Overtime Labor Laws
Federal overtime laws, designed to help end the exempt vs. non-exempt debate, have made things worse. To non-exempt and exempt employees, labor laws continue to confuse.
Business Management Daily can help you comply with federal overtime laws. Learn when you have to pay overtime, and when you don’t.
Q. We pay a bonus for not using accrued sick leave. Does that count when determining an employee’s regular rate of pay for overtime purposes?
An increasing number of those managers are filing FLSA lawsuits, claiming they should be classified as nonexempt, hourly employees—and, thus, due overtime—because they spend most of their time doing the same tasks as their subordinates. But that’s not the test.
In an attempt to right what he perceives to be a wrong-headed Supreme Court decision, President Obama is asking the U.S. Department of Labor to change FLSA regulations covering home health care workers.
A unique case highlights a twist on the usual definition of discrimination: If an employee is fired for failing to live up to a stereotype about a particular race or nationality, she’s unlikely to win a discrimination lawsuit.
A federal judge has sided with the U.S. Department of Labor in an employee misclassification lawsuit against Fairfield-based Cascom, which lays fiber-optic lines for Time Warner Cable in the Dayton area.
The California Labor Commissioner is suing ZipRealty Inc., claiming the company owes unpaid wages to hundreds of real estate agents. The lawsuit is seeking minimum wages in excess of $7.5 million, overtime compensation in the amount of $1.25 million—plus damages and penalties of over $9 million.
When claims involve unpaid overtime or misclassification, attorneys representing employees naturally want to handle the case as a class or collective action. Some employers think that if they include an arbitration agreement in their terms and conditions of employment, a wage-and-hour claim has to go to arbitration as an individual claim. That’s not necessarily true.
Every year, hundreds of retail and restaurant managers sue, claiming they should be classified as nonexempt because they spend almost all their time doing the same kinds of tasks their subordinates do. But that’s not the test. In fact, managers often do double duty, performing manual tasks while also managing their workers.
Q. What are the new developments regarding overtime exemption for commissioned sales employees?
Managers may think it’s safe to underpay employees by having them work off the clock or shaving time off their overtime tab because no one has complained. But it takes just one short-term employee to get the lawsuit ball rolling. Before you know it, you will be facing an FLSA and New Jersey Wage and Hour Law class-action suit.
Q. May an employer compensate an employee for overtime work by awarding additional paid vacation time equal to the total accrued overtime?
A bipartisan group of U.S. senators wants to update the definition for computer professionals under the Fair Labor Standards Act. Computer professionals who earn more than $27.63 per hour are currently exempt from the FLSA. But the bill’s sponsors claim the state of computer technology has rendered outdated old definitions of the IT profession.
An hour worked must be an hour paid, according to the FLSA. For private employers, that means there’s no such thing as an employee putting in “volunteer” time. While the FLSA has been around for decades, some employers still think they can circumvent this inconvenient truth.
The time to confirm employees’ Social Security numbers is when they’re hired, not when you’re slapped with a lawsuit for unpaid overtime and minimum wage violations. A federal trial court has ruled that an employer was out of bounds in requesting this information.
Q. We wish to offer a variety of incentive bonuses to hourly workers in an attempt to increase business and productivity. Will these bonuses affect the employees’ “regular rate” under the Fair Labor Standards Act FLSA for purposes of calculating overtime?
Here’s some good news for employers that classify workers as exempt under the FLSA’s administration exemption: Contrary to what some attorneys have been attempting to argue, employees don’t have to perform all the functions listed in the DOL regulations, just one.
The Fair Labor Standards Act has been around for many decades, but some employers still think they can circumvent the inconvenient truth that they must pay employees for their labor. If some of your managers share this misconception, the following case may make them change their minds.
Sometimes, it becomes clear that an employee has been misclassified as exempt when she should really be an hourly employee. Employers that want to fix the situation can do so and avoid a lawsuit by offering the employee double her lost overtime pay, plus interest going back either two or three years depending on how the mistake happened.
Some employers think they can classify truck drivers as exempt under the Fair Labor Standards Act by relying on the federal Motor Carrier Act. But that’s tricky. To be covered by the MCA, the drivers must cross state lines while doing their jobs.
Winter isn’t a challenging season just because of the lousy weather. It’s tough on payroll staff, who must ensure that the company’s pay policies jibe with the Fair Labor Standards Act when employees leave early, arrive late or just stay home because of snow. Here are the rules for nonexempts and exempts.