In an unexpected move, the Obama administration officially announced today that it will issue a Presidential Memorandum to the U.S. Department of Labor (DOL) instructing its Secretary to update regulations regarding overtime protection for workers under the FLSA. Any changes to the regulation would be the first since 2004, when the Bush administration increased the
Perez Confirmed as Labor Secretary; Obama Names New NLRB Nominees; Another Appellate Court Overturns Recess Appointments
The last three days have brought a flurry of important developments for employers. On Wednesday, the Fourth Circuit joined the D.C. Circuit (Noel Canning) and Third Circuit (New Vista Nursing) in overturning President Obama’s January 2012 recess appointments of Members Richard Griffin, Terrence Flynn (who has since resigned), and Sharon Block
Obama Nominates New Labor Secretary
This morning, President Obama formally nominated Thomas Perez to be the next Secretary of the Department of Labor. Mr. Perez, an assistant U.S. Attorney General, will replace outgoing Secretary Hilda Solis. Mr. Perez’s nomination is widely supported by the labor community.
Mary Kay Henry, the president of the Service Employees International Union (SEIU), stated on
DOL’s Misclassification Initiative Continues
Iowa is the latest State to sign a Memorandum of Understanding and join forces with the U.S. Department of Labor to combat employee misclassification. Although Labor Secretary Solis has announced her resignation, it appears that the Misclassification Initiative that she championed continues, at least for now.
As mentioned in a previous post, these Memorandums
Wage and Hour Lawsuits Continue to Soar
I read this morning that there have been 7,064 lawsuits filed under the Fair Labor Standards Act so far this year. I believe this is a record for wage and hour violation claims and the year is only half over. This is also nearly sixty more FLSA lawsuits than was filed in all of 2011
Court Rejects Challenge to DOL’s Interpretation That Mortgage Loan Officers are Non-exempt
I wanted to give our readers a quick update on the status of mortgage loan officers. In Mortgage Bankers Ass’n v. Solis, a federal district court in Washington D.C. recently rejected a challenge to the March 2010 DOL administrator’s interpretation that mortgage loan officers do not generally meet the administrative exemption under the FLSA. As
Recovering Money From Employees Without Violating the FLSA
On June 4, the U.S. Department of Labor Wage and Hour Division announced that a San Antonio-based car wash company has paid $246,438 in back wages to 308 employees following a DOL investigation. Among other things, the DOL found that the company had taken illegal deductions from employees paychecks for items including uniforms, insurance claims
Louisiana Joins the DOL’s Misclassification Initiative
Louisiana is the latest State to sign a Memorandum of Understanding and join forces with the U.S. Department of Labor to combat employee misclassification. These Memorandums of Understanding with state government agencies arose as part of the U.S. Department of Labor’s Misclassification Initiative, with the goal of preventing, detecting and remedying employee misclassification. Louisiana is
“Right to Know” Rule Not Likely in 2012
For roughly the last two years, the U.S. Department of Labor has been contemplating (some would say “threatening”) revisions to the recordkeeping regulations under the Fair Labor Standards Act that would require an employer who classifies an employee as exempt to prepare a written justification of the basis for the exemption. This document would have
Justices Deny Review of Applebee’s Tip Credit Ruling
In May, my partner Staci reported on a ruling against Applebee’s by the 8th Circuit Court of Appeals, holding that tipped employees who spent more than 20 percent of their working time on nontipped activities like cleaning restrooms were entitled to the federal minimum wage of $7.25 per hour. Applebee’s asked the U.S. Supreme Court