News & Analysis as of

Wage and Hour Employer Liability Issues Breach of Contract

Littler

Dear Littler: What Are Some Considerations Before Implementing Our Return-to-Office Policy?

Littler on

Dear Littler, We are a professional services company with employees in various states. During the pandemic we shifted to fully remote work. As the pandemic subsided, we still leaned into remote work to attract and retain...more

Allen Matkins

Court Of Appeal Holds Stock Options Are Not Wages, But Damages Need Not Be Measured At The Time Of Breach

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As an employee of Skillz Inc., Gautam Shah received awards of stock options.  Under the Skillz plan, Mr. Shah could exercise his vested options within three months of his termination of employment.  However, his options...more

Wiley Rein LLP

Breach of Contract Exclusion Bars Coverage for Judgment Rendered in Employment Dispute

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The United States District Court for the Eastern District of Louisiana, applying Louisiana law, has held that an insurer does not need to cover a monetary judgment rendered in favor of two former employees of the insured...more

Epstein Becker & Green

Wage War: Massachusetts Trial Court Rejects Globe Ex-President’s Profit-Sharing Claim Disguised as Wage Act Violation

On January 31, 2024, a Massachusetts trial court dismissed a claim against the Boston Globe alleging that the newspaper violated the commonwealth’s Wage Act by failing to pay an executive’s 2020 profit-share which the...more

Cranfill Sumner LLP

Business Court Holds that Employees’ Continued Work for Reduced Salaries Waived Claims for Breach of Employment Contracts

Cranfill Sumner LLP on

In Gallaher, et al. v. Ciszek, et al., 2022 NCBC 67, Chief Business Court Judge Louis A. Bledsoe, III, recently held that three neonatologists who continued to work after their employer unilaterally reduced their...more

Littler

Alberta, Canada: Arbitrator Decides COVID-19 Pandemic is Cataclysmic Event that Did Not Trigger Entitlement to Severance Under...

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In United Utility Workers’ Association of Canada v Dataco Utility Services Ltd., 2022 CanLII 13414 (AB GAA), Arbitrator John Moreau, Q.C., dismissed 11 grievances filed on behalf of 11 service technicians (Grievors) of Dataco...more

Fisher Phillips

California Court Rules That Food And Beverage Service Charges May Qualify As Gratuities

Fisher Phillips on

A California appellate court just held that mandatory service charges added by banquet facilities to their contracts may need to be paid to banquet service employees essentially as a form of a gratuity. The October 31, 2019...more

Farella Braun + Martel LLP

Reimbursement of Employment-Related Expenses Is Not a “Wage and Hour” Claim Within the Meaning of EPLI Exclusion

A recent California appellate court decision found that a wage and hour exclusion in an Employment Practices Liability Insurance (“EPLI”) policy did not bar coverage for claims under California Labor Code sections 2800 and...more

Payne & Fears

Pizza Hut Delivers a Win for Employers: Reimbursement Claims are Not Automatically Excluded from Coverage by a Policy's "Wage &...

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The California Court of Appeal recently ruled that a "wage and hour" exclusion in an employment practices liability insurance ("EPLI") policy must be narrowly interpreted to extend coverage for reimbursement claims brought...more

Payne & Fears

Key California Employment Law Cases: February 2019

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This month’s key California employment law cases involve reporting time pay and potential liability of payroll companies for wage and hour violations. ...more

Weintraub Tobin

California Supreme Court Holds that Payroll Services Provider ADP Cannot Be Sued for Breach of Contract, Negligence, and Negligent...

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Can an employee sue the employer’s payroll service for failure to correctly process and report payroll? According to the California Supreme Court recent decision in Goonewardene v. ADP, LLC (2019) 6 Cal.5th 817, the answer...more

Proskauer - California Employment Law

California Employment Law Notes - March 2019

Eddie Money Beats Discrimination Lawsuit Based On Free Speech Right - Symmonds v. Mahoney, 31 Cal. App. 5th 1096 (2019) - After 41 years, singer/songwriter Edward Joseph Mahoney (aka "Eddie Money") terminated the...more

Constangy, Brooks, Smith & Prophete, LLP

California Snapshot: Payroll Company Not Liable For Alleged Wage-Hour Violations Of Employer

At least, not directly. Can an employee sue her employer’s payroll services provider for alleged violations of California’s wage and hour laws? According to a recent decision from the California Supreme Court, the answer...more

Payne & Fears

Key California Employment Law Cases: January 2019

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This month’s key California employment law cases involve wage and hour issues. Donohue v. AMN Servs., 29 Cal. App. 5th 1068, 241 Cal. Rptr. 3d 111 (2018) - Summary: Policy rounding employees’ time worked is legal if...more

Haight Brown & Bonesteel LLP

Supreme Court Prevents Employees’ Tort and Contract Claims Against Employers’ Payroll Companies

In Goonewardene v. ADP, LLC (S238941), the California Supreme Court has created new protections for payroll companies in lawsuits involving claims of labor violations. Although previous case law has held that employees with...more

Sheppard Mullin Richter & Hampton LLP

California Supreme Court Announces a Win for Payroll Outsourcing Industry

Last week, the California State Supreme Court struck a decisive victory in favor of payroll companies, issuing a unanimous opinion that an employee is not a third-party beneficiary of the contract between her employer and its...more

Akin Gump Strauss Hauer & Feld LLP

California Supreme Court Holds that Employee Cannot Bring Wage Claims Against Payroll Service Provider

• The California Supreme Court recently held that an employee could not pursue contract and tort claims against a payroll service provider for unpaid wages. • The Court found that (1) an employee was not a “third-party...more

Carlton Fields

Seventh Circuit Joins Five Other Circuits, Holds Availability Of Class Or Collective Arbitration Is A Gateway Issue Of...

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A former employee of Waterstone Mortgage Corporation filed a class action against Waterstone in Wisconsin federal court in 2011 alleging wage violations and breach of contract. ...more

Fisher Phillips

Employers Can Be Held Individually Liable For Unpaid Wages In Colorado

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The Colorado Court of Appeals recently held that the Colorado Wage Claim Act does not categorically bar individual liability for unpaid wages, rejecting arguments that a 2003 Colorado Supreme Court decision precluded any and...more

Zuckerman Spaeder LLP

Is Employee Out of Commission? Not So Fast, Says Appellate Court

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When an employer changes its contract with an employee, the change should be communicated clearly—and preferably, in writing. Otherwise, the employer may be at risk of finding that the old terms still control. For example,...more

BakerHostetler

Ohio District Court Dismisses Contract-Based Wage and Hour Class Action

BakerHostetler on

We’re used to seeing off-the-clock cases for minimum wage and overtime, but at times such claims aren’t available, such as when the employees are paid well above the minimum wage and either do not work overtime or are paid...more

Proskauer - California Employment Law

California Employment Law Notes - January 2017

$90 Million Judgment Reinstated: Employers Must Relieve Employees Of All Duties During Their Rest Periods - Augustus v. ABM Sec. Servs., Inc., 2016 WL 7407328 (Cal. S. Ct. 2016) - Jennifer Augustus filed this...more

Constangy, Brooks, Smith & Prophete, LLP

Christmas Won’t Be Merry For These Employers!

Oh, you better watch out! A lot of employers have been naughty. I checked the court dockets, and would you believe all of these employment lawsuits filed in the week before Christmas! ...more

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