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Showing 43 posts in Wage and Hour.

DOL Proposes Tweaks to FLSA Regular Rate Regulations, Changes Won't Impose New Regulatory Requirements

The Wage and Hour Division of the U.S. Department of Labor (DOL) has announced proposed changes to the regular rate regulations of the Fair Labor Standards Act (FLSA). According to the DOL, the proposed changes are focused on updating and clarifying the regular rate regulations, and intended to encourage employers to provide additional benefits to workers without inviting litigation. More ›

Employee Participation in an Employer-Sponsored Volunteer Program is Not Compensable, DOL Says

The Department of Labor (DOL), Wage and Hour Division, recently issued its first set of opinion letters for 2019. One of the letters, FLSA2019-02, addresses whether employee time spent participating in an employer's optional volunteer program is compensable work time under the Fair Labor Standards Act (FLSA). As many employers today offer optional volunteer programs to their employees, this opinion letter is helpful for employers to determine whether employee time spent volunteering with such a program is compensable. More ›

The End of the Saga of DOL's Proposed Changes to FLSA Overtime Rules?

For nearly four years, proposed Department of Labor (DOL) rule changes that would expand the number of workers eligible for overtime wages have remained in limbo. The latest twist in this long-standing saga came last week, when the DOL published a new "Notice of Proposed Rule Making" (NPRM), which sets a new salary threshold for overtime pay at $679 per week ($35,308 per year). Under these proposed rules, any salaried employee earning less than that amount, will be entitled to overtime for the hours the employee works beyond forty (40) in a week. More ›

California Appeals Court Confirms Constitutionality of Piece-Rate Compensation Statute

In Nisei Farmers League vs. California Labor and Workforce Development Agency, California’s Fifth Appellate District confirmed the constitutional validity of Labor Code section 226.2, a recently enacted law providing that employees paid on a piece-rate basis must be paid at least minimum wage, and must be paid for rest and recovery periods and “other nonproductive time” separate from any piece-rate compensation. Under a piece-rate system, employees are not paid by the hour, but rather based on activities, task or units of production completed. For example, employees are paid by the number of widgets they produce. The goal of the statute was to make sure employers who pay under a piece-rate system also comply with all minimum wage law requirements that apply to hourly workers. More ›

Department of Labor Removes 80-20 Tipped Work Rule

The federal Department of Labor’s Wage and Hour Division (WHD) provided updated guidance on its application of the “tip credit” rule for tipped employees who perform non-tip-generating tasks. More ›

State Common Law Claims May Be Preempted By The Fair Labor Standards Act

A District Court Judge in the Eastern District of Pennsylvania recently ruled that the Fair Labor Standards Act (“FLSA”) preempted a plaintiff’s attempt to add state common law counts for breach of contract and unjust enrichment onto his statutory wage and hour claims. Formica v. US Environmental, Inc., (No. 18-459; July 11, 2018).  The plaintiff alleged FLSA, Pennsylvania Minimum Wage Act, and Pennsylvania Wage Payment and Collection Law claims.  More ›

Clarifying the SCOTUS American Pipe Decision: Pending Motion for Class Certification does not toll Limitations Period

The United States Supreme Court recently handed the defense bar a useful tool in stemming the tide of class action lawsuits. In the area of employment law, claims for violations of federal wage and hour laws, violations of state and local regulations governing employees, and systemic workplace discrimination are prone to class action claims. More ›

Multiple Minimum Wage Increases to Take Effect on July 1, 2018

On July 1, 2018, multiple state and local authorities will increase the hourly minimum wage rate ever closer to the $15.00 per hour wage demanded by the Fight for $15 advocates. The following lists of minimum wage increases are not exhaustive and may not reflect increases within a certain working sector (for example, increase in minimum wages for tipped workers or hotel workers).Therefore, we encourage you to contact legal counsel for up-to-date information regarding your city, county or state. More ›

California Court Okays Hour Rounding Policy

In  AHMC  Healthcare,  Inc.  v.  Letona,  decided  earlier  this  week,  a  California  state  of  appeals  court  considered  an  employer's  use  of  a  time  clock  rounding  system  and  whether  it  violated  California  Labor  Law.  While  it  is  a  California  case,  it  rests  on  the  federal  regulation  governing  time  rounding  found  in  29  CFR  §  785.48  and  is  thus  an  instructive  case  for  all  employers  who  use  or  are  thinking  about  adopting  a  rounding  policy.  More ›

The Risks and Rewards of Allowing Employees to Work During FMLA Leave

The Family & Medical Leave Act ("FMLA") grants employees leave in certain enumerated situations. The Fifth Circuit Court of Appeals recently held it also allows the employee and employer to strike an agreement that the employee will perform certain duties and responsibilities during the leave and receive compensation for it without creating an actionable interference claim under the FMLA. More ›

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