Wage and HourBlog Posts
Federal Court Rules Bank of America Is Not “Joint Employer” of Call Center WorkersBusinesses that outsource specific functions are often subject to allegations that they are a joint employer of the employees of the outsourced entity. A Pennsylvania District Court recently rejected this theory of liability and dismissed Bank of America from a lawsuit brought by call center employees employed by a vendor servicing Bank of America, who alleged … Continue reading Federal Court Rules Bank of America Is Not “Joint Employer” of Call Center WorkersMarch 1, 2011 |
Supreme Court Declines to Review Drug Reps Classification IssueDespite the Circuit split created by this month’s decision from the Ninth Circuit, holding that pharmaceutical sales representatives are outside sales employees within the meaning of the FLSA, the Supreme Court has declined to take up Novartis’ appeal of the adverse ruling it received on this issue from the Second Circuit. The Supreme Court’s ruling … Continue reading Supreme Court Declines to Review Drug Reps Classification IssueFebruary 28, 2011 |
Supreme Court Declines Request to Consider Whether Half Time Calculation Is Appropriate Method To Calculate Overtime Due To Misclassified EmployeesAs previously discussed here and here, several Circuit courts have recently upheld use of the “half time” calculation of damages in FLSA misclassification cases. Urnikis-Negro v. Am. Family Prop. Servs., — F.3d. —, No. 08-3117, 2010 U.S. App. LEXIS 16126 (7th Cir. 2010); Desmond v. PNGI Charles Town Gaming, L.L.C., 2011 U.S. App. LEXIS 702 (4th Cir. Jan. … Continue reading Supreme Court Declines Request to Consider Whether Half Time Calculation Is Appropriate Method To Calculate Overtime Due To Misclassified EmployeesFebruary 23, 2011 |
Ninth Circuit: Pharmaceutical Sales Representatives Are Exempt Outside SalespersonsOn February 14, 2010, the United States Court of Appeals for the Ninth Circuit held GlaxoSmithKline’s pharmaceutical sales representatives (“PSRs”) are exempt from the FLSA’s minimum wage and overtime requirements under the outside sales exemption, rejecting a contrary decision from the Second Circuit, and an amicus brief filed by the United States Department of Labor. Christopher … Continue reading Ninth Circuit: Pharmaceutical Sales Representatives Are Exempt Outside SalespersonsFebruary 17, 2011 |
Federal Legislation To Decrease FLSA Tip Credit ProposedLast Thursday, Donna Edwards (D-MD) introduced a bill to the House of Representatives which would increase the tip credit minimum wage for the first time since 1991. The Working For Adequate Gains For Employment In Services Act (WAGE Act) would increase the tip credit minimum wage to $3.75/hour under federal law, with subsequent increases culminating … Continue reading Federal Legislation To Decrease FLSA Tip Credit ProposedFebruary 17, 2011 |
Court Holds Employees Who Handle Internet and Phone Sales Qualify for 7(i) Overtime ExemptionThe 7(i) exemption from overtime is not limited to “local” retail or service establishments, and applies to employers who sell nationwide via phone or the internet, a Utah district court has held, rejecting DOL regulations, and finding them antiquated. See Selz v. Invest Tools, Inc., 2011 U.S. Dist. LEXIS 93604 (D. Utah, Jan. 27, 2011). Plaintiffs … Continue reading Court Holds Employees Who Handle Internet and Phone Sales Qualify for 7(i) Overtime ExemptionFebruary 10, 2011 |
District Court Finds That Software Company’s Technical Consultants Are Exempt “Administrative” EmployeesAs discussed here and here, the availability of the FLSA’s administrative exemption continues to be a hotly-contested issue in wage and hour litigation. One of the many areas of dispute in applying the exemption concerns whether an employee performs a “production” role (rendering the exemption inapplicable) or an administrative role with duties related to the “general … Continue reading District Court Finds That Software Company’s Technical Consultants Are Exempt “Administrative” EmployeesFebruary 4, 2011 |
Southern District of New York Judge Ratifies Legality of Participation in Tip Pool By Captains and Banquet CoordinatorWhile the New York State Department of Labor’s new Hospitality Industry Wage Order clarified many wage and hour issues for industry employers, the appropriateness of tip pool participation of certain categories of employee continues to be an area of uncertainty. On January 13, 2011, Federal District Judge Laura Taylor Swain granted summary judgment to Manhattan restaurant … Continue reading Southern District of New York Judge Ratifies Legality of Participation in Tip Pool By Captains and Banquet CoordinatorJanuary 24, 2011 |
Fourth Circuit Joins Four Prior Circuits in Ratifying Half Time Calculation of Overtime Damages Due Misclassified Exempt EmployeeIt is well understood that employees misclassified as exempt under the FLSA are entitled to overtime pay for hours worked in excess of forty in a week. However, while the United States Department of Labor takes the position that any unpaid overtime is calculated using the “half-time” method, not all of the Circuit Courts have confirmed … Continue reading Fourth Circuit Joins Four Prior Circuits in Ratifying Half Time Calculation of Overtime Damages Due Misclassified Exempt EmployeeJanuary 18, 2011 |
Proposed Head of Wage and Hour Division Resubmitted to CongressAs previously discussed here, President Obama’s choice for administrator of the Department of Labor’s Wage and Hour Division is deputy assistant attorney general and chief of staff of the Justice Department’s Civil Rights Division, Leon Rodriguez. Mr. Rodriguez was nominated on December 12, 2010, but Congress failed to act on his nomination prior to adjournment of … Continue reading Proposed Head of Wage and Hour Division Resubmitted to CongressJanuary 14, 2011 |