News & Analysis as of

San Diego City Council Approves Minimum Wage Increase and Sick Pay Ordinance

The San Diego City Council recently approved an ordinance raising the city’s minimum wage to $11.50 per hour by 2017. This wage increase will take effect incrementally over a three-year period, putting San Diego ahead of...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

California's Inside Sales Exemption May Be Lost Where Commissions Are Paid on a Monthly or Less Frequent Basis

A recent California Supreme Court decision significantly impacts pay practices for commissioned sales employees. On July 14, 2014, the state Supreme Court ruled in Peabody v. Time Warner Cable, Inc. that an employer may not...more

The Second Prong of The Inside Salesperson Test – Is the California Supreme Court Poised to Upend The Commissioned Employee...

In Peabody v. Time Warner Cable, Inc., the California Supreme Court clarified that, to satisfy the commissioned employee exemption, employees must be paid more than 1.5 times the minimum wage in the employee's actual pay...more

Another Increase in the Rhode Island Minimum Wage to $9/Hour

On July 3, 2014, Rhode Island Governor Lincoln Chafee signed into law a measure that will raise the state’s minimum wage to $9.00 per hour, effective January 1, 2015. The legislation, which will increase the state’s minimum...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

How to Avoid Emerging Wage & Hour Risks: Exempt or Non-Exempt, Contractor Liability & Minimum Wage Hikes

This webinar was designed to help employers keep up with recent developments in the rapidly-evolving area of wage and hour law compliance. These developments include ongoing efforts by federal and state leaders to increase...more

Seeking Credit for Deferred Commissions? You Might Get Declined

Last week, the California Supreme Court issued its decision in Peabody v. Time Warner Cable, Inc., deciding that employers may not apply commission payments to earlier pay periods for the purposes of establishing that an...more

New Jersey Bill Seeks to Expand Overtime and Minimum Wage Exemption to Private Summer Camp Employees

Currently, New Jersey overtime and minimum wage laws do not apply to summer camps (and other summer conferences and retreats) operated by non-profit or religious corporations or associations. On June 5, 2014, the Assembly...more

Minimum Wage for Contractor Employees on Fast Track to Your Contracts

At some point in the past few months, you may have heard about Executive Order 13658 (EO), issued on February 12, 2014, wherein President Barack Obama establishes a $10.10 per hour minimum wage for employees of federal...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

Another Federal Court Finds "Fluctuating Workweek" Overtime Compensation Violates Pennsylvania Minimum Wage Act

Recently, Judge Mitchell Goldberg of the United States District Court for the Eastern District of Pennsylvania issued a decision in Verderame v. RadioShack Corp., finding that the "fluctuating workweek" method of overtime...more

California Supreme Court Ruling Limits Commission Wage Allocation

On June 14, 2014, the California Supreme Court held that employers could not satisfy California’s compensation requirements for the commission sales exemption by attributing commission wages paid in one pay period to other...more

Federal Court: Employer’s Method of Calculating Overtime Violated Pa. Statute

A federal district judge in Pennsylvania recently found that RadioShack’s method of computing overtime violates the Pennsylvania Minimum Wage Act (PMWA). In Verderame v. RadioShack Corp., the plaintiff brought a putative...more

City of San Diego Imposes Minimum Wage Hike and Sick Pay Ordinance

Rejecting a call to place a proposed minimum wage hike on the November ballot as a referendum item, on July 14 the San Diego City Council approved an ordinance raising the city’s minimum wage to $11.50 per hour by 2017....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

Are Further Increases In California Minimum Wage Laws On The Horizon?

Existing law requires that California’s minimum wage for all industries be no less than $9 per hour effective July 1, 2014 and $10 per hour effective January 1, 2016. Even before the second-tier increase goes into effect, new...more

Seattle Increases Minimum Wage to $15.00 Per Hour

Joining Hawaii, Maryland and Connecticut, all of which have voted to gradually raise their state minimum wages to $10.10 per hour, and Massachusetts, which has voted to gradually increase its minimum wage to $11.00 per hour,...more

Governor Signs Law to Raise Massachusetts Minimum Wage

What you need to know: Governor Deval Patrick recently signed a law that will raise the Massachusetts minimum wage from its current $8 per hour to $11 per hour over the next three years. The first increase, to $9 per...more

Massachusetts Becomes Latest State to Raise its Minimum Wage

Massachusetts is the latest state to take up the minimum wage mantel, as Governor Deval Patrick signed a law raising minimum wage in the state on June 26th. As we have discussed on this blog, there is a movement afoot...more

Massachusetts Legislature Passes Minimum Wage Increase and Economic Development Package

In a previous article, “Massachusetts Legislature Considers Unemployment Insurance Reform and Minimum Wage Increase,” we outlined the Massachusetts House and Senate’s separate plans to increase the minimum wage and reform the...more

Are You Ready for Next Month’s Change in the State Minimum Wage?

On August 1, 2014, Minnesota’s new minimum wage law takes effect. The new law changes the state’s minimum wage requirements in several ways, including new definitions of large and small employers, progressively increasing...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

Massachusetts Increases the Minimum Wage and Reforms Unemployment Insurance

On Thursday, Governor Deval Patrick signed into law an increase in the state minimum wage to $11 per hour by 2017, the highest state minimum wage in the country. Specifically, Massachusetts’ current $8.00 per hour minimum...more

Massachusetts to Raise State Minimum Wage

On Thursday, June 26, 2014, Massachusetts Governor Deval Patrick signed legislation that will raise the Commonwealth's minimum wage from $8 per hour to $11 per hour by 2017, which would be the highest minimum wage in the...more

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