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KPMG Audit Associates Win Conditional Class Certification in FLSA Action

On January 3, 2012, in Pippins v. KPMG LLP , 2012 U.S. Dist. LEXIS 949 (S.D.N.Y. Jan. 3, 2012) [ an enhanced version of this opinion is available to lexis.com subscribers ], U.S. District Judge Colleen McMahon issued an order conditionally certifying a national collective action against KPMG LLP,...

FLSA Overtime Exemption May Depend on Amount of Discretion Exercised

by Mark Jeffries A federal court in Ohio recently decided what it deemed "a close case" regarding overtime exemptions under the Fair Labor Standards Act ("FLSA"). In Foster v. Nationwide Mutual Insurance Company , the court held that Nationwide's special investigators, who...

Informal Conversations with Department of Labor are Insufficient to Avoid Liquidated Damages in Class Action

In McLean v. Garage Management Corp ., Judge Denise Cote of the Southern District of New York reaffirmed the high standards an employer must meet in order to avoid liquidated damages under the Fair Labor Standards Act-holding that lessons learned from a previous government investigation into an employer's...

Supreme Court Rules Drug Company Sales Employees Are Not Entitled to Overtime Pay

In Christopher et al. v. SmithKline Beecham Corp., d/b/a Glasxosmithkline , 567 U.S. ___ (2012), No. 11-204, decided June 18, 2012, the U.S. Supreme Court, in a 5-4 decision, ruled that certain drug sales employees are to be treated as "outside salesmen" under the Fair Labor Standards Act ...

FLSA Update - Pharmaceutical Sales Representatives

In Christopher v. SmithKline Beecham Corp. , the Supreme Court ruled on whether pharmaceutical sales representatives are properly classified as exempt under the Fair Labor Standards Act (FLSA). Short answer - Yes . The FLSA requires that employees are paid at least the federal minimum wage for all...

Working Late -- Are Pharmaceutical Sales Representatives Entitled to Overtime?

In Christopher v. SmithKline Beecham Corp., the United States Supreme Court held that pharmaceutical sales representatives ("PSRs," also known as "detailers") qualify as "outside salesmen" exempt from minimum wages and overtime under the Fair Labor Standards Act (FLSA)....

Are You Entitled to Overtime Pay? Probably

You may have read about the recent Supreme Court case saying pharmaceutical representatives aren't entitled to overtime because they are outside salespeople. That's because they fit within one of the narrow exemptions to the Fair Labor Standards Act , which is the law requiring employers to pay...

Will Home Care Workers Finally Get FLSA Protection?

Under the current version of the Fair Labor Standards Act (the "FLSA"), workers that provide companionship services, including home health care workers, are exempt from wage and overtime compensation requirements (the "companionship exemption"). On December 15, 2011, the United States...

Work for NO Pay??? Internships the New Entry Level Job

The Fair Labor Standards Act of 1938 (FLSA) was enacted during a period of high unemployment to ensure that employees would receive a "fair day's pay for a fair day's work." See Overnight Transp. Co. v. Missel , 316 U.S. 572, 578 (1942) (quoting "presidential message which initiated...

More Challenges From Hurricane Sandy: Wage-Hour Issues And Related Matters

by John E. Thompson In thinking-through and implementing their recovery plans in the wake of Hurricane Sandy, employers will want to review our August post summarizing a number of federal Fair Labor Standards Act issues that typically arise following a natural disaster. Readers will recall our...

The 6th Circuit and the FLSA: Shortening the Time to Sue

Employers have used employment agreements to attempt to control the when and where of actions brought by employees. The courts have been receptive to the waiver of the right to sue in court where the forum provided, usually arbitration, is procedurally fair and provides the employee with safeguards....

Volunteer Firefighters are Employees for Purposes of Federal Law, Sixth Circuit Holds

Last week, a divided Sixth Circuit panel determined that "volunteer" firefighters who receive $15 per hour are employees for purposes of federal employment laws. Mendel v. City of Gibraltar , __ F3d __, 2013 U.S. App. LEXIS 16922 (6th Cir, Aug 15, 2013) [ an enhanced version of this opinion...

Must Employers Pay Salaried Workers for Time Not Worked Under the FLSA?

by Keisha N. Jackson Riddle me (you) this: A salaried employee has worked for your company for just two weeks. He gets sick and misses one full day of work. He has accrued a small number of hours in his leave bank but not enough to cover the whole day. Are you obligated to pay the employee for the...

Three Minor Leaguers Claim Major League Baseball Violated the Fair Labor Standards Act

When you think of minor league baseball, you may draw on movies like Bull Durham or The Rookie ; long bus trips from stadium to stadium where teams play in front of small crowds for small pay. Well, apparently, the pay may be small enough to trigger a violation of the Fair Labor Standards Act As...

What Is It Exactly That President Obama Wants to Do to the FLSA?

So, by now, you've likely read the news, first reported on Wednesday night by The New York Times reporters Michael Shear and Steven Greenhouse that "Obama Will Seek Broad Expansion of Overtime Pay" . Messrs. Shear and Greenhouse indicated that, yesterday, President Barack Obama was to...

LinkedIn’s $6M FLSA Settlement Provides A Good Lesson To Employers

LinkedIn will pay nearly $6 million in back pay and liquidated damages to 359 current and former employees following a Department of Labor investigation, reports the DOL . The employees, reports Business Insider , are commissioned inside salespeople. Typically, inside salespeople are not exempt under...

"Jail 'Em" Says Pennsylvania Senator About Employers Who Misclassify

I've written here recently about the one-sided Criminalization of Employment Law . It seems that employees are getting tossed in jail while scofflaw employers sail off in their yachts laughing at the 99%. Well, at least one state Senator is doing something to balance things out. Senator Mike Stack...

Court of Claims: Late Payment of Overtime Wages Resulted in an FLSA Violation

by John E. Thompson A recent decision by the U.S. Court of Claims underscores important propositions under the federal Fair Labor Standards Act to the effect that: ♦ Failing to pay non-exempt employees the FLSA-required minimum-wage or overtime compensation by the next regular payday for...

Court "Certifies" Gawker Media Interns' Collective Action

by John E. Thompson After more than a year of litigation (the filing of which we reported at the time), former unpaid Gawker Media interns will be permitted to send notices to other unpaid or allegedly underpaid interns to inform those potential plaintiffs of the lawsuit and of the opportunity to...

Is This the End of the Independent Contractor As We Know It?

In Alexander v. FedEx Ground Package Sys. (8/27/14) , the 9th Circuit Court of Appeals concluded that FedEx’s delivery drivers are employees of the company, not independent contractors [an enhanced version of this opinion is available to lexis.com subscribers] . The opinion’s introductory...

Reminder: New York Interns Are Now Protected Under Both the State and City Human Rights Laws

by Lisa Lewis , Jonathan Sokolowski and Andrew Smith* Following New York City Mayor Bill De Blasio’s endorsement of an amendment to the New York City Human Rights Law (“NYCHRL”) extending the statute’s anti-discrimination and harassment protections to interns earlier this year...

Ninth Circuit Rules That Twombly Standard of Specificity Applies to FLSA Pleadings

by Gregg Fisch and Ryan Duffy On November 12, 2014, in Greg Landers v. Quality Communications Inc. [ an enhanced version of this opinion is available to lexis.com subscribers ], the Ninth Circuit clarified a previously unsettled point of law by confirming that Fair Labor Standards Act (FLSA) pleadings...

Will The President's Immigration Initiative Spur FLSA Claims?

Lurking among the numerous considerations raised by President Obama's "immigration accountability" initiative are the prospects that this action will result in more allegations by or on behalf of the affected individuals that they have not been paid in compliance with the federal Fair Labor...

SCOTUS Returns to Unanswered Question from Symczyk

Remember the FLSA "pick-off" case? In Genesis Healthcare v. Symczyk, the Court held that if an FLSA collective action becomes moot as to the only plaintiff (before additional plaintiffs were added), then the entire claim becomes moot (and the case is dismissed) [ an enhanced version of this...

What is Retaliation in the Second Circuit Under the FLSA?

by Kevin Smith and Ryan Duffy On April 20, 2015, the United States Court of Appeals for the Second Circuit reversed a long-standing precedent when it held in Greathouse v. JHS Security Inc. that an internal oral complaint could be sufficient to demonstrate protected activity and form the basis for...