Category Archives: Employment Law

Mixed Rates of Pay & The Fair Labor Standards Act

Often times employees receive different pay depending on the job they are doing. This creates a legally complex situation when it comes to paying overtime to these employees and doing so in compliance with the Fair Labor Standards Act (FLSA). If the employee worked at two different pay rates, then which pay rate is the overtime calculated based upon? The answer is not simple, in some cases a blended rate may be appropriate, however, courts, including a recent decision by
– Continue Reading

Tipped Employees can still sue under the Fair Labor Standards Act (FLSA) depending on their tasks.

For about thirty years the Fair Labor Standards Act (FLSA) Rule has been that a tipped employee who receives less pay per-hour, because they are a tipped employee, must spend 80% of their time at work doing activities that are tip generating. This means 80% of the employees, time had to be spent on tasks directly related to serving the customer, thereby directly generating tips. Hence, napkin folding, “opening the restaurant,” and other tasks would need to be kept to
– Continue Reading

Just because someone is A Manager does not mean they do not need to be paid Overtime under the FLSA

On February 28, 2019, a jury verdict of 2.9 million dollars was entered against Stake ‘N Shake, for not paying overtime to their managers. That amount is likely to be doubled by the Court within the two months, or so, because under the FLSA the amount the jury awards is often doubled as a legally mandated penalty against the employer. The issue is that the employees suing Stake ‘N Shake were managers, and they were still entitled to overtime. In
– Continue Reading

Immigration and Customs Enforcement (ICE) Arrests Are Up Over 700% in 2018, If You Employed Illegal Workers You Need a Good Federal Employment Attorney on Call Now More than Ever

Hiring illegal immigrants exposes your business to serious liability issues that could end in Federal Charges, but at a minimum result in hefty fines and a shutdown of your business for a period. ICE has had a record year with more than 6,848 investigations in 2018, compared to 1,691 investigations in 2017, this is an over 400% increase. ICE plans, on increasing the number of investigations in 2019. In 2017 1,360 companies were audited for I-9 compliance, compared to 5,981
– Continue Reading

YOU CANNOT AGREE WITH YOUR EMPLOYEES THAT YOU DO NOT HAVE TO PAY THEM OVERTIME, EVEN IF THE AGREEMENT YOU MAKE PAYS THEM MORE

The right to overtime under the Fair Labor Standards Act (FLSA) cannot be given up in an employment contract, or agreed between the employer and employee not to apply. In hundreds of FLSA cases I have been involved in, one of the most common things employers are sued for is coming up with ways to pay their employees more, but that do not pay them overtime at one-and-one half times their regular hourly rate. Often times these employers tell me
– Continue Reading

YOU CANNOT AGREE WITH YOUR EMPLOYEES THAT YOU DO NOT HAVE TO PAY THEM OVERTIME, EVEN IF THE AGREEMENT YOU MAKE PAYS THEM MORE

The right to overtime under the Fair Labor Standards Act (FLSA) cannot be given up in an employment contract, or agreed between the employer and employee not to apply. In hundreds of FLSA cases I have been involved in, one of the most common things employers are sued for is coming up with ways to pay their employees more, but that do not pay them overtime at one-and-one half times their regular hourly rate. Often times these employers tell me
– Continue Reading

A WRITTEN AMERICANS WITH DISABILITIES ACT (ADA) POLICY IS ESSENTIAL TO PROTECT YOUR BUSINESS AGAINST LAWSUITS

The word disability has a very broad meaning under the ADA, and conditions you would not think are disabilities can lead to costly lawsuits if an employer does not have a policy to properly handle ADA Accommodation requests by employees. Believe it or not, an appellate court has held an employer liable for not allowing an employee with a sleep disorder to show up to work late every day. However, not all accommodations are required. The most important thing for
– Continue Reading

Strict Time Keeping Rules Are the Only Way to Protect Against Fair Labor Standards Act (FLSA) Lawsuits

  Often times employers have time records that show they paid an employee correctly, however, even with those records many employers lose Fair Labor Standards Act (FLSA) lawsuits. This is because while these businesses have a time clock, and pay their employees based on the hours that the time clock produces, they fail to have policies that eliminate the possibility of employees alleging that they worked off of the clock. Implementing proper procedures as to when your employee's clock in
– Continue Reading

A Well Drafted Employee Arbitration Agreement Is Essential to Avoiding Costly Lawsuits

FLSA Lawsuits can cost employers significant amounts of money, both in defense costs and paying claims, however, there is a way to avoid these costly lawsuits. A well drafted arbitration agreement that covers actions brought under the Fair Labor Standards Act (FLSA), and other state/federal laws, is essential to avoiding several kinds of lawsuits. An arbitration agreement is an agreement that your employees sign which obligates them to bring their issues to an arbitrator you select, rather than to court.
– Continue Reading

There are Complex Rules as to How to Pay Nannies and Housekeepers

Your nanny or housekeeper may feel like family but housekeepers and nannies the families that serve all the time, and these lawsuits can get far more expensive than other lawsuits brought by employees because of the number of hours involved. There are very specific rules as to how nannies and housekeepers are paid, and often they sue when their employers part ways with them, even after ten years, or more, in the home. Defending against lawsuits brought under the Fair
– Continue Reading

An Illegal Immigrant Can Sue Their Employer in Federal Court

One of the most common misconceptions that employers have is that illegal immigrants cannot sue their employers. Illegal immigrants can sue their employers in Federal Court for the non-payment of minimum wage, and overtime, pay under the Fair Labor Standards Act (FLSA). Under the FLSA it does not matter whether someone is in the country illegally, nor will they be deported for filing a lawsuit. There are places in the country where an illegal immigrant cannot bring a Federal Lawsuit,
– Continue Reading

Under Federal Labor Law Very Few Employees are Independent Contractors

The law does not give the option to employers to pay their employees as independent contractors by paying them via 1099 rather than W-2. For purposes of Federal Labor Laws, and the Fair Labor Standards Act (FLSA), an independent contractor is a person who is not economically dependent on any one employer as a primary source of income. When you hire someone to paint your house you are hiring them as an independent contractor, but when you own a business
– Continue Reading

Employer Requirements for Accommodating Pregnant Employees

Maternity leave and the rights of pregnant or expectant women are hot topics today. Companies across the country are held to certain requirements to better accommodate their employees who need time off after the birth of a child. These accommodations include certain protections that employers must extend to any pregnant employees, and failure to comply could lead to serious legal trouble. Federal Laws The federal government passed the Pregnancy Discrimination Act in 1978. It was enacted to protect women who
– Continue Reading