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State Law Round-Up: Developments in Wage and Hour (CO, MA, ME, WA), Non-Compete (WA), Commuter Benefits (NJ), Sexual Harassment (DE), and Sick Leave (Dallas and Minneapolis) Laws. (US)

It’s been an active few weeks since our last State Law Round-Up in mid-April 2019, with a number of bills being signed into new laws and case developments impacting employers in many US states over the past few weeks. Colorado Failure to Pay Wages as Theft Effective January 1, 2020, an employer’s failure to pay … Continue Reading

EEOC Will Begin Collecting 2017 and 2018 Pay Data from Employers in Mid-July 2019 (US)

A federal judge recently ordered that the Equal Employment Opportunity Commission (“EEOC”) collect two years of Component 2 EEO-1 data, including employees’ hours worked and W-2 compensation information, from employers with 100 or more employees (and federal contractors with 50 or more employees) by September 30, 2019 (see our post here).  The agency was given … Continue Reading

U.S. Department of Labor Says “Gig Economy” Workers Are Independent Contractors, Not Employees (US)

On Monday, April 29, 2019, the United States Department of Labor (“DOL”) Wage and Hour Division issued an opinion letter in response to an inquiry from an anonymous “virtual marketplace company” (“VMC”) concerning whether individuals who provide services through the VMC (“service providers”) are employees or are independent contractors for purposes of federal wage and … Continue Reading

Federal Court Confirms September 30, 2019 Deadline for Employers to Submit EEO-1 Pay Data (US)

As we previously reported here, on April 3, 2019, the White House Office of Management and Budget (“OMB”) filed a brief with the U.S. District Court for the District of Columbia proposing a September 30, 2019 deadline for the EEOC to complete collection of the required 2018 EEO-1 pay data forms. The brief was filed … Continue Reading

EEOC Proposes September 30, 2019 Deadline for EEO-1 Pay Data Collection (US)

As we previously reported here, on March 4, 2019, a federal court issued an order lifting the stay implemented by the White House Office of Management and Budget (“OMB”) regarding the pay data collection component of the EEO-1 report, finding that the OMB failed to demonstrate good cause for the stay.  The order left many … Continue Reading

More DOL Letters Needed For Clarity On Enforcement Strategy (US)

Expanding on their previous post on the subject, on April 3, 2019, Law360 published the following article authored by Squire Patton Boggs labor and employment attorneys Laura Lawless Robertson and Melissa Legault. The U.S. Department of Labor recently issued a trio of opinion letters offering employers guidance in implementing the Family and Medical Leave Act and the Fair Labor … Continue Reading

Department of Labor Proposes Update To Rules Governing Calculation Of Overtime Pay (US)

On March 28, 2019, the United States Department of Labor (“DOL”) issued a Notice of Proposed Rulemaking announcing proposed updates to the rules that govern how employers calculate overtime payments under the Fair Labor Standards Act (“FLSA”).  As a reminder, the FLSA requires employers to pay additional compensation to non-exempt employees for work that exceeds … Continue Reading

Federal Judge Reinstates EEO-1 Pay Data Collection Requirement – Impact on Employers Still Unclear (US)

On March 4, 2019, a federal court issued an order lifting the stay implemented by the White House Office of Management and Budget (“OMB”) regarding the pay data collection component of the EEO-1 report, holding that the OMB failed to demonstrate good cause for the stay. As we previously reported here, in 2016, the U.S. … Continue Reading

State Law Round-Up: Minimum Wage Hikes (IL, NJ, CA, NM); Michigan Paid Sick Leave; New York Employee Rights, New Jersey Leave and Benefits Expansion (US)

Minimum Wage Updates On January 17, 2019, New Jersey’s governor and state legislators agreed to a deal that will raise the state’s minimum wage to $15.00 by 2024. The current minimum wage in New Jersey is $8.85 an hour.  Under the new law, the state’s minimum wage will increase to $10.00 an hour on July … Continue Reading

Déjà Vu All Over Again: U.S. Department of Labor Previews New(-ish) FLSA Overtime Exemption Requirements (Again)

For years – spanning two Presidential administrations – employers have been awaiting long-anticipated updates to the overtime exemption regulations to the Fair Labor Standards Act (FLSA).  Since 2004, to be exempt from the FLSA’s overtime compensation requirements under the so-called “white collar” exemptions (e.g., executive, administrative, professional employees), employees must be paid on a salary … Continue Reading

Department of Labor Says Employers Are Not Required to Pay Tipped Employees the Full Minimum Wage for Non-Tipped Activities (US)

Under the Fair Labor Standards Act (“FLSA”), employers are required to pay non-exempt employees a minimum hourly wage of $7.25.  However, employers with “tipped employees” are able to pay such employees a cash wage of $2.13 per hour and take a “tip credit” toward their minimum wage obligation to make up the difference between the … Continue Reading

Eyes and Ears on the FLSA – U.S. Department of Labor Issues New Opinion Letters and Schedules Public Listening Sessions (US)

On August 28, 2018, the Wage and Hour Division of the United States Department of Labor (“WHD”) issued four new opinion letters interpreting various aspects of the federal Fair Labor Standards Act (“FLSA”).  In addition, the WHD has announced plans to analyze and consider changes to the FLSA’s white collar overtime exemption regulations applicable to … Continue Reading

Minutes Count: California Supreme Court Rejects De Minimis Doctrine for Wage Claim

On July 26, 2018, the California Supreme Court ruled in Troester v. Starbucks Corporation that the federal de minimis doctrine does not apply to a California employee’s class action wage claims.  This ruling will have widespread impact, particularly on those employers with large numbers of non-exempt employees such as retailers and food service providers, as … Continue Reading

US DOL’s Voluntary Wage Underpayment Reporting Program – PAID – Now Underway

As we blogged earlier this year, in March 2018, the United States Department of Labor (DOL) announced a new program, referred to as PAID (or, Payroll Audit Independent Determination), under which employers may voluntarily apply for DOL assistance in resolving potential claims for wage underpayment under the federal Fair Labor Standards Act (FLSA).  As previously … Continue Reading

U.S. Department of Labor Announces New Pilot Employer Self-Reporting Program To Address Overtime and Minimum Wage Violations (US)

On March 6, 2018, the U.S. Department of Labor (“DOL”) announced a new, nationwide pilot program which it claims will facilitate quick and efficient resolutions of Fair Labor Standards Act (“FLSA”) minimum wage and overtime violations by allowing employers to promptly pay back wages to employees and at the same time avoid time consuming litigation … Continue Reading

California Federal Court Finds That “Gig Economy” Workers Are Independent Contractors, Not Employees (US)

Uber, Lyft, Airbnb, Postmates, DoorDash.  All are companies participating in what has been labeled the “gig economy,” where tasks are performed by workers on a short-term or freelance basis rather than through long-term or permanent employment.  As more people participate in this new, mostly smartphone application or Internet-based work model, litigation has followed centering on … Continue Reading

U.S. Department of Labor Reinstates Previously Rescinded Wage and Hour Opinion Letters (US)

On January 5, 2018, the Wage and Hour Division of the U.S. Department of Labor (DOL) reissued 17 advisory Opinion Letters that were published during the final months of former President George W. Bush’s administration, but were subsequently rescinded by the Obama administration.  Opinion Letters do not establish new law, but instead are vehicles through … Continue Reading

U.S. Department of Labor Abandons Strict, Six-Factor Intern Test In Favor Of Flexible “Primary Beneficiary” Test (US)

On Friday, January 5, 2018, the United States Department of Labor (“DOL”) issued a statement that it will no longer follow its six-factor test in determining whether an individual is a non-employee intern (rather than an employee) under the Fair Labor Standards Act (“FLSA”), and instead will apply a broader analysis commonly referred to as … Continue Reading

Ninth Circuit Refuses to Defer to DOL’s Interpretative Guidance on FLSA Tip Credit Regulation

The Fair Labor Standards Act (“FLSA”) provides that employers ordinarily must pay their non-exempt employees at least the federal minimum hourly wage of $7.25.  However, employers may pay “tipped employees” as little as $2.13 per hour if they regularly earn more than $30 per month in tips, and then make up the difference between the … Continue Reading

Employer pension contributions count towards the calculation of a week’s pay

I have done my best to make this case report sound interesting and I like to think that even the most casual review of it will show that I have, well, failed. However, it is still important, especially for those involved in collective redundancy or TUPE consultations. Employers may need to revisit the potential cost … Continue Reading

Putting your money where your mouth is – are injured feelings index-linked?

Through a long and not very relevant series of arguments, the Court of Appeal in De Souza – v – Vinci Construction (UK) Limited has just decided that in effect they are. This is not a surprising conclusion, since otherwise inflation would erode the value of such awards as either proper compensation for the employee … Continue Reading

Industrial Commission of Arizona Issues Long-Awaited Proposed Rulemaking Regarding Arizona’s Paid Sick Leave Statute

We previously reported that all Arizona employers will be required to make paid sick leave available to their employees beginning on July 1, 2017. The law requires that businesses with 14 or fewer employees provide at least 24 hours of leave annually, and businesses with 15 or more employees provide at least 40 hours of … Continue Reading

Pay History: An Improper Factor for Employers To Consider In Starting Salaries? Not Necessarily, According To the Ninth Circuit

As we previously reported to you, pay history has recently become a topic of much discussion among federal, state and municipal legislatures. Many jurisdictions around the country are considering laws that would quell employer inquiries into candidate pay history. The underlying purpose of these laws is to level out the historical pay gap between men … Continue Reading
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