In a December 8, 2016 Order, the Fifth Circuit Court of Appeals granted the DOL’s request for expedited briefing of its appeal of the preliminary injunction issued by a district court judge that had enjoined the DOL from implementing its regulation raising the salary level for the white collar exemptions. The Court even set a
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DOL Appeals Preliminary Injunction Ruling to Fifth Circuit
On December 1, 2016, the Department of Labor appealed the district court’s preliminary injunction ruling. It is expected that the DOL will request the Fifth Circuit to rule on the appeal quickly, but the Fifth Circuit may not grant this request, and the appeal may not be resolved prior to January 20, 2017. If the …
New Pennsylvania Legislation Allows Payment of Wages by Payroll Debit Cards
Employers in Pennsylvania will be able to pay employee wages using payroll debit cards under an amendment to the banking code signed by Governor Tom Wolf on November 4, 2016. The new legislation goes into effect 180 days following the signing, on May 4, 2017.
An alternative to payment of wages by direct deposits or …
Oklahoma Federal Court Finds Expense Reimbursement Need Not Be “Rolled In” To Overtime Calculation
Fixed payments made on other than an hourly basis to non-exempt (i.e., overtime eligible) workers often must be included in the regular rate of pay for purposes of calculating overtime. One type of payment that may be excluded from the regular rate calculation is payment for “reasonable payments for travel expenses, or other…
Court Finds Commissioned Jewelry Salesman Qualifies For Outside Sales Exemption Based On His Own Complaint’s Allegations
Because most FLSA exemptions are affirmative defenses, their applicability is not often established by the Plaintiff’s Complaint, of which s/he is “master” and can shape to avoid addressing exemption-triggering duties. There are exceptions. In a recent opinion, a Manhattan federal district judge ruled that a commissioned salesman who traveled from his home office to…
Second Circuit: $350/Hour Sufficient Fee For Plaintiffs’ Counsel in FLSA Cases
One common impediment to resolution of FLSA claims is the amount of attorneys’ fees sought by the claimant’s attorney. One important factor in assessing an appropriate fee is the rate likely to be awarded by the Court should Plaintiff prevail in that jurisdiction. A new appeals court decision approves fixing that rate at $350/hour for…
Second Circuit Holds “Primary Beneficiary” Test Is Standard To Determine Employee Status Of Unpaid Interns; Likely Dooms Any Unpaid Intern Class and Collective Actions
The Second Circuit today issued two eagerly anticipated decisions addressing the standard that should be applied to determine whether unpaid interns at a for-profit employer are employees under the Fair Labor Standards Act (FLSA) entitled to compensation for services provided. Glatt v. Fox Searchlight Pictures, Inc., Nos. 13-4478-cv, 13-4481-cv (2d Cir. July 2, 2015);…
Second Circuit Affirms Tennis Umpires Properly Classified as Independent Contractors
The Second Circuit recently held that the United States Tennis Association properly classified tennis umpires who handled the U.S. Open as independent contractors under the Fair Labor Standards Act and the New York Labor Law. In doing so, the court rejected the umpires’ claims for alleged unpaid overtime, as such laws do not apply to…
Minimum Wage Increases – Another Challenge For National Employers and Unintended Consequences For the Public
As with the recent uptick in state and municipal paid leave laws, employers in multiple jurisdictions now find themselves faced with a similar national bandwagon in favor of increased state and municipal minimum wage requirements, highlighted by the Los Angeles City Council’s recent decision to ratify a proposal moving that City’s minimum wage to…
Pennsylvania Federal Court: Cosmetology Student Not An “Employee” Entitled To Minimum Wage
Last week, a Pennsylvania federal judge held that a former cosmetology school student was not entitled to minimum wage as an “employee” under the Fair Labor Standards Act or the Pennsylvania Wage Payment and Collection Law. Jochim v. Jean Madeline Educ. Ctr. of Cosmetology, Inc., 2015 U.S. Dist. LEXIS 45663 (E.D. Pa. Apr. 8,…