Wage & Hour

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You may recall that over a year ago, President Obama directed the Secretary of Labor to “modernize and streamline” the existing Fair Labor Standards Act (FLSA) overtime regulations, specifically with respect to the “white collar” exemptions. The FLSA’s white collar exemptions apply to covered executive, administrative, professional, and outside sales employees. To qualify for…

In a new decision, the first on the subject by a federal appellate court, the Third Circuit has ruled in McMaster v. Eastern Armored Services Inc. that drivers who spend a portion of their work driving “covered” commercial motor vehicles (those over 10,000 pounds) and non-covered (those under 10,000 pounds) do not fall within the…

With the signature of Mayor Michael Nutter on February 12, 2015, Philadelphia became the 17th city in the United States to mandate paid sick leave for employees. The law goes into effect in 90 days (May 13, 2015) and applies to businesses with 10 or more employees. Covered employers will be required to give workers…

In a 9-0 decision issued yesterday, the U.S. Supreme Court held that time spent by non-exempt workers waiting to undergo and undergoing security screenings before leaving their workplace at the end of their work day was not compensable hours worked under the Fair Labor Standards Act.
Continue Reading Supreme Court Confirms No Pay Required for Post-Shift Security Screenings

We recently prepared a post for our friends at www.jurisbrewdence.com, who write about interesting issues in the craft beer industry (yeah we know, rough life right?). Our post was about a recent decision from the United States District Court for the Middle District of Pennsylvania, which brought some clarity to the issue of which employees may participate in employee tip pools. As you may recall, we previously discussed employee tip pools, which can be risky and problematic, particularly when deciding which employees will share in the pooled tips.
Continue Reading Court Weighs In On Employee Tip Pools

Last week, Judge Mitchell Goldberg of the United States District Court for the Eastern District of Pennsylvania issued a decision in Verderame v. RadioShack Corp., finding that the “fluctuating workweek” method of overtime compensation violates the Pennsylvania Minimum Wage Act (“PMWA”).
Continue Reading Another Federal Court Finds “Fluctuating Workweek” Overtime Compensation Violates Pennsylvania Minimum Wage Act

In response to President Obama’s Executive Order earlier this year, the Department of Labor has issued a Notice of Proposed Rulemaking (NPRM) to establish standards and procedures for raising the minimum wage paid to employees of federal construction and service contractors to $10.10 per hour beginning January 1, 2015 and then increased on a yearly basis beginning January 1, 2016. Federal contractors have until July 17, 2014 to comment on the proposed regulations that could have a large impact on contractors’ operations.
Continue Reading Department of Labor Announces Proposed Rules to Raise the Minimum Wage for Federal Contract Workers; Federal Contractors Should Consider Making Their Voice Heard During the Notice and Comment Period

Many employers treat their sales employees as exempt from the Fair Labor Standards Act’s overtime and minimum wage requirements. Regardless of whether they pay them a salary, commissions, or some combination of both, employers often assume that all salespersons are exempt and not entitled to overtime. Depending on the circumstances, this assumption can be problematic and costly.
Continue Reading Are Your Sales Employees Properly Classified as Exempt?

Yesterday, President Obama signed a Presidential Memorandum directing the Secretary of Labor to “modernize and streamline” the existing Fair Labor Standards Act (FLSA) overtime regulations, specifically with respect to the “white collar” exemptions. The FLSA’s white collar exemptions apply to covered professional, administrative, and professional employees. Last updated in 2004, the FLSA regulations on the white collar exemptions generally require that an employee receive a guaranteed minimum salary of at least $455 per week and meet one of the duties tests to qualify for an exemption to the FLSA’s minimum wage and overtime compensation requirements.
Continue Reading President Obama Directs DOL To “Modernize” FLSA Overtime Regulations