NFL's Termination of Security Personnel Prompts Allegations of Age Discrimination

When former District of Columbia Police Chief Cathy Lanier stepped into her new role as security chief for the National Football League (“NFL”), she let it be known there was a “new sheriff in town,” a federal lawsuit alleges. About one year later, the NFL fired 9 security representatives accounting for approximately 1/3rd of the league’s staffing for the position and approximately 75% of the security representatives who were of the of age 60 or older. The security personnel promptly filed a federal suit in the Southern District of New York. More ›

U.S. Supreme Court Rejects Narrow Reading in Favor of "Fair" Reading of FLSA Exemptions

The US Supreme Court recently issued a five-four decision addressing whether service advisers of a car dealership fell within the automobile sales exemption. While the opinion may not seem particularly helpful for businesses that do not sell cars, a deeper reading reveals that it is a positive case for employers. More ›

Obama Administration’s Overtime Rule Invalidated

A federal judge from Texas struck down the Obama administration’s overtime rule, finding the salary-level test set forth by the Department of Labor did not account for an analysis of an employee’s job duties for purposes of determining whether an employee is exempt from overtime pay.  A copy of the court's opinion is available here. More ›

Uncle Sam Wants You . . . To Tell Him a Little About Overtime

A Department of Labor (DOL) 2016 Final Rule pushed federal regulations under the Fair Labor Standards Act (FLSA) that would have more than doubled the “threshold” below which nearly every salaried employee would be entitled to overtime. In November 2016, a federal district court prevented the new threshold from coming into effect, and the subsequent election of President Trump called into doubt whether revised rules would ever be implemented. More ›

Local Services Providers Receive Clarification of Enterprise Coverage Under the FLSA

Earlier this week, the Eleventh Circuit issued rare guidance to local service providers as to which employees must be paid overtime under the Fair Labor Standards Act (FLSA). In doing so, the Court clarified the distinction between "goods" and "materials" for purposes of the ultimate consumer exception to FLSA enterprise coverage. More ›

Overtime Expansion Over? Texas District Court issues Nationwide Injunction of Expanded Federal Overtime Rules

What Happened?

A federal judge has blocked the U.S. Department of Labor (DOL) from implementing new regulations under the Fair Labor Standards Act (FLSA) that expand overtime eligibility to 4.2 million salaried workers. The preliminary injunction issued yesterday found that the expanded overtime eligibility rules were contrary to the FLSA and Congressional intent.

The rules were supposed to become effective December 1, 2016. They grant overtime eligibility to millions of salaried white-collar employees whose salaries were not above a threshold of $921 per week ($47,892 annually), but whose duties otherwise would have made them exempt from overtime. With the injunction, the new regulations are on hold until the court issues a final decision. More ›

Join Us October 20, 2016 for Hinshaw's 21st Annual Labor & Employment Seminar

It's that time of year again! School's back in session, the leaves are starting to change, and Hinshaw is putting on its annual Labor & Employment Seminar! Thursday, October 20th is the big day in Hoffman Estates, Illinois. Have you been wondering... More ›

Seventh Circuit Upholds Tip Credit Pay for Related, Non-Tipped Duties

As those in the restaurant industry know well, federal and state law allow employers to pay tipped employees less than the required minimum wage with the expectation they will receive enough tips to make up the difference. This is referred to as a "tip credit." There has long been a battle within wage and hour suits over whether and when an employee paid under the tip-credit can still be paid the below minimum wage rate while performing "side-work" or non-serving duties that do not directly result in tips from customers. In a decision issued on July 15, 2016, the Seventh Circuit helped clarify the line, finding that an employer did not violate wage laws by paying its servers under the tip credit for side work those servers performed. More ›

Student Interns: To pay or not to Pay?

With the school year just underway, thousands of students are heading off campus to begin student internships. (Hollywood is paying attention too.)  Of those interns, many go unpaid. In recent years, the number of students challenging their unpaid status and seeking minimum wage and overtime protections afforded by the Fair Labor Standards Act (FSLA) has increased dramatically. In the wake of these challenges, employers must carefully evaluate their internship programs, and answer this question: to pay or not to pay. More ›