News & Analysis as of

Fair Labor Standards Act (FLSA) Employment Litigation

Littler

Sixth Circuit Finds Employee’s Guaranteed Weekly Salary Was Based on Daily Rate, Defeating Exempt Classification

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Despite an employee’s being highly compensated, the Sixth Circuit reversed a summary judgment order from the district court, finding that even though the pipe inspector was highly compensated, his pay was calculated on a...more

Miles Mediation & Arbitration

Wage Dispute Danger: What Employers Must Keep in Mind

In my 20+ years as a management-side employment lawyer, I used to receive calls about all kinds of workplace situations, but there is one category that still gives me nightmares. “Hi Steve. Long time, no talk. The reason I’m...more

Vedder Price

Sixth Circuit Clarifies Requirements for a Salaried Employee to Be “Paid on a Weekly Basis” Under the FLSA.

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On April 1, 2025, the U.S. Court of Appeals for the Sixth Circuit issued an important decision in Pickens v. Hamilton-Ryker IT Solutions, LLC regarding what it means to be paid on a “weekly basis” for purposes of the...more

Foley & Lardner LLP

Supreme Court’s E.M.D. Sales v. Carrera Decision: A Victory for Employers Navigating FLSA Exemptions

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A January 15, 2025, U.S. Supreme Court opinion brought welcome news for employers defending claims of worker exempt status misclassification under the Fair Labor Standards Act (FLSA). In the case at issue, E.M.D. Sales, Inc....more

Constangy, Brooks, Smith & Prophete, LLP

No wrongful discharge claim based on exercise of rights under state Constitution, Tennessee high court says

The Tennessee Supreme Court has recently held that there is no legal claim for wrongful discharge where an employer terminates an employee because the employee exercised a right set forth in the state Constitution. The...more

Ice Miller

The Highly Compensated Employee Exemption Under the FLSA - Misclassification of Highly Compensated Employees Can be Costly

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Classification of employees under the Fair Labor Standards Act (FLSA) remains a high-risk area where employers can easily misstep, potentially incurring thousands of dollars in overtime pay, liquidated damages, attorneys...more

Littler

Policy Week in Review – April 2025 #2

Littler on

Supreme Court Temporarily Blocks Decision Allowing Reinstatement of NLRB Member Wilcox  - On April 7, the U.S. Court of Appeals for the D.C. Circuit ruled that National Labor Relations Board Member Gwynne Wilcox could...more

Jackson Lewis P.C.

Employers Still Need to Abide 2024 Independent Contractor Rule Despite DOL Hints of Dropping It

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In recent court filings in several ongoing lawsuits, the Department of Labor (DOL) has indicated that it will reconsider its 2024 independent contractor rule issued by the Biden Administration and may issue a new rule. The...more

Rumberger | Kirk

No Extra Hurdles for Employers Claiming Overtime Exemptions: High Court Rules FLSA Does Not Require Stricter Evidence Standards

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In a unanimous opinion decided January 15, 2025, E.M.D. Sales, Inc., v. Carrerra et al., the U.S. Supreme Court ruled that the less stringent preponderance of evidence standard, instead of the clear and convincing evidence...more

Fisher Phillips

4 Tips for Employers After Appeals Court Says Highly Compensated Employee is Entitled to OT Pay

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An appeals court just ruled that a pipe inspector who earned more than $270,000 a year was entitled to overtime pay because he was not paid on a “salary basis.” In its April 1 decision, the 6th Circuit joined the 5th Circuit...more

Jackson Lewis P.C.

Final Touches: President Trump Rounds Out DOL Leadership with Two Nominees

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President Donald Trump has nominated Andrew Rogers to lead the Department of Labor’s (DOL’s) Wage and Hour Division (WHD). He also nominated Jonathan Berry to serve as solicitor of labor. Trump sent the nominations to the...more

Rumberger | Kirk

5 Tips for HR Directors to Avoid Expensive Company Lawsuits

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As the first point of contact for employee claims, HR directors often find themselves with the challenging task of assessing sensitive situations. This, coupled with ensuring both the company’s policies are followed, and...more

Parker Poe Adams & Bernstein LLP

Employer Liable for Unpaid Breaks Where Deduction Policy Was Never Clearly Explained

The Fair Labor Standards Act allows employers to provide unpaid meal breaks to non-exempt employees if those breaks are of a sufficient length and if employees are relieved of their duties during such breaks....more

Constangy, Brooks, Smith & Prophete, LLP

Paid $270,400 per year and still owed overtime? Another court says yes.

On April 1, a U.S. appeals court showed that the salary basis requirement is alive and well, regardless of how highly compensated an employee might be. The decision is a reminder to businesses that simply paying a guaranteed...more

Bradley Arant Boult Cummings LLP

No Rest for the Weary: The Trump DOL Indicates Yet Another Change to Its Independent Contractor Classification Rule Is on the...

Exactly a year ago, we wrote about the final rule issued by the Biden-era U.S. Department of Labor (DOL) regarding the test for determining whether a worker is an employee covered by the Fair Labor Standards Act (FLSA), or an...more

Whiteford

Employment Law Update: Growing Number of Courts Reject FLSA Settlement Approval Requirement

Whiteford on

The legal landscape surrounding Fair Labor Standards Act (“FLSA”) settlements is changing as a result of a split among federal courts on whether such settlements actually require judicial or Department of Labor (“DOL”)...more

Parker Poe Adams & Bernstein LLP

Supreme Court Will Not Review Challenge to Overtime Exemption Rules

On Monday, the U.S. Supreme Court declined review of a First Circuit Court of Appeals decision rejecting a facial challenge to the way the Department of Labor and federal courts determine exempt versus non-exempt duties under...more

Frantz Ward LLP

Ohio Federal Court Preliminarily Approves $20 Million Settlement for Kroger Wage and Hour Lawsuit

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On February 20, 2025, Judge Jeffrey P. Hopkins of the U.S. District Court for the Southern District of Ohio entered an order preliminarily approving a $20.8 million settlement in a collective and class action lawsuit by...more

Haynsworth Sinkler Boyd, P.A.

What Employers Need to Know About Shifting Caselaw and Legislation

As employers navigate the complexities of a new political era and evolving regulatory framework, staying ahead of these changes isn't just advisable — it's essential. Several executive actions have already influenced...more

Constangy, Brooks, Smith & Prophete, LLP

What lies beneath. Three wage and hour dangers you may never see coming.

On January 19, a federal district court in Arkansas paved the way for a jury to decide whether 2,000 employees were entitled to recover unpaid overtime for all weeks in which they worked more than 40 hours, while having...more

Troutman Pepper Locke

Travel Industry Exposed to Independent Contractor Misclassification Claims: February 2025 IC Legal News Update

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Few industries are immune from class actions alleging IC misclassification of workers paid on a 1099 basis. One industry that has not yet been besieged by these types of lawsuits is travel, but that may be changing. ...more

Ogletree, Deakins, Nash, Smoak & Stewart,...

California Appeals Court Decides PAGA Lawsuit Can’t Be Sent to Arbitration Without Individual Claims

A California court of appeal recently upheld a trial court’s ruling that rejected a sanitation company’s effort to compel arbitration of individual claims under California’s Private Attorneys General Act (PAGA), where the...more

CDF Labor Law LLP

Employer Not Required to Initiate Arbitration Following Court-Ordered Arbitration

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The California Court of Appeal, Second Appellate District recently issued a clarifying decision in Michelle Arzate, et al. v. ACE American Insurance Company, addressing which party is responsible for initiating arbitration...more

DarrowEverett LLP

Seventh Circuit Decision Clarifies Standards for FLSA Overtime Cases

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The Seventh Circuit Court of Appeals recently clarified the evidentiary bar for employees bringing Fair Labor Standards Act (FLSA) overtime claims, requiring employees to provide specific, detailed evidence of their work...more

Vedder Price

Federal District Court Says Class and Collective Action Waiver Survives Unenforceable Arbitration Agreement

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On February 12, 2025, the U.S. District Court for the District of Oregon issued an important decision in Porteous v. Flowers Foods, Inc. regarding the enforceability of class and collective action waivers contained in...more

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