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Reprieve Extended? DOL to Halt Efforts to Restore 2024 Minimum Salary Rule for Exempt Employees

Employers were granted a reprieve last fall when a federal court invalidated the U.S. Department of Labor’s (DOL’s) final rule increasing the minimum salary requirements for the “white collar” or “EAP” exemptions (executive,...more

Trump Revokes Biden Federal Contractor Minimum Wage Mandate: What to Expect Next

President Donald Trump has rescinded President Joe Biden’s executive order (EO) increasing the minimum wage for employees of federal contractors. The rescission was one of numerous Biden EOs revoked by Trump in a second wave...more

Uncertainty for Federal Contractors: Circuits Split as Fifth Circuit Upholds Minimum Wage Mandate

The U.S. Court of Appeals for the Fifth Circuit has reversed a Texas federal court’s decision that invalidated President Joe Biden’s executive order increasing the hourly minimum wage for employees of federal contractors. The...more

U.S. Supreme Court Makes Clear There Is No Heightened Standard for Employers to Establish an FLSA Exemption Applies

Employers do not have to meet a heightened standard of proof to establish that an employee is exempt from the minimum wage and overtime requirements of the Fair Labor Standards Act (FLSA), the U.S. Supreme Court held...more

Supreme Court Won’t Consider Federal Contractor Minimum Wage Mandate

The Supreme Court on Monday, Jan. 13, 2025, declined to take up a decision addressing the president’s authority under the Procurement Act to issue a minimum wage mandate for employees working on federal government contracts....more

DOL Returns to Pre-2021 Dual Jobs Regulation for Tipped Employees

The U.S. Department of Labor (DOL) published a final rule on Dec. 17, 2024, restoring the pre-2021 language of the “dual jobs” regulation for tipped employees under the Fair Labor Standards Act (FLSA). This is a technical...more

Proposed Rule Would End Subminimum Wage for Employees with Disabilities

The U.S. Department of Labor (DOL) has issued a proposed rule to end the practice of paying subminimum wages to certain workers with disabilities. The proposed rule, announced December 3, 2024, marks the first rulemaking...more

Federal Contractors Should Prepare for 2025 Minimum Wage Hike as Legal Challenges Unfold

Federal contractors may need to be prepared to increase pay for employees working on, or in connection with, covered federal government contracts. The hourly minimum wage for employees performing work on federal contracts...more

Sixth Circuit Rejects Two Methods for Computing Workers’ Vehicle Expenses for Minimum Wage Purposes

The U.S. Court of Appeals for the Sixth Circuit vacated two district court decisions involving how pizza delivery drivers should be reimbursed for vehicle-related expenses under the Fair Labor Standards Act (FLSA). Parker v....more

Texas Federal Court Bars Enforcement of $15 Minimum Wage for Federal Contractors Against Three States

President Joe Biden exceeded his authority under the Procurement Act when he issued an executive order (EO 14026) raising the minimum wage rate for employees of federal contractors to $15 per hour, a federal court in Texas...more

Has Lynn’s Food Grown Stale? Courts Increasingly Question Obligation to Review FLSA Settlements

For 40 years, the majority of federal courts have followed the holding of Lynn’s Food Stores, Inc. v. U.S., 679 F.2d 1350 (11th Cir. 1982), that FLSA claims may be settled only through approval by the U.S. Department of Labor...more

Forensic Photographer Trainee Takes Shot at Employee Status, But It Doesn’t Develop, 11th Circuit Rules

A forensic photographer who enrolled in a county training program was an intern and not an employee, a three-judge panel of the Eleventh Circuit Court of Appeals has held in a divided opinion. As a result, her minimum wage...more

Restaurant’s Mandatory Service Charge Was Not a Tip and May Satisfy FLSA Wage Requirements, Eleventh Circuit Holds

A Miami restaurant’s mandatory 18% service charge did not constitute a “tip” under the Fair Labor Standards Act (FLSA) and therefore was properly applied toward satisfying the FLSA’s employee wage requirements, the U.S. Court...more

Lawsuits Filed Challenging the DOL Dual Jobs Final Rule, $15 Federal Contractor Minimum Wage

Several recent lawsuits have been filed in federal court, one challenging the Dual Jobs Final Rule published by the Department of Labor (DOL) that became effective in late December 2021, and two others filed this week by...more

2021 Wage & Hour Developments: A Year in Review

In 2021, wage and hour laws continued to change and develop, expanding in some areas and contracting in others. In “2021 Wage & Hour Developments: A Year in Review,” we look back on significant wage and hour developments at...more

DOL Formally Reinstates ‘20%’ Rule, Adds ‘30-Minute’ Rule Setting Limits on Tip Credit Use

On October 28, 2021, the U.S. Department of Labor (DOL) issued a Final Rule establishing limits on the amount of time tipped employees can spend performing work that is not “tip- producing work” and still being paid at the...more

Labor Department Brings Back The ‘80/20’ Rule — Along With New Companion, The ‘30-Minute’ Rule

The Department of Labor (DOL) has issued a new Notice of Proposed Rulemaking (NPRM), again seeking to regulate the circumstances under which an employer may pay a tipped employee a direct wage below the minimum wage. The NPRM...more

U.S. Department Of Labor Withdraws FLSA Independent Contractor Final Rule

Unsurprisingly, on May 5, 2021, the U.S. Department of Labor (DOL) withdrew its Independent Contractor Final Rule, published in the last days of the previous administration. The Final Rule, which never took effect, would...more

The Proposed Federal Covid-19 Relief Bill Includes A $15 Minimum Wage Hike And Elimination Of The Tip Credit. Will Those...

Making good on President Biden’s campaign promise, the House of Representatives has included in its $1.9 trillion Covid-19 relief bill, known as the “American Rescue Plan Act of 2021,” revisions to the Fair Labor Standards...more

2020 Wage & Hour Developments: A Year In Review

In 2020, federal and state laws regulating wages and hours of work continued to change and develop, expanding in some areas, and contracting in others. In “2020 Wage & Hour Developments: A Year in Review,” we look back on...more

Mandatory Gratuities Are Not “Tips” But May Qualify As Commissions Under The FLSA, Fourth Circuit Holds

Agreeing with the district court, the Court of Appeals for the Fourth Circuit has concluded that the mandatory service charges imposed by a restaurant on dining parties of six or more were not “tips” under the FLSA. However,...more

DOL Confirms To OMB It Will Reverse Course On Yet Another Controversial Regulation, New Rule Will Reduce Restrictions On Tip...

In recent years, one significant issue that has plagued industries employing tipped employees is whether the employers must ensure that tipped employees retain all of their tips even if the company is not using the employee’s...more

Federal Court In Florida Is Latest To Reject DOL Regulation, Finds FLSA Does Not Require That Employees Receiving Full Minimum...

While Department of Labor regulations interpreting the FLSA remain the primary source of employer guidance regarding the Act’s requirements, they are not necessarily the final word on what federal wage law requires. This is...more

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