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The Importance of Increasing the Minimum Wage

The fight for an increased minimum wage has gained steam over the last year, with many cities adopting a $15/hour minimum wage, and some states such as New Jersey, considering a statewide higher wage. While the federal minimum wage remains at $7.25, the Obama administration has pushed for legislation increasing the wage, and the Democratic Party has now included passage of a $15 minimum wage as part of its platform. Raising the minimum wage has several benefits. First, on obvious benefit is that those lower wage earners would increase their…
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New Salary Threshold Will Make Millions of New Workers Eligible for Overtime Pay

With the salary threshold amendments to the Fair Labor Standards Act (FLSA) set to become effective on December 1, millions of additional American workers will become eligible for overtime pay. The amendment with double the annual salary level that limits who is entitled to overtime pay. The current threshold level is $23,660. This means that if you make more than this amount, and perform certain “white collar” duties, you may be considered exempt and not entitled to extra compensation, regardless of the number of hours worked. The threshold will now…
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Minimum Wage Lawsuit Filed Against Amazon

A new wage and hour lawsuit has just been filed against Amazon.com following the launch of it’s instant delivery system – Prime Now. Prime Now offers “instant delivery” – offering shoppers the option to request the delivery of thousands of items within one-to-two hours. The lawsuit alleges numerous violations, including failing to pay overtime, failing to provide breaks, and failing to pay minimum wage. The workers also assert that Amazon wrongly classified them as independent contractors when they were effectively employees. Although the Amazon Prime Now drivers were hired by…
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Changes To FLSA Increase Number of Workers Covered

The Department of Labor (DOL) made several changes this summer, including 2 announcements that will likely expand the number of workers covered under the Fair Labor Standards Act. The first change involved “white collar” exemptions and the DOL’s proposed rule that the salary threshold for having exempt status be raised from $455/week to $970/week. Workers who are considered exempt do not earn overtime pay, regardless of the number of hours worked in a week. Employers may classify workers as exempt if the meet that threshold level of pay, and fall…
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Proposed Rules To Increase Number of Workers Entitled To Overtime Pay

Earlier this summer, the Department of Labor issue new regulations which, if adopted, have the potential to significantly impact “white collar” workers and their ability to obtain overtime compensation. The proposed rules are open for public comment until September 4th, so everyone is encouraged to make their voices heard. Currently, the Fair Labor Standards Act provides that all “non-exempt” workers are entitled to be paid overtime compensation at a rate of one and one-half times their standard rate of pay for all hours worked in excess of 40 hours in…
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The Importance of Proper Employment Classification

The issuance of the recent proposed amendments to the Fair Labor Standards Act (FLSA) affecting the circumstances under which someone may be considered “exempt” v. “non-exempt” and when a worker may be entitled to overtime pay underscores the importance of the correct worker classification. In fact how you are classified can have a significant impact, affecting your take home pay, the benefits you are entitled to and the workplace protections you receive.   For example, if you are classified as an independent contractor, you will not be entitled to any over…
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Minimum Wage Increases Gaining Traction

The fight for an increased minimum wage is getting increased traction, with cities on both coasts taking action to raise the wage to $15/hour. In New York, the state has announced that all fast food workers’ wages should be raised to $15 from its current minimum wage of $8.75/hour. Similarly, the University of California has announced that its employees will be paid $15/hour. The U of California system is the first public university to make such a commitment. Other cities are also following suit such as Los Angles, Seattle and…
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Movement To Increase Minimum Wage Gaining Steam Across the Country

The Fair Labor Standards Act (FLSA) applies to nearly all workers in the United States and provides certain basic protections and guidelines. Among these are the guarantee that workers earn at least minimum wage and that all non-exempt employees earn overtime compensation at a rate of one and one –half times their standard rate of pay for all hours worked in excess of 40 in any workweek. However, workers who are exempt are not entitled to earn overtime pay regardless of the number of hours worked. Currently the federal minimum…
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Cheerleaders Settle Wage and Hour Lawsuit

The Tampa Bay Buccaneers have agreed to settle a class action wage and hour lawsuit filed by it cheerleaders. The 94 former and current cheerleaders have alleged that the football program failed to pay the cheerleaders minimum wage, and that they were required to work unpaid hours including practice time, posing for calendars, charities and clinics. The Buccaneer’s own website provided that the cheerleaders were “consistently busy rehearsing, performing and volunteering for community events and appearances.” Pursuant to the Fair Labor Standards Act (“FLSA”) – which covers most employees in…
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Department Of Labor Likely To Amend Salary Exemption

According to CNN, the Obama administration is getting closer to issuing its proposed amendment to the overtime compensation laws. The amendment will provide overtime pay to low-salaried managers who don’t currently qualify for them. Pursuant to the Fair Labor Standards Act (FLSA), most “non-exempt” workers are entitled to overtime pay at a rate of one and one-half times their standard rate of pay for all time worked in excess of 40-hours in any one work week. However, “exempt” workers are not entitled to overtime compensation, regardless of the number of…