Don’t try to recoup overpayments in FLSA suit — Business Management Daily: Free Reports on Human Resources, Employment Law, Office Management, Office Communication, Office Technology and Small Business Tax Business Management Daily

Don’t try to recoup overpayments in FLSA suit

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in Human Resources,Overtime Labor Laws

Some employers end up overpaying for time worked when, for example, employees continue to draw a paycheck while home on some sort of leave. But if you happen to face an FLSA lawsuit over unpaid overtime, don’t expect the court to let you credit those overpayments when it’s time to compensate unpaid overtime hours.

Recent case: When Jaime was in­­jured, he was paid for about six weeks of time off even though he had no leave left. Meanwhile, he had filed an FLSA lawsuit over alleged unpaid overtime.

The employer tried to get the court to credit the wage overpayment against its unpaid overtime obligation. It refused, telling the employer that if it wanted the money back, it would have to sue Jaime in a state court. (Vizcaino v. Techcrete Contracting, No. 1:13-cv-00229, WD TX, 2014)

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