How the FLSA “tip credit” is applied has been pushed and pulled numerous times over the last two decades. In the latest volley, the Fifth Circuit entered an order on August 23, 2024, vacating the Department of Labor’s 2021 Final Rule on how employers pay wages for workers that receive tips. The court’s initial
FLSA
Welcoming Our Robot Overlords? Navigating New Guidance on AI
As technology continues to evolve, so do the dynamics of labor and employment. The Wage and Hour Division (WHD) of the U.S. Department of Labor (DOL) recently issued Field Assistance Bulletin No. 2024-1 (FAB 2024-1). FAB 2024-1 is a groundbreaking document shedding light on how the DOL thinks artificial intelligence (AI) and automated…
Raising the Threshold: DOL Issues Final Rule on Overtime Exemption Salary Requirements
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…
I Haven’t Been Paying an Employee Correctly! Now What?
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…
This Ain’t My Home, Now Pay Up: 11th Circuit Reverses on FLSA’s Live-In Service Worker Exemption
Someone who works in the home of their employer as a nanny or in another domestic service role is exempt from the Fair Labor Standards Act (FLSA) wage requirements, right? Not according to Blanco v. Samuel, a recent 11th Circuit opinion that reversed the district court’s ruling that a live-in employee was exempt.
The ‘New’ New Final Rule? DOL on Independent Contractors and the FLSA
Remember the 2021 Independent Contractor Rule? Well, forget it or at least most of it. Last week, the DOL published a new final rule for independent contractor status under the Fair Labor Standards Act (the New Rule). The New Rule rescinds the 2021 rule and provides guidance on how to analyze whether an individual should…
Déjà Vu All Over Again? DOL Proposes New Rule on Salaried Exemption Threshold
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…
Poster Rollercoaster: DOL Changes FLSA Notice Required at Workplaces
All employers subject to the Fair Labor Standards Act (FLSA) must post an updated version of the FLSA “Employee Rights” poster to remain compliant with the law.
The FLSA is the Great Depression-era law that requires covered employers to pay minimum wage and overtime to non-exempt employees, among other requirements. In addition to the basic…
DOL Guidance Provides “FAB”ulous Insight as to How the Agency Will Apply the Protections under the FLSA and FMLA to Remote Workers
The United States Department of Labor recently issued Field Assistance Bulletin No. 2023-1 (FAB), which provides guidance to agency officials on a number of telework issues. The FAB addresses (1) paying workers who telework properly under the Fair Labor Standards Act (FLSA); (2) reasonable break time for nursing employees to express milk while teleworking from…
Day Pay Nay for Highly Paid: Supreme Court Weighs in on FLSA Salary Basis for Exemption
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…