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FLSA

DOL stiffens child labor penalties

07/09/2010

The DOL has raised the penalties for employers that violate the nation’s child labor laws. Fines for employers with workers under the age of 12 now start at $8,000. Minimum fines for hiring 12- or 13-year-olds now stand at $6,000 for each violation. In cases where 14- or 15-year-olds are illegally hired, the fines range between $6,000 and $11,000 per violation.

Even coffee-making can be compensable time

07/06/2010

The little things employees do while they’re getting ready for work—putting on safety gear, firing up their computers, standing in line to get equipment—can sometimes be considered paid work time. Courts often see such “preparatory work” as compensable, even if it benefits the employee, too. Consider this recent case involving making the morning coffee and breakfast before the start of a shift.

Looking for ‘creative’ ways to avoid overtime? Courts will look for ways to make you pay

07/02/2010

Before you are tempted to come up with clever ways to avoid paying overtime to employees, consider this: It’s usually easy for courts to see through such ruses. And after they discover shenanigans, courts usually reward the wronged employee with a bonus payment equal to the lost overtime wages—plus the employer has to pay the legal fees.

Bank of America workers sue for overtime

06/28/2010
Workers at Charlotte-based Bank of America’s retail branches and call centers in five states have filed a lawsuit claiming they are due unpaid overtime from the banking giant.

Workers ‘illegal’? You still have to pay them correctly

06/28/2010
Employers can’t use an employee’s undocumented status as an excuse for not paying minimum wage or overtime under the Fair Labor Standards Act, as the following case shows.

How should we calculate OT when paying bonuses based on previous performance?

06/24/2010
Q. Our company pays monthly bonuses to hourly employees based on the previous month’s performance. When calculating overtime, should the bonus pay be included only for the weekly payroll that contains those bonuses, or does it change the overtime rate for other weekly pay periods as well?

Will proposed legislation put us on the financial hook for misclassified employees?

06/24/2010
Q. If, according to the revised Employee Misclassification Prevention Act, we’ve been improperly classifying certain employees, do we need to go back and reimburse them? At the time, we thought they were properly classified.

California Supreme Court redefines ’employer’

06/18/2010
The California Supreme Court has ruled that California law on who is or is not an employee goes beyond the definition contained in the federal Fair Labor Standards Act and includes a broader measure of who is an employer.

Court tossed class-action suit? Your legal worries aren’t over yet

06/14/2010

Here’s more incentive to pay close attention to your compensation practices: Wage-and-hour lawsuits can easily morph into collective actions in which a few employees represent all similarly situated employees. Even if an employer manages to persuade the court that the claims aren’t suitable for a collective action, that doesn’t mean the case is over.

When must you pay interns? DOL aims to clarify controversial question by issuing new guidance

06/14/2010
As we told you last month, the DOL and many state agencies are cracking down on employers that illegally fail to pay their interns. Now the DOL has published “Fact Sheet #71: Internship Programs Under The Fair Labor Standards Act” that helps clarify employers’ obligations.