News & Analysis as of

Eleventh Circuit Affirms Dismissal of RICO Claims

Is there a statute with a better acronym than RICO? The Racketeer Influenced and Corrupt Organizations Act, apart from its great acronym, has been both a great success and a tool for misuse. We don’t often see RICO...more

California Courts Deny Certification In Wage and Hour Cases Based On Claim That Employer “Should Have Known” Of Unpaid Time

Back in October, we reviewed a number of California cases that, for the most part, denied certification in cases in which certification would have largely been a foregone conclusion only a few years ago. The first few days of...more

New York Employers – 2013 Year in Review and Looking Ahead to 2014

“Many people look forward to the new year for a new start on old habits.” While the author to this famous New Year’s quote remains unknown, that certainly doesn’t make it any less true, including for employers. We hope that,...more

Interns: Unpaid and Unprotected?

As we have previously mentioned, issues relating to unpaid interns continue to be a hot topic. In the wage law arena, disenchanted former interns have brought a string of well-publicized class action lawsuits against their...more

Certification of Meal Break Employment Class Affirmed By Ninth Circuit

In Abdullah v. U.S. Security Associates Inc., the Ninth Circuit held that the district court did not abuse its discretion by certifying a meal break subclass, defined as all past and present employees who (a) worked more than...more

Detroit District Court Certifies Antitrust Class of Registered Nurse

What is the right compensation for a particular job? That’s the question virtually every employer must face. Pay too little, and the employer may not be able to fill a position or must settle for less than the best...more

Intern Class Actions on the Rise

The rise in unpaid internships has led to an equally significant uptick in litigation brought by interns demanding compensation for performing the same work as paid employees. And the interns are winning....more

The Continuing Saga Of Unpaid Workers & Misclassification Issues

Worker misclassification continues to be an issue at the forefront of today's workplace....more

Restricting The Activities Of California On-Call Employees May Mean Having To Pay Them For Their Time

Mendiola v. CPS Security Solutions, Inc., No. B240519 (July 3, 2013): In a recent decision, the California Court of Appeal held that employees need to be compensated for “on-call” hours if the employer substantially...more

Further Down the Rabbit-Hole we go: California’s Troubling Treatment of Incentive-Based Compensation Systems

On July 17, 2013, the California Supreme Court denied review of the Second Appellate District’s decision in Gonzalez v. Downtown LA Motors, 2013 Cal. App. LEXIS 257 (Cal. App. 2d Dist. Mar. 6, 2013), which addressed...more

Increasing Scrutiny of Employee Pay Cards

The use of pay cards (i.e. prepaid payroll debit cards) to pay employee wages has come under increased scrutiny in recent weeks. One current controversy over pay cards stems from a class action lawsuit filed against a...more

Wal-Mart Continues Winning Streak In Regional Class Actions

Female workers have sued Wal-Mart in a number of cases around the country, following the Supreme Court ruling in 2011 rejecting a nationwide class action. These new regional cases often make the same allegations of...more

Employment Law -- Jul 03, 2013

Excerpt from Supreme Court Sides With Employers in Title VII Suits - Capping off a term of big decisions with employer-friendly results, the U.S. Supreme Court weighed in on two major employment issues in a pair of...more

A Tale of Two Interns: The Challenges of Unpaid Internships

As the number of unpaid interns at healthcare facilities continues to grow, two recent decisions issued by the U.S. District Court for the Southern District of New York involving claims brought by putative classes of unpaid...more

The High Cost of Hiring Unpaid Interns

Given the difficulty of finding a job in today’s economy, unpaid internships are becoming increasingly popular, particularly for students looking to gain resume-boosting experience....more

The Current Landscape in FLSA Unpaid Intern Litigation - Law Firms Ready to Pounce

Every summer, unpaid interns arrive at various businesses throughout the country to learn a little bit about the real world before going back to school or diving into the job market. But this summer, it is one federal court...more

The Southern District of New York Rules That Internships Must Be Educational (Unlike the Vince Vaughn and Owen Wilson Film of the...

It has been said that the vast majority of movies coming out of Hollywood these days are “brainless.” Despite that (often accurate) description, there are always a handful of films that manage to squeak into theaters and earn...more

IRS Says Class Action Settlement Incentive Awards in Wage Based Claims Are Taxable As Wages

On March 15, 2013, the IRS issued a private letter ruling responding to a request for a determination of whether incentive awards paid to class representatives under a settlement agreement resolving a class action suit...more

Bark and Bite: Best Practices for Your Company’s Off-the-Clock Policy

Most employers maintain a written timekeeping policy stating that non-exempt employees should accurately record their time worked. Yet many employers are still facing class action lawsuits alleging off-the-clock claims. Below...more

Class Actions: Generally Not Nutritional

A group of former employees of a popular vitamin and nutritional supplement store filed a lawsuit against their employer for allegedly failing to pay them for overtime hours. The suit was originally filed in July of 2011...more

California Piece-Rate Employees Entitled To Compensation For Each Hour Worked

Gonzalez v. Downtown LA Motors, No. B235292 (April 2, 2013): A California Court of Appeal recently held that automobile service technicians who were paid on a “piece-rate” basis should have been paid their minimum hourly wage...more

Second Circuit Decision

In Lundy v. Catholic Health System of Long Island Inc., Plaintiffs – a respiratory therapist and two nurses – sued on behalf of a putative class of similarly situated employees and alleged that the Catholic Health System of...more

Panelists Address Future of Labor and Employment Practice

Originally published in the American Bar Association's Labor and Employment Law, Volume 41, Number 1, Fall 2012. Against the backdrop of decades of significant legislation and court battles impacting the workplace,...more

Tip Pooling Policy Held Lawful By California Court—So Long As Recipients Are Not Management Level

Avidor v. Sutter’s Place, Inc., No. H037142 (January 23, 2013): A California Court of Appeal recently upheld a casino’s tip-pooling arrangement with card dealers who work at the casino. In this case, a class of current and...more

Appellate Court Invalidates Auto Dealership's Method Of Paying Service Technicians

In an unpublished decision, the California 2nd District Court of Appeal held that that piece-rate-paid employees are entitled to separate hourly pay for “waiting” time. The case involved a class of 108 automobile service...more

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