On Tuesday, April 23, the United States Department of Labor issued its anticipated Final Rule on the Fair Labor Standards Act salary requirements for overtime exemption.
The Final Rule, which will likely face legal challenges, increases the salary threshold for white-collar overtime exemptions. Effective July 1, 2024, the minimum weekly salary for exempt status will
It is every employer’s nightmare: You find out that employees (or former employees) are claiming that they were not paid properly and are due overtime for the last two or three years. This primarily arises because you classified the employees as exempt (salaried) under the FLSA and they are challenging that classification, or the employees
The DOL issued a Notice of Proposed Rulemaking proposing, among other things, to increase the salary threshold for white-collar overtime exemptions. You may recall that there was a lot of discussion about this back in 2016 when the DOL proposed a rule raising the threshold from $23,660 to $47,476. Litigation ensued, and a court held
In a highly anticipated ruling under the Fair Labor Standards Act, the U.S. Supreme Court in Helix Energy Solutions v. Hewitt held that an employee did not qualify for the highly paid exemption from the FLSA’s overtime pay requirements because he was paid a daily rate and not a guaranteed weekly salary. The Court held
Last Tuesday, the National Labor Relations Board (NLRB) published an anticipated Proposed Rule on joint employer status. The Proposed Rule, which is designed to apply for all purposes under the National Labor Relations Act (NLRA), including both union representation and unfair labor practice contexts, is important to businesses that rely on labor supplied by a
When a company faces a Fair Labor Standards Act (FLSA) collective action there are two main components to address: (1)
whether it will be a collective action or class action versus an individual action and (2) a trial of the merits on whether the FLSA was actually violated. One federal district court decided No. 2
On January 7, we wrote about the DOL’s Final Rule on Independent Contractor Status that was slated to take effect on March 8, 2021. Many employer and business groups applauded the Final Rule because its focus on the economic reality test was intended to make it easier for employers to classify certain workers as independent
Employers often ask, “Can this worker be an independent contractor?” The answer is often unclear due to the different tests for employee versus independent contractor status, which vary between federal circuit courts and from state to state. In the end, the answer typically depends on how much risk the employer is willing to take. In
Remember last January and the salary threshold change the Department of Labor rolled out for salaried exempt and highly compensated employees under the FLSA? As the end of the year approaches, you might need to revisit the DOL’s salary threshold increases that took effect January 1, 2020. In January, we anticipated that this would be
Whether a worker is an employee covered by the Fair Labor Standards Act (FLSA) (and potentially entitled to overtime pay or benefits) or an independent contractor who is not covered has been the center of an ongoing legal battle for many years. Most recently, it has been a key issue for those in the growing