Wages

News & Analysis as of

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

Are you complying with your reporting and notification obligations for unclaimed wages?

As employers, you have so many reporting requirements I know the last thing you want to hear is that there’s another one you may need to factor in. But, as lawyers it’s our job to sometimes be the bearer of bad...more

Tennessee Employers Beware—Make Sure You Are Paying Your Employees On Time

Tennessee requires employers to comply with several requirements when it comes to paying employees their wages. Most of these requirements are set out in the Tennessee wage payment statute. Employers are required to maintain...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

OCC Issues Booklet On Wage Garnishment

On April 1, the OCC issued a booklet titled “Garnishment of Accounts Containing Federal Benefit Payments.” The booklet, a new addition to the Comptroller’s Handbook, includes interagency guidance and examination procedures...more

President Obama Delivers Double Dose of Wage-Related Rules to Employers

President Obama signed two important documents this week that impact many employers. First, he signed an Executive Order protecting employees who disclose their compensation to co-workers. Second, he sent a Presidential...more

President Obama Wields His Executive Power Once Again to Target Federal Contractors on Pay Issues

On April 8, 2014, President Obama took two significant actions in the employee pay arena. He signed an Executive Order prohibiting federal contractors from retaliating against their applicants and employees for inquiring...more

Federal Contractors Face More Regulations on Pay Practices

President Obama signed an executive order on April 8, 2014 barring federal contractors and subcontractors from retaliating against employees who discuss their pay with each other. The order is entitled the Non-Retaliation for...more

Obama Requests Increased OFCCP Funding in FY 2015 Budget

On March 4, 2014, Secretary of Labor Thomas Perez released OFCCP’s FY 2015 budget request, which includes a request for over $107 million in funding for OFCCP’s operations. This amount represents a $3 million increase over...more

Obama Issues Executive Order and Presidential Memorandum Concerning Equal Pay Initiatives for Federal Contractors

Yesterday, President Obama issued an Executive Order and Presidential Memorandum intended to address equal pay for women. The Executive Order prohibits federal contractors from retaliating against an applicant or employee...more

Obama Administration Expected To Expand Wage And Hour Protections, Disclosures For Federal Contractors' Employees

Recently, we told you about President Obama’s Executive Order increasing the minimum wage for employees of federal contractors to $10.10 per hour. Tomorrow, President Obama is expected to announce that he will sign two new...more

Employee Background Checks: The First Step Before Determining Wages

In past Franczek Radelet Alerts and webinars, my colleagues and I have talked at length about the potential pitfalls for employers of background checks and the changes that the advent of the Consumer Financial Protection...more

Alert: West Virginia House Bill 4283 Raises Minimum Wage and Has Unintended Consequences

West Virginia Governor Earl Ray Tomblin signed House Bill ("HB") 4283 into law yesterday, April 1, 2014. The bill will raise West Virginia's minimum wage incrementally, from $7.25 per hour to $8 per hour on January 1, 2015,...more

(Not) April Fools Day – Changes To The Canada Labour Federal Code Effective April 1, 2014

For those federally regulated employers that are governed by the Canada Labour Federal Code (the “Federal Code”), there are some substantive changes coming of which you should take note....more

Reliance on MA Case Finding That Compensation Contingent on Funding is Not Owed is Risky

Historically, Massachusetts courts routinely ruled that it was a violation of the Massachusetts Wage Act to fail to pay an employee who had been promised payment for her work only after the employer received sufficient...more

De Minimis Defense Closes Shop on Starbucks Barista’s Off-the-Clock Claim in the Central District of California

On March 7, 2014, Judge Feess of the Central District of California granted Defendant Starbucks’ motion for summary judgment on Plaintiff’s proposed class claims for unpaid wages under the California Labor Code. Plaintiff...more

Employer Avoids Massachusetts Wage Claim Through the Use of Well-Drafted Employment Agreement

The importance of drafting employment agreements carefully could not be more evident in the superior court case of Boesel v. Swaptree, Inc., where the court rejected a high-level executive’s ability to bring a claim under the...more

Many Exempt Employees With Salaries $30,000 To $50,000 May Soon Be Entitled To Overtime

On March 13, 2014, President Obama signed a memorandum directing the United States Department of Labor to revise the regulations concerning employees' eligibility for overtime pay under the Fair Labor Standards Act ("FLSA")....more

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

Massachusetts Legislature Considers Unemployment Insurance Reform and Minimum Wage Increase

Increasing the minimum wage and reforming the unemployment insurance (“UI”) system in Massachusetts are the two major employment issues facing the 2013–2014 Legislature, which comes to a close on July 31, 2014. The Senate and...more

2014 Minnesota Legislative Session Opens with Multiple Bills of Concern to Minnesota Employers

Members of the Minnesota legislature recently introduced seven bills that could have very significant implications for Minnesota employers if passed into law. The bills will be heard in House committees this week and may move...more

Don’t Let a “Bonus” Become a “Wage” (Under the MA Wage Act)

As I have previously warned in prior blog, the Massachusetts Wage Act exposes a company and individuals having management responsibility for the company to mandatory treble damages and attorneys’ fees for failing to pay...more

Charter Cities Challenge Legislation Restricting Access to State Funding Based on Compliance with Prevailing Wage Law

Cities Sue State Calling SB 7 an Unconstitutional Restriction on Municipal Affairs - Several California charter cities challenged the constitutionality of Senate Bill 7 (SB 7) last week by filing a writ of mandate and...more

Walmart Potentially Liable For Wage Violations As Joint Employer Of Subcontractors’ Employees

Finding that ample evidence existed that Walmart exercised control over the working conditions of the workers employed by Walmart’s warehouse subcontractors, a California federal district court in Carrillo v. Schneider...more

Employment Law Advisory for February 13, 2014: Avoid Common Mistakes When Creating Commission and Bonus Plans

Commissions or bonuses represent a significant component of the compensation packages of many employees. As of January 1, 2013, California Labor Code section 2751 requires commission agreements to be set forth in writing, and...more

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