In its first installment of opinions letters in 2020, the U.S. Department of Labor’s Wage and Hour Division (“WHD”) addressed two issues under the Fair Labor Standards Act (“FLSA”): (i) the salary basis requirements in the...more
Last week, the U.S. Department of Labor’s (DOL) Wage and Hour Division issued two new opinion letters which clarify how employers should calculate the overtime rate when employees are paid lump-sum bonuses and when employers...more
The U.S. Department of Labor (DOL) issued two Fair Labor Standards Act (FLSA) opinion letters on January 7, 2020, addressing questions regarding overtime calculation for nondiscretionary lump sum bonuses and per-project...more
Getting the new year off to a quick start, the United States Department of Labor issued three Opinion Letters on January 7, 2020. These letters concern the salary basis test and overtime calculations under the Fair Labor...more
On May 8, 2019, the Massachusetts Supreme Judicial Court (the “SJC”) issued an important decision concerning the interpretation of the Massachusetts Wage Act, and related regulations. The decision issued by the SJC, titled...more
Illinois employers are collecting receipts and preparing payments to comply with new legislation that requires employers to reimburse employees for business expenses incurred by the employee during the scope of employment....more
When Lump-Sum Payments to Employees are Earnings for Garnishment Purposes - Welcome to Part 3 of our series on the Department of Labor’s three new opinion letters. We previously looked at the opinion letters on FMLA...more
It has been a busy month for the U.S. Department of Labor (USDOL) with respect to, among other things, the federal Fair Labor Standards Act (FLSA). From enforcement programs to compliance resources, the agency has stepped up...more
It is an old joke that the world can be divided into people who are good at math and those who go to law school. Whether you believe the joke or not, math – or in this case, simple arithmetic – can be at the heart of many...more
This month’s two key California employment law cases are both significant decisions involving wage and hour laws. Alvarado v. DART Container Corp. of Cal., 4 Cal. 5th 542 (2018) - Summary: California formula for...more
Overpayment of wages is more common than you may think. For example, inadvertent overpayment may occur in the context of processing new hire, promotion or revised benefit election paperwork. Regardless of the reason,...more
For more than 70 years, the U.S. Department of Labor’s Wage and Hour Division provided employers and attorneys with a valuable resource for determining how to comply with the federal laws and regulations the agency enforces....more
On April 12, 2018, the United States Department of Labor issued three opinion letters that provide guidance on how employees without “normal working hours” should be compensated for travel time involving an overnight stay,...more
Returning to its long-standing practice of issuing opinion letters (which had ceased in 2010), and after reissuing 17 previously withdrawn opinion letters on January 5, 2018, the Department of Labor (DOL) yesterday issued...more
Most employers receive a garnishment from time to time, and some employers receive a lot of them. It is the employer’s legal obligation to administer garnishments exactly, and liability arises for the employer for...more
A recent California Supreme Court opinion highlights how employers following federal law can run afoul of California wage and hour requirements. The issue in Alvarado v. Dart Container Corporation of California involves...more
Calculating the correct overtime pay rate in California has long been a complicated process. The basic overtime rate is defined as one and a half times an employee’s “regular rate” of pay. This purportedly “regular” figure...more
In Alvarado v. Dart Container Corporation of California, the California Supreme Court clarified how a flat sum bonus – a bonus that is independent of the number of hours worked by an employee – must be enhanced to comply with...more
On March 5, 2018, in a unanimous decision, the California Supreme Court in Alvarado v. Dart Container Corporation of California clarified how employers must calculate the regular rate of pay for purposes of compensating an...more
Tax reform legislation is certainly one of the hottest topics in the media. Among others, several of the pressing questions regarding the proposed legislation are: Will it pass? If so, who will receive tax relief (and who...more
In a short published opinion, the U.S. Court of Appeals for the Ninth Circuit sided with the Third, Seventh and Tenth Circuits, and split with the D.C. Circuit, over whether a federal district court may award a “tax...more
As described in a prior alert, the IRS issued Notice 2015-49, which abruptly announces the IRS’s intention to prohibit lump-sum cashout windows for pension plan retirees already in pay status. The IRS intends to prohibit...more