Category: Overtime General

The United States Department of Labor just settled a federal lawsuit filed, ironically, against the U.S. labor department for violations of the Fair Labor Standards Act (FLSA). The lawsuit asserted that Labor Department employees had not received proper payment for all hours worked, including all overtime compensation. Allegations inlcuded that the DOL improperly classified many of its workers, including labeling many as exempt who were in fact, non-exempt. This settlement – valued at $7M – shows the difficulty in making proper classifications and that no one is immune. In fact,…

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As companies and employers begin preparation for the new Fair Labor Standards Act (FLSA) amendments to take effect, the incidence of wage and hour lawsuits continues to rise. Most often, this occurs when employers fail to pay their employees the overtime compensation they are entitled to. A number of issues may be to blame. These include the misclassification of a worker as exempt, when they are really non-exempt. The error in classification may be intentional – overtime compensation can add up, so unscrupulous employers may try to avoid paying premium…

A recent report from Emory University in Atlanta notes that the school is preparing to implement the new Fair Labor Standards Act (FLSA) regulations. These amendments increase the salary threshold that must be met before workers can be considered exempt from $23,660 to $47,476. This change will allow significantly more workers to be entitled to overtime pay than previously. According to a human resources representative, the HR department is working hard to identify the exact positions that have previously fallen within the exempt categories, but will no longer meet the…

As many are aware, amendments to the Fair Labor Standards Act (FLSA) will take effect this January. One of the critical changes is the increase in the salary threshold, which will make many more workers eligible for overtime pay. By raising the threshold, those who make less than $913 may be entitled to overtime compensation if they work more than 40 hours in any one work week. While this change is significant, it is also important to examine the other components of what makes a worker exempt and thus not…

The Fair Labor Standards Act (FLSA) provides many protections to the majority of workers in America, including minimum wage and overtime pay for non-exempt workers who put in more than 40 hours in any one work week. However, many workers who telecommute wonder how these rules apply to them and whether they are entitled to wage protections. According to statistics, roughly 37% of US workers have telecommuted. Telecommuting creates challenges including how to keep track of time – what if workers work through breaks and meal periods? What about time…

The Department of Labor (DOL) has just released its new, updated poster with amended Fair Labor Standards Act (FLSA) rules. Keep your eye out for the new poster, which replaces last year’s and provides notice to employees concerning updated regulations. The FLSA requires that employees be paid at least the federal minimum wage (currently $7.25/hour), and provides that non-exempt employees may be entitled to received overtime compensation for hours worked in excess of 40 hours at a rate of one and one-half times their standard hourly wage. Pursuant to law,…

With the new Fair Labor Standards Act (FLSA) guidelines set to come out January 1, 2017, many employees and employers have questions about how this will affect their take home pay and whether they’ll be entitled to overtime pay. Pursuant to the amended guidelines, the new salary level threshold has been increased from $455/week to $913/week. This means that many employees that earn more than $455 but less than $913 should be reclassified from exempt to non-exempt, thus entitling them to bring home overtime pay. Overtime pay is typically calculated…

Pursuant to the Fair Labor Standards Act (FLSA), employers may take the amount a worker earns in tip to “offset” the amount they are required to pay towards minimum wage. However, very specific rules exist concerning when an employer may claim a “tip credit.” For example, employers may only apply “tip credits” when the worker is allowed to retain all of their tips. A recent case addressed the issue of tip credits when credit cards are involved. In this instance, the employer deducted expenses from credit card tips for fees…

With several wage and hour amendments set to become effective later this year, it’s important for employees to understand their rights in order to ensure they are paid all of the wages they deserve. For example, employers may fail to pay workers overtime compensation that they are entitled to because they mistakenly classify them as “exempt.” With the salary threshold having recently been increased from $455/week to $913/week, millions of Americans who were previously considered exempt, and hence not able to receive overtime pay, may now be able to bring…