For nearly a year, we have been tracking (see here and here) the US Department of Labor’s (DOL) Final Rule modifying the salary requirements applicable to US employees who are exempt from the Fair Labor Standards Act’s (FLSA) overtime requirement under the executive, administrative, and professional (EAP) “white collar exemptions.” The Final Rule is scheduled … Continue Reading
Last year, we alerted you to a rule proposed by the U.S. Department of Labor (DOL) that would raise the weekly salary amounts necessary to qualify for certain exemptions to the requirement under the federal Fair Labor Standards Act (FLSA) that employers pay employees time-and-a-half for hours worked in excess of 40 hours in a … Continue Reading
In a first of its kind opinion, the U.S. Court of Appeals for the Third Circuit (which hears appeals from the federal district courts in Delaware, New Jersey, and Pennsylvania) ruled that an employer does not violate the Fair Labor Standards Act (FLSA) when it deducts time from FLSA-exempt employees’ paid time off (PTO) banks … Continue Reading
On February 22, 2023, the U.S. Supreme Court issued a decision clarifying employers’ obligation to pay overtime under the federal Fair Labor Standards Act (FLSA). The decision, Helix Energy Solutions Grp., Inc. v. Hewitt, No. 21-984, — S.Ct. — (Feb. 22, 2023), affirmed the Fifth Circuit Court of Appeals’ interpretation of the FLSA’s overtime pay … Continue Reading
An estimated 16% of American workers derive at least some of their annual income from “gig” work – “side hustles” whereby they (purportedly) choose from available, on-demand work opportunities, usually through internet-based platforms or apps, working when, where, and for as long as they want. However, the practical reality for many gig workers is that … Continue Reading
In our post earlier this week, we covered recent developments in state and local labor and employment laws in the states at the beginning at the alphabet. We now turn our attention to developments in the remaining states.… Continue Reading
Welcome to Part 2 of the 2021 Year-End Edition of the State Law Round-Up, covering states in the second half of the alphabet. Part 1, covering the first part of the alphabet, can be found here. Maine: Maine’s “ban-the-box” law, HP 845, went into effect October 18, 2021. The law prohibits private employers from requesting … Continue Reading
On October 28, 2021, the U.S. Department of Labor (DOL) issued its Final Rule on tipped wages. As Presidential administrations have changed through the years, so too has the DOL’s view regarding the circumstances under which employers can pay tipped workers less than the federal minimum wage. [See this 2019 post for the immediately prior … Continue Reading
Issuing the California Supreme Court’s decision in a much anticipated case, Justice Liu on behalf of a unanimous court explained in Ferra v. Loews Hollywood Hotel, LLC that “[t]he calculation of premium pay for a noncompliant meal, rest, or recovery period, like the calculation of overtime pay, must account for not only hourly wages but … Continue Reading
On February 19, 2021, the US Department of Labor’s (“DOL”) Wage and Hour Division (“WHD”) withdrew two Trump-era opinion letters. The first, FLSA2019-6, discussed whether a service provider for a virtual marketplace company (“VMC”) is an independent contractor or an employee subject to the Fair Labor Standards Act (“FLSA”). The second, FLSA2019-10, involved the compensability … Continue Reading
A recent decision from a federal appeals court highlights the perils for employers associated with lax recordkeeping of employee work hours and wage information. It is well-established that every employer covered by the Fair Labor Standards Act (“FLSA”) is required to keep certain records for each covered non-exempt worker (i.e., those that are paid on an hourly … Continue Reading
In early 2018, we reported [see here and here] that the U.S. Department of Labor (DOL) had launched a pilot program to encourage employers to voluntarily report violations of the Fair Labor Standards Act (FLSA) minimum wage and overtime requirements. Employers who opted into the self-reporting pilot program, called the Payroll Audit Independent Determination (PAID) … Continue Reading
On January 6, 2021, the Department of Labor (“DOL”) announced a final rule clarifying the standard under the Fair Labor Standards Act (“FLSA”) for determining whether a worker is an independent contractor versus an employee. This distinction in critical under the FLSA, as employers must comply with its minimum wage and overtime requirements for employees, … Continue Reading
In the U.S., employees must be paid overtime compensation at a rate of one-and-one-half times their regular rate of pay for all hours worked in excess of forty (40) per workweek unless specifically exempted by law. For many employees, this means payment of a straight time hourly rate, and then payment of one-and-one-half times that … Continue Reading
Due to the COVID-19 pandemic, many employers have implemented teleworking and other remote work arrangements for their employees. Because these employees are not physically present in the workplace, there has been some uncertainty surrounding what obligations employers have to under the Fair Labor Standards Act (“FLSA”) to monitor and track hours worked by non-exempt, hourly … Continue Reading
During the week of June 22, 2020, the U.S. Department of Labor (“DOL”) Wage and Hour Division (“WHD”) issued three Field Assistance Bulletins, each providing guidance to WHD field staff regarding three unique compliance issues related to the COVID-19 pandemic. In addition, on June 25, 2020, the DOL released five fact-specific opinion letters discussing various … Continue Reading
In what Labor Secretary Eugene Scalia called a step in the US Department of Labor’s (DOL) goal of lessening “unnecessary regulatory burdens” on businesses, on May 20, 2020 the DOL released a final rule regarding the calculation of overtime for salaried non-exempt workers with fluctuating workweeks. The rule change may encourage payment of additional incentive … Continue Reading
The U.S. Department of Labor (DOL) has issued a new rule regarding the interpretation of Section 7(i) of the Fair Labor Standards Act, an overtime exemption applicable to employees of certain retail and service establishments who are paid in part via commissions. The statute provides that an employer shall not be deemed to have violated … Continue Reading
The coronavirus disease 2019 (COVID-19), commonly known as the “coronavirus,” is now impacting employers all across the US. Every organization should have a plan of action in place concerning the coronavirus as the threat of an outbreak at your workplace cannot be ignored. Please join us for a live webinar on Monday, March 16, 2020 … Continue Reading
COMPS Order 36 (“Order 36”) is scheduled to go into effect March 16, 2020 and makes major changes to wage regulations affecting Colorado employers. Order 36 applies both to hourly and salaried employees and requires significant compliance adjustments for employers. The key changes of Order 36 are summarized below. Colorado employers should carefully review Order … Continue Reading
Rule establishes standard under which two employers will be deemed jointly and severally liable under the Fair Labor Standards Act as of March 16, 2020 In January 2016, we posted about an Administrator’s Interpretation issued by the US Department of Labor’s (DOL) then-Wage and Hour Division Administrator that provided guidance for when two or more … Continue Reading
Minnesota Enacts Criminal Penalties for Wage Law Violations Minnesota governor Tim Waltz recently signed legislation that imposes criminal penalties (including felony charges) on employers who engage in “wage theft.” Effective August 1, 2019, employers will be guilty of a felony if they wrongfully withhold an employee’s pay by virtue of underpayment, misclassification, or refusing to … Continue Reading
On July 1, 2019, the U.S. Department of Labor (“DOL”) Wage and Hour Division issued a trio of fact-specific opinion letters offering employers guidance on various pay practices, specifically relating to calculating overtime pay as part of nondiscretionary bonuses, exemptions for paralegals, and rounding practices for calculating hours worked.… Continue Reading
