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Colorado Lifts Ban on Local Minimum Wage Ordinances – With Restrictions

Repealing a 20-year old prohibition on local enactment of minimum wage ordinances, on May 28, 2019, Governor Jared Polis signed House Bill 1210 allowing, with certain restrictions, such local ordinances. Under H.B. 1210, no more than 10 percent of Colorado’s local jurisdictions may enact local minimum wage rates and any such rates cannot increase by … Continue Reading

Connecticut to Join the Increasing Number of States Enacting a $15 Minimum Wage Law

With Governor Ed Lamont pledging to sign it into law, Connecticut will become the latest state to pass a $15.00 per hour minimum wage bill joining, among other states, its Northeast neighbors New York, New Jersey and Massachusetts, in doing so. Under the Connecticut law, the state’s current minimum wage of $10.10 per hour will … Continue Reading

Indiana Law Now Allows Paycheck Deductions for Uniform Rentals

Under an amendment to the state’s wage deduction statute, employers in Indiana may now deduct from an employee’s paycheck the rental cost of uniform shirts, pants, and other job-related clothing. The amendment, Senate Bill 99, was signed by Governor Eric Holcomb on May 1, 2019, and went into effect immediately. Michael Padgett, a Principal in the … Continue Reading

California’s “ABC” Test for Independent Contractor Analysis to be Applied Retroactively, Ninth Circuit Holds

The U.S. Court of Appeals for the Ninth Circuit has dealt California employers another setback when responding to claims of misclassification of independent contractor status for violations of the Industrial Welfare Commission Wage Order (“IWC Wage Orders”), holding that the State’s recently-adopted “ABC” test must be applied retroactively. Vazquez v. Jan-Pro Franchising Int’l, Inc., 2019 U.S. App. … Continue Reading

Wisconsin Supreme Court Holds State Law Precludes Pay for Normal Commute Time in Employer-Provided Vehicles

Reversing a decision of the lower appellate court, the Wisconsin Supreme Court has held that state law does not require employers to pay employees for routine commute time driving company-provided vehicles between the employees’ homes and their assigned jobsites. Kieninger v. Crown Equipment Corp., 2019 WI 27 , 2019 Wisc. LEXIS 123 (Mar. 20, 2019).  The … Continue Reading

Supreme Court Holds Availability of Class Claims Must be Expressly Declared in Arbitration Agreements

Class action arbitration is such a departure from ordinary, bilateral arbitration of individual disputes that courts may compel class action arbitration only where the parties expressly declare their intention to be bound by such actions in their arbitration agreement, the U.S. Supreme Court has ruled in a 5-4 decision. Lamps Plus, Inc. v. Varela, No. … Continue Reading

“Catalyst” Test Applicable to Awarding Attorney’s Fees for State Wage and Hour Claims, Massachusetts Supreme Judicial Court Holds

Rejecting the federal standard for determining whether a party has “prevailed” on his or her claim under the Massachusetts Wage Act, Mass. Gen. Laws ch. 149, §§ 148 & 150, the Massachusetts Supreme Judicial Court has held instead that the less-stringent “catalyst” test applies. As a result, plaintiffs who received $20,500 in a settlement under … Continue Reading

Minnesota Appeals Court Upholds Minneapolis Minimum Wage Ordinance

The Court of Appeals of Minnesota, the state’s intermediate appellate court, has upheld a minimum wage ordinance enacted by the City of Minneapolis in 2017, providing for a higher minimum wage than that provided by state law. Graco, Inc. v. City of Minneapolis, 2019 Minn. App. LEXIS 84 (Minn. Ct. App. Mar. 4, 2019). Following … Continue Reading

Illinois Governor Signs $15 Minimum Wage Law

As anticipated, today Governor J.B. Pritzker signed the “Lifting Up Illinois Working Families Act,” under which the state’s minimum wage will increase to $15.00 per hour over the next six years. Under the law, the hourly minimum wage will increase to $9.25 on January 1, 2020; to $10.00 on July 1, 2020; to $11.00 on January 1, … Continue Reading

Illinois Legislature Approves Bill to Raise Minimum Wage to $15.00, Sends to Governor for Signature

(Update from an earlier post) The Illinois legislature has now passed the “Lifting Up Illinois Working Families Act,” under which the state’s minimum wage will increase to $15.00 per hour over the next six years. Governor J.B. Pritzker has stated that he intends to sign the bill into law prior to his first budget speech … Continue Reading

Illinois Legislature Fast-Tracks Bill to Raise Minimum Wage to $15.00

Following up on its recently-elected governor’s campaign pledge, the Illinois legislature has fast-tracked the “Lifting Up Illinois Working Families Act,” under which the state’s minimum wage will increase to $15.00 per hour over the next six years. First introduced on February 6th, the bill already has been passed by the state senate and likely is … Continue Reading

Miami Minimum Wage Ordinance Remains Invalid after Review Denied by Florida Supreme Court

A 2016 Miami ordinance, intended to increase the City’s minimum wage to more than $13.00 an hour by 2021, remains invalid after the state’s highest court denied review of a lower appellate court decision. In 2003, the Florida legislature enacted a statute establishing the federal minimum wage as the minimum wage for the state of … Continue Reading

New Jersey Becomes Latest State to Enact a $15 Minimum Wage Law

With its governor’s signature yesterday, New Jersey became the latest – and the third largest – state to pass a $15.00 per hour minimum wage bill.  The only states with larger populations than New Jersey passing such $15 minimum wage bills are California and New York, which enacted similar laws in 2016 and 2017, respectively. Under … Continue Reading

Eleventh Circuit to Undertake Full-Court Review of Challenge to Alabama Law Prohibiting Local Minimum Wage Laws

The Eleventh Circuit Court of Appeals has agreed to undertake a full-court review to decide the validity of a 2015 Alabama law prohibiting cities or other local municipalities from adopting their own laws concerning minimum wages, leave benefits, collective bargaining and other employment-related issues. The law was enacted in response to an ordinance passed by … Continue Reading

Teamsters Challenges Federal Agency Decision on California Break Rules on Interstate Truck Drivers

The International Brotherhood of Teamsters, Local 2785 has filed a petition for review to the Ninth Circuit Court of Appeals on the Federal Motor Carrier Safety Administration’s (FMCSA) determination that California’s meal and rest break rules are preempted as applied to drivers of commercial motor vehicles (CMVs) subject to the FMCSA’s hours-of-service (HOS) regulations. This primarily … Continue Reading

California Piece-Rate Law Upheld by Court of Appeal

Rejecting an argument that the use of the phrase “other nonproductive time” rendered the statute unconstitutionally vague, a California Court of Appeal recently upheld the state’s law regarding compensation of piece-rate workers. Nisei Farmers League v. California Labor & Workforce Dev. Agency, 2019 Cal. App. LEXIS 10 (Cal. Ct. App. Jan. 4, 2019). Therefore, the … Continue Reading

Arkansas, Missouri Voters Approve Minimum Wage Increases

By overwhelming majorities, voters in Arkansas and Missouri have approved incremental minimum wage increases over the next several years. In Arkansas, Issue 5 (the Minimum Wage Increase Initiative (2018)) was approved by a margin of approximately 68% to 32%. With passage of the initiative, Arkansas’s current minimum wage of $8.50 per hour will increase to … Continue Reading

Taco Bell’s Prohibition on Discounted Employee Meals Does Not Violate California Meal Break Law, Ninth Circuit Rules

Affirming a district court order dismissing a putative class action, the Ninth Circuit Court of Appeals has held that Taco Bell’s policy of requiring employees to eat employer-discounted meals in the restaurant does not convert the meal period into “on duty” time such that the meal period becomes compensable under California law. Rodriguez v. Taco … Continue Reading

Class and Collective Action Waivers in Arbitration Agreements Do Not Violate the NLRA, Supreme Court Rules

In a closely watched – and closely decided – ruling, today the Supreme Court upheld the enforceability of class and collective action waivers in employment arbitration agreements.  Epic Systems Corp. v. Lewis, 137 S. Ct. 809, 2018 U.S. LEXIS 3086 (May 21, 2018) (consolidated cases). The Court’s decision resolves the circuit split on whether such waivers violate the National … Continue Reading

Supreme Court Exempts Automobile Service Advisors from Overtime, Rejects ‘Narrow Construction’ Principle under FLSA

After years of litigation, this week the Supreme Court concluded that service advisors who work in an automobile dealership are exempt from overtime under the FLSA.  Much more profoundly, the Court unequivocally rejected the principle, a longstanding bane to employers, that FLSA exemptions should be “narrowly construed” due to the Act’s status as a “remedial” … Continue Reading

Wisconsin Legislature Preempts Local Enactment of Wage and Hour Regulations

Joining more than two dozen other states that have barred local enactment of minimum wage or other employment laws, on March 22, 2018 the Wisconsin legislature passed Assembly Bill 748, intended to promote statewide uniformity in the regulation of employment practices. AB 748 prevents local governments and municipalities from enacting and enforcing their own ordinances … Continue Reading

California Supreme Court Adopts State Agency Formula for Calculating Overtime Value of Flat-Sum Bonus, Rejecting Federal View

The California Supreme Court has held that, under state law, when an employee earns a flat-sum bonus during a pay period, the overtime pay rate will be calculated using the actual number of non-overtime hours worked by the employee during the pay period. Alvarado v. Dart Container Corp., 2018 Cal. LEXIS 1123 (Cal. Mar. 5, … Continue Reading

Pennsylvania Governor Seeks to Expand Overtime Pay to Currently Exempt Employees

Frustrated by years of unsuccessful efforts to raise the minimum wage through the state’s Republican-controlled legislature, and in response to the recent federal court invalidation of the Obama-era DOL’s rule that would have doubled the minimum salary requirement for the executive, administrative and professional exemptions (i.e. the “white collar” exemptions) under the FLSA, Pennsylvania Governor … Continue Reading
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