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Showing 3 posts in Unpaid Wages.

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 ›

Overtime Exemptions Shrink

The hour has arrived. Last summer, the Wage and Hour Division of the Department of Labor announced substantial revisions to federal regulations delineating who is exempt from overtime pay. After almost a year of waiting (and over 290,000 comments to the draft rule), the DOL announced this week that it will be publishing the final form of its revised overtime regulations under the Fair Labor Standards Act (FLSA). This final publication will occur on Monday, May 23, 2016, but the pre-publication version is publicly available now. More ›

Whistle while you work… on getting dressed: Wisconsin Supreme Court rules Hormel employees to be paid for time putting on clothing and safety gear

Like most employers, Hormel Foods paid its employees from the time they punched-in to the time they punched-out. Prior to punching the clock, manufacturing employees were required to dress in a clean white jumpsuit, boots, hard hat, eye protection, hearing protection, and hair net. The reverse process was repeated after the employees punched out at the end of their shift. Each employee spent almost six minutes per day off the clock "donning" [putting on] and "doffing" [taking off] required clothing and equipment. More ›

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