a leading transportation and logistics company under independent contractor agreements...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

Restoring Overtime Pay for Working Americans Act: Senate Democrats Join President Obama’s War On FLSA Exemptions

Yesterday, Senate Democrats introduced a bill cited as the “Restoring Overtime Pay for Working Americans Act” (“the Act”), which would amend the Fair Labor Standards Act (“FLSA”) to make it more difficult for employers to...more

Fenwick Employment Brief - June 2014

No Liability for Off-the-Clock Work Absent Employer Knowledge - A California appeals court refused to hold Kaiser Foundation Health Plan liable for alleged off-the-clock overtime about which it lacked knowledge. In...more

Quirky Question #230, Accommodating Nursing Mothers

Question: We are a large Minnesota employer and we have a non-exempt employee who is asking for breaks to express her breast milk multiple times every day, and each break takes a long time. We let her do so in her...more

Employment Law Reporter – June 2014: Reporting Time Pay Revealed

An employer realizes that too many employees have reported for work on what is obviously going to be a slow day for business. Just send home the extra employees, right? Yes, but not without considering the...more

Ignoring the Bonus True-Up: How a Seemingly Small Oversight Can Lead to Complex Litigation

As many employers recognize, a seemingly small oversight in administering employee payroll can have significant consequences, including unexpected complex litigation. One such oversight is failing to consider the wage-hour...more

Statistical Sampling in Class Action Trial Violated Defendant's Due Process Rights

In a unanimous decision, the California Supreme Court on May 29 reversed a class action verdict for a class which was based on a flawed statistical model to determine liability and damages. Duran v. U.S. Bank National...more

Essential Employment Policies for Family Businesses, Part II

In this second round of “must-have” employment policies, we focus on rest breaks and meal periods. It can be devastating for any business, but especially a family-run business, to face claims of non-compliance with wage and...more

Quirky Question # 225, California Law Is Not Going to Pieces

We are located in California and would like to change to a piece-rate system where we pay non-exempt employees a set amount for completed tasks. I understand that this is referred to as paying for a “piece-rate” and it is...more

The Affordable Care Act - Understanding The Employer Mandate: An Overview

The Patient Protection and Affordable Care Act (the “Affordable Care Act”) was enacted by Congress and signed by President Obama on March 23, 2010. The Affordable Care Act is a 2,409 page statute regulating virtually every...more

President Obama Directs USDOL To Revamp FLSA Overtime Exemptions So More Employees Are Eligible For Overtime Pay

On March 13, 2014, President Obama signed a Memorandum directing the U.S. Department of Labor (USDOL) to revamp the regulations regarding who qualifies for overtime under the Fair Labor Standards Act (FLSA). The FLSA...more

USDOL Guidance Released On "Adult Foster Care", "Shared Living Arrangements"

We reported earlier that the U.S. Labor Department has issued a Final Rule re-stating the requirements for and limitations upon the federal Fair Labor Standards Act's Section 13(a)(15) "companionship exemption". The changes...more

Can We Define "Full Time" To Mean Something Less Than 40 Hours Per Week?

Q. Under the Fair Labor Standards Act (FLSA), do we have to define “full time” to mean 40 hours per week, or is that left to employers’ discretion? Can we maintain a 40-hour standard for wage and hour purposes, but have a...more

What’s Happening with Overtime?

Some misconceptions are floating around regarding the current status of federal overtime laws. .Fact: Nothing has actually changed yet. .Fact: President Obama has ordered the Department of Labor (DOL) to evaluate...more

President Obama Orders the Department of Labor to Modernize Overtime Rules

In a White House ceremony on Thursday, March 13, 2014, President Barack Obama signed a memorandum ordering the Secretary of Labor to “propose revisions to modernize and streamline the existing overtime regulations” governing...more

Obama Directs Initiative to Update FLSA Overtime Regulations Likely to Tighten White-Collar Classifications

President Barack Obama on Thursday signed a Presidential Memorandum directing the Secretary of Labor to update the Fair Labor Standards Act (FLSA) regulations governing which "white collar" employees qualify for overtime...more

Labor and Employment: President Obama Directs Department of Labor to Modernize and Streamline FLSA Overtime Regulations

On March 13, 2014, President Obama issued a memorandum directing the Secretary of Labor to update and streamline the Fair Labor Standards Act (FLSA) overtime regulations. In the memorandum, President Obama noted that the...more

President Obama Directs the DOL to Attack FLSA Exemptions

Everybody is talking about it – President Obama’s announcement at the end of last week that existing overtime regulations be “modernized” and “streamlined” – but what exactly does this mean? The answer is, only time will...more

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