News & Analysis as of

Over-Time Wage and Hour Employment Litigation

Littler

Policy Week in Review – May 2025

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U.S. DOL Pauses Enforcement of Biden-era Independent Contractor Rule  - On April 29, the U.S. Department of Labor issued a press release announcing new guidance on how to determine employee or independent contractor...more

Littler

Sixth Circuit Finds Employee’s Guaranteed Weekly Salary Was Based on Daily Rate, Defeating Exempt Classification

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Despite an employee’s being highly compensated, the Sixth Circuit reversed a summary judgment order from the district court, finding that even though the pipe inspector was highly compensated, his pay was calculated on a...more

Miles Mediation & Arbitration

Wage Dispute Danger: What Employers Must Keep in Mind

In my 20+ years as a management-side employment lawyer, I used to receive calls about all kinds of workplace situations, but there is one category that still gives me nightmares. “Hi Steve. Long time, no talk. The reason I’m...more

Vedder Price

Sixth Circuit Clarifies Requirements for a Salaried Employee to Be “Paid on a Weekly Basis” Under the FLSA.

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On April 1, 2025, the U.S. Court of Appeals for the Sixth Circuit issued an important decision in Pickens v. Hamilton-Ryker IT Solutions, LLC regarding what it means to be paid on a “weekly basis” for purposes of the...more

Jackson Lewis P.C.

Recent Decision on Nondiscretionary Performance Bonuses in Pay Calculations Has Wide-Ranging Implications for Illinois Employers

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In Illinois, nondiscretionary “performance bonuses,” such as bonuses paid in recognition of employees satisfying certain performance and safety metrics and seniority goals, must be factored into employees’ regular rate of pay...more

Ice Miller

The Highly Compensated Employee Exemption Under the FLSA - Misclassification of Highly Compensated Employees Can be Costly

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Classification of employees under the Fair Labor Standards Act (FLSA) remains a high-risk area where employers can easily misstep, potentially incurring thousands of dollars in overtime pay, liquidated damages, attorneys...more

Fisher Phillips

4 Tips for Employers After Appeals Court Says Highly Compensated Employee is Entitled to OT Pay

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An appeals court just ruled that a pipe inspector who earned more than $270,000 a year was entitled to overtime pay because he was not paid on a “salary basis.” In its April 1 decision, the 6th Circuit joined the 5th Circuit...more

Constangy, Brooks, Smith & Prophete, LLP

Paid $270,400 per year and still owed overtime? Another court says yes.

On April 1, a U.S. appeals court showed that the salary basis requirement is alive and well, regardless of how highly compensated an employee might be. The decision is a reminder to businesses that simply paying a guaranteed...more

Constangy, Brooks, Smith & Prophete, LLP

What lies beneath. Three wage and hour dangers you may never see coming.

On January 19, a federal district court in Arkansas paved the way for a jury to decide whether 2,000 employees were entitled to recover unpaid overtime for all weeks in which they worked more than 40 hours, while having...more

Husch Blackwell LLP

Seventh Circuit Clarifies Standards for Proving Hours Worked in FLSA Overtime Claims

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The Seventh Circuit recently issued a significant decision in Osborn v. JAB Management Services, Inc., 126 F.4th 1250 (2025), affirming summary judgment in favor of the employer in an overtime compensation dispute under the...more

Parker Poe Adams & Bernstein LLP

Fifth Circuit Declines Reconsideration of FLSA Salary Rule Decision

Last year in a rare victory for the Department of Labor, the Fifth Circuit Court of Appeals rejected a claim by a Dairy Queen franchisee that the Fair Labor Standards Act prohibits DOL from establishing any minimum salary for...more

Venable LLP

Supreme Court Clarifies Burden of Proof for FLSA Exemptions

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On January 15, 2025, the U.S. Supreme Court clarified the burden of proof employers must satisfy when questions arise concerning employee classification under the Fair Labor Standards Act ("FLSA"). ...more

Constangy, Brooks, Smith & Prophete, LLP

“He said, she said” no longer cuts it: Seventh Circuit clarifies proof required for overtime claims

A recent decision from the U.S. Court of Appeals for the Seventh Circuit offers a welcome measure of protection for employers in overtime claims brought under the Fair Labor Standards Act. The court’s opinion highlights the...more

Butler Snow LLP

SCOTUS Confirms Lower Standard of Proof for Employers Claiming FLSA Exemptions

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Last month the United States Supreme Court (“SCOTUS”) delivered a pro-employer ruling on the standard of proof required under certain provisions of the Fair Labor Standards Act (FLSA). In E.M.D. Sales, Inc. v. Carrera, the...more

Lerch, Early & Brewer

Supreme Court Clarifies Burden for Employers Seeking to Establish That Employees are Exempt From Minimum Wage Requirements

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In a decision which should provide some comfort to employers, the Supreme Court recently held in E.M.D. Sales, Inc., et. al. vs. Carrera, et. al. that employers do not have a higher burden of proof demonstrating that an...more

McAfee & Taft

Paying for workday travel for non‑exempt employees

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Employers are not required to pay non-exempt employees for the time they spend commuting between their home and work to begin their workday or after ending their workday. However, travel time during the workday is often...more

Seyfarth Shaw LLP

Seyfarth’s SCOTUS Employment Law Roundup: A Win for Employers Defending Exemptions Under the FLSA, and Two Other Cases to Watch

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In an important opinion for employers defending against misclassification claims, the Supreme Court has issued its first major employment law decision of the current term in EMD Sales v. Carrera, with two other marquee...more

Mayer Brown

US Supreme Court Unanimously Rejects Higher Standard of Proof for Overtime Exemptions Under FLSA

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On January 15, 2025, the Supreme Court handed employers a win by confirming that exemptions under the Fair Labor Standards Act (“FLSA”) need only be proven by a “preponderance of the evidence.” In doing so, the Court...more

Parker Poe Adams & Bernstein LLP

Third Circuit Upholds Verdict Against Home Health Agency Based on Employee Travel Time During Working Day

For most non-exempt employees, the Fair Labor Standards Act considers time spent traveling during the working day to be compensable working time. Last week, the Third Circuit Court of Appeals applied this principle to travel...more

Ogletree, Deakins, Nash, Smoak & Stewart,...

Seventh Circuit Clarifies Plaintiffs’ Evidentiary Burden in FLSA Cases

In Osborn v. JAB Management Services, Inc., No. 24-1573 (January 22, 2025), the U.S. Court of Appeals for the Seventh Circuit affirmed a district court’s entry of summary judgment in favor of an employer on a former...more

Roetzel & Andress

Illinois Supreme Court Holds Overtime Rate Must Include Non-Discretionary Bonuses Unless They Are Gifts

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The Illinois Supreme Court held employers violate overtime law by not including non-discretionary bonus payments when calculating employees’ overtime rate. The case is Mercado v. S&C Electric Co., 2025 IL 129526 (Jan. 24,...more

Fisher Phillips

Workplace Law Update: 10 Essential Items on Your February To-Do List

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It’s hard to keep up with all the recent changes to labor and employment law, especially given the rapid pace at which the White House acted in the first days of President Trump’s second term. In order to ensure you stay on...more

Robinson Bradshaw

SCOTUS Rejects Heightened Evidentiary Standard for FLSA Exemption Claims in Fourth Circuit

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On Jan. 15, the U.S. Supreme Court issued a unanimous decision in E.M.D. Sales, Inc. v. Carrera, firmly indicating that employers must establish by a “preponderance of the evidence” that an employee is exempt from the Fair...more

Miles & Stockbridge P.C.

U.S. Supreme Court Rejects Heightened Standard for Proving FLSA Exemptions

Employers are breathing a sigh of relief after the U.S. Supreme Court last week unanimously confirmed the application of a “preponderance of the evidence” standard to an employer’s burden of proof when it seeks to establish...more

Cranfill Sumner LLP

Supreme Court Clarifies Proof Standard for Overtime Exemptions

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On January 15, 2024, the United States Supreme Court issued a unanimous Judgment in E.M.D. Sales, Inc., v. Carrera that employers only need to prove an exemption under the Fair Labor Standards Act (FLSA) by a preponderance of...more

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