News & Analysis as of

Mendiola Decision Highlights a Key Issue - The Calculation of "Hours Worked"

The continuing stream of lawsuits challenging employers’ payroll practices is well-documented. A large portion of wage and hour lawsuits seek to recover overtime compensation that should have been paid to employees who were...more

Because you are asking . . . DOL Says New Proposed Rule On White Collar Exemptions Under The FLSA Will Be Issued In February 2015

As many of you know, last year President Obama directed the DOL to issue new regulations to “modernize and streamline” the white collar exemptions to the minimum wage and overtime requirements under the FLSA. (Keep in mind...more

Wondering what the Department of Labor will be doing this year? Here's what the agency says:

?According to the U.S. Department of Labor (DOL), it plans to increase its emphasis on audits and prosecutions of minimum wage and overtime violations, to increase its scrutiny of independent contractor classifications, and...more

Wage and Hour Basics Series: The FLSA Overtime Exemptions

While we regularly discuss many of the nuances of wage and hour law generally and the Fair Labor Standards Act in particular here on the blog— it is also important to focus on the basics. Periodically over the next several...more

Insurance Industry Wins Temporary FLSA Exemption for Insurance Adjusters in CRomnibus

On Tuesday, we discussed Congress’s passage of the Consolidated and Further Continuing Appropriations Act, 2015, nicknamed CRomnibus in the waning days of the 2014 legislative session. The omnibus spending bill avoided...more

Interesting Comments From U.S. Labor Solicitor Smith

Solicitor of Labor M. Patricia Smith spoke at a December continuing-legal-education conference in Atlanta. Her remarks in a couple of areas were especially interesting. Coming "White Collar" Exemption...more

DOL Sets February 2015 Deadline for New FLSA "White Collar" Overtime Exemption Regulations

Late last month, the Department of Labor released its Fall 2014 Agency Rule List that included a range of proposed regulations covering everything from the FMLA definition of “spouse” to labor union annual reports and...more

U.S. Supreme Court May Require Notice-and-Comment On More Agency Actions

On December 1, 2014, the Supreme Court heard oral argument in Perez v. Mortgage Bankers Association and Nickols v. Mortgage Bankers Association to address whether a federal agency must engage in notice-and-comment rulemaking...more

Fifth Circuit: No Overtime Pay for Crewmember Tankermen

On November 13, 2014, the U.S. Fifth Circuit Court of Appeals held in Coffin v. Blessey Marine Services, Incorporated, Case No. 13-20144, that individuals who loaded and unloaded tank barges as part of their duties as crew of...more

Is the Issue of Whether Pilots Are ‘Professionals’ for Purposes of Wage and Hour Laws Still up in the Air? You May Be Surprised at...

In a recent decision, the Alaska Supreme Court held that a pilot was not an exempt professional under the Alaska Wage and Hour Act, which is patterned after the federal Fair Labor Standards Act. Although decided under Alaska...more

Employment Law Update: Tech Support - The FLSA’s Specialized Exemption

The Fair Labor Standards Act (FLSA) provides several exemptions from overtime requirements for employees whose job duties meet specific tests. Most employers are familiar with the standard “white- collar” exemptions –...more

DOL Makes It Official: New FLSA Regulations Delayed Until 2015

Back in late May, we told you that the Department of Labor had released its required Semiannual Regulatory Agenda. The Agenda, which is not binding on the DOL, included several FLSA-related items. Most importantly, the DOL...more

Working Two Jobs to Make Ends Meet: Paying Employees Working Exempt and Non-Exempt Jobs

Back in 2012, my colleague Bill Pokorny discussed how to properly pay a non-exempt employee who worked two jobs for an employer. This past week, one of my other colleagues and I were discussing a twist on this situation: what...more

Attn. General Counsel: Big Changes are Coming to Wage-and-Hour Law

The White House has already taken steps to propel no less than three significant changes in wage-and-hour law, all of which could have wide-ranging effects on employers of all sizes. The likely changes include an increase in...more

Claims Handlers: It’s Time to Adjust Our Claims!

Many insurers have a longstanding practice of paying claims adjusters a set weekly salary, regardless of the number of hours they actually work. The practice has support in federal labor regulations; the regulations...more

Third Circuit: Federal Court Should Decide Whether An Arbitration Clause Authorizes Classwide Arbitration – Not The Arbitrator

The Third Circuit recently was presented with the question of whether, in the context of an otherwise silent contract, the availability of classwide arbitration is to be decided by a court rather than an arbitrator. The...more

Fair Warning: 10 Common Mistakes to Avoid under the Fair Labor Standards Act

Most healthcare employers have probably heard of the Fair Labor Standards Act ("FLSA") and most probably think it is pretty simple. Doesn't that law just deal with prohibiting child labor and paying overtime wages to hourly...more

FLSA Exemptions And "Overtime Rights"

We continue to follow developments relating to President Obama's directive that the U.S. Labor Department "modernize and streamline" its regulations governing the federal Fair Labor Standards Act's Section 13(a)(1) executive,...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

Feds Get Technical! Technical! (Sung to Olivia Newton John’s “Let’s Get Physical” of course)

We already know that California’s exempt/non-exempt classification scheme is a complicated system of checks and balances that takes most employers the help of an attorney to traverse. Well, just so we don’t get overly...more

California Supreme Court Clarifies Commissioned Employee Exemption

Peabody v Time Warner Cable, Inc. (July 14, 2014, No. S204804) 2014 Cal Lexis 4755, came to the California Supreme Court from the Ninth Circuit, through a certification procedure that is used when a question can determine the...more

The Commissioned Salesperson Exemption Just Got More Difficult to Establish

Many California employers rely on California's commissioned salesperson exemption from overtime for their inside sales employees. That exemption, however, is becoming increasingly difficult to establish. A recent decision...more

Captain Obvious Issues Most Obvious FLSA Decision of 2014 (So Far...)

If you have been anywhere near a TV or radio over the past few months, you have probably seen or heard the ads for Hotels.com featuring Captain Obvious. If you’re from the Midwest, and Indiana in particular, it has probably...more

Peabody Decision Tightens Requirements for Commission Payments and Exempt Status

State and federal law create an exemption from overtime compensation for employees engaged in sales who satisfy specific criteria. Although the requirements under each set of laws are not identical, each generally provides...more

California Supreme Court Limits Application of Commissioned Employee Exemption

On July 14, 2014, the California Supreme Court held in Peabody v. Time Warner Cable, Inc. that employees qualify for the California “commissioned employee” exemption in a pay period only if they receive “earnings [that]...more

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