News & Analysis as of

Wage Deductions

Parker Poe Adams & Bernstein LLP

How to Deduct From an Employee's Wages in North Carolina

Oftentimes when an employee leaves a company in North Carolina, they may be in possession of company-issued equipment, like a phone, tablet, or laptop. Imagine that it’s day three since the employee quit, and human resources...more

Awatif Mohammad Shoqi Advocates & Legal...

How to Claim ILOE Insurance After Termination of Employment in UAE?

In accordance with Federal Decree-Law No. 13/2022, which establishes the Unemployment Insurance Scheme (UIS) in the UAE, individuals can claim Insurance for Loss of Employment (ILOE) to navigate post-termination situations. ...more

Cole Schotz

Key Ruling on Real Estate Broker Classification Announced by New Jersey Supreme Court

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The New Jersey Supreme Court recently held that an agreement between a real estate salesperson (i.e., a realtor) and a real estate broker designating the salesperson as an independent contractor is dispositive in determining...more

Cozen O'Connor

Minnesota AG Requires 3M to Pay $1 Million in Back Wages

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Minnesota AG Keith Ellison settled with 3M Company to resolve allegations that it violated state employment laws by making unauthorized deductions from employee pay. According to the Assurance of Discontinuance, 3M allegedly...more

Awatif Mohammad Shoqi Advocates & Legal...

Can Banks Deduct Money from End-of-Service Benefits to Cover Default Payments on a Personal Loan in the UAE?

In the UAE, Bank Loans Offered to Individual Customers are governed by Regulation No. 29/2011 Regarding Bank Loans & Other Services Offered to Individual Customers. Additionally, the Central Bank of the UAE issued Central...more

Smith Gambrell Russell

New York Wage Theft Claims: New Developments

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New York Governor Kathy Hochul recently signed legislation (S.B. 5572) that, effective March 13, 2024, will change the salary threshold governing various exemptions under Article 6 of the New York Labor Law (“NYLL”). For...more

Constangy, Brooks, Smith & Prophete, LLP

Auto-deductions for meal breaks. Game winner for employers, or loser?

It’s the fourth quarter. Three seconds are left on the clock, and your team is losing by one point. Your place kicker confidently trots onto the field to attempt the game-winning field goal. As he does, the TV announcer says,...more

Husch Blackwell LLP

CFPB Spotlights Harms of Employer-Driven Debt

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On July 20, 2023, the CFPB published a report concerning the risks posed to consumers by employer-driven debt. Employer-driven debt is any form of financing arrangement where an employer extends credit or a lease to an...more

Fox Rothschild LLP

Smart Employees Use Their Vacation Time: Third Circuit Holds PTO Is Not Part Of Exempt Employees’ Salaries Under the FLSA

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In a boon for employers with exempt employees, the Third Circuit held earlier this year as an issue of first impression that paid time off (PTO) is not part of an exempt employee’s salary under the federal Fair Labor...more

Proskauer - Law and the Workplace

Court Rejects Attempt to Enjoin New Jersey Temporary Worker Law From Taking Effect

A District of New Jersey court has rejected an attempt by staffing agency industry groups to enjoin the majority of the provisions of the New Jersey Temporary Workers’ Bill Of Rights Law from taking effect. The denial by the...more

Troutman Pepper

Illinois AG Settles Investigation Into Company’s Payment Practices for $950K

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On July 6, Illinois Attorney General Kwame Raoul announced a $950,000 settlement concerning the Illinois Wage Payments and Collection Act, marking the conclusion of an investigation into GrapeTree Medical Staffing...more

Littler

Third Circuit Finds Deductions from Accrued PTO Do Not Violate Salary Basis Requirement for Exempt Employees

Littler on

The Third Circuit recently highlighted the flexibility afforded to employers when providing fringe benefits to salaried exempt employees. In Higgins v. Bayada Home Health Care Inc., No. 21-3286, 2023 WL 2518345 (3d Cir. Mar....more

Jackson Lewis P.C.

PTO Deductions Are Not “Salary” Under the FLSA, Third Circuit Holds

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In an issue of first impression, the U.S. Court of Appeals for the Third Circuit held that paid time off (“PTO”) is not a form of salary under the Fair Labor Standards Act (“FLSA”) and, therefore, deductions from a salaried...more

Proskauer - Law and the Workplace

New Jersey Enacts Temporary Workers’ Bill Of Rights Law

On February 6, 2023, New Jersey Governor Phil Murphy signed the Temporary Workers’ Bill of Rights (A1474/S511) into law. The law only covers temporary laborers who are assigned to work by a temporary help service firm in a...more

Steptoe & Johnson PLLC

NLRB Says Employers Must Continue to Deduct Union Dues After CBA Expiration

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On October 3, in the case of Valley Hospital, the National Labor Relations Board answered a question that has impacted employers for almost 60 years: whether, under Section 8(a)(5) of the National Labor Relations Act, an...more

Stevens & Lee

Reversal: NLRB Rules Dues Checkoff Provisions Survive CBA Expiration

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Takeaway: The National Labor Relations Board’s (NLRB) recent decision to overturn prior case law applies retroactively to all pending cases. Employers currently refusing to remit union dues because of the expiration of a...more

Littler

NLRB Holds Dues Continue Beyond Contract’s Expiration

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For those that closely follow the National Labor Relations Board, it comes as no surprise that the current Biden Board overruled a decision previously issued by the Trump Board. The target this time: union dues. The NLRB held...more

Fox Rothschild LLP

NLRB Hands Unions Another Win; Requires Employers to Maintain Dues Checkoff Following Contract Expiration

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For a second time in recent weeks, the National Labor Relations Board has chosen to bolster unions’ rights at employers’ expense. On September 30, 2022, in Valley Hospital Medical Center, Inc., 371 NLRB No. 160 (2022), a...more

Holland & Hart - Employers' Lawyers

CDLE Issues New Guidance on Vacation, PTO, and Payroll Deductions

The Colorado Department of Labor and Employment (CDLE) recently provided guidance for Colorado employers on two important issues: payment of vacation and paid time off (PTO) to employees upon separation from employment, and...more

Fisher Phillips

Is Earned Wage Access the Way of The Future? 5 Tips for Employers Seeking to Attract and Retain Talent Through On-Demand Pay

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To combat a tight job market and a seemingly shrinking workforce, employers are looking for creative ways to retain and attract talent. An Earned Wage Access policy – a revolutionary employee benefit program that offers...more

Dentons

HR Quick Take: Payroll Issues

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Q: We had a payroll issue and accidentally overpaid an employee quite a bit. Can we simply withhold from their future paychecks?...more

Littler

Dear Littler: Our Wandering Workers Have Wandered Off With Our Equipment

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Dear Littler: We are a multi-state employer that allowed a large percentage of our employees to work remotely during the pandemic. To help facilitate the transition to home offices, we provided our remote workers with office...more

Proskauer - Law and the Workplace

New York Labor Law Amendments Expand Scope of “Deductions” Claims

New York Governors seem to have a history of favoring employees with Labor Law giveaways as they check out of the Executive Mansion. (Remember the Wage Theft Prevention Act, signed by David Paterson days before he left office...more

Amundsen Davis LLC

IRS Issues Final Section 162(m) Regulations On Companies’ Ability To Deduct Executive Pay

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The Internal Revenue Service (IRS) recently published final regulations implementing changes made by the Tax Cuts and Jobs Act of 2017 (TCJA) to Section 162(m) of the Internal Revenue Code (Section 162(m)) expanding the scope...more

Verrill

Order of Benefit Deductions from Employee Pay

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From time to time we field questions about the order in which deductions for various employee benefits (e.g., 401(k) plan elective deferrals and insurance premiums for welfare benefit plan benefits) should be taken from an...more

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