Articles Posted in FLSA

What started as a dispute over a few hundred dollars ended with an Atlanta-area employer paying nearly $40,000. That outcome is a useful lesson to employers on several fronts. One, always maintain legally compliant pay records, including pay rates, hours worked, and sums paid. Two, always make sure that you are paying your non-exempt workers proper time-and-a-half overtime when they work more than 40 hours in a week. And three, if you feel the urge to pay wages that you owe under the Fair Labor Standards Act in a way that smacks of revenge… don’t. Just issue a check and move on. It’ll be cheaper and better for your business in the long run. If you have any questions about your rights and responsibilities under the FLSA, make sure you consult with a knowledgeable Atlanta wage and hour lawyer.

The original dispute, which received relatively broad coverage as a result of its peculiar facts, pitted a Peachtree City auto repair shop against one of its former employees. The disagreement began after the employee, A.F., contacted the U.S. Labor Department’s Wage and Hour Division to complain that his employer had not paid him his final paycheck, which amounted to $915.

Rather than simply cutting a check, the employer obtained 91,500 pennies, covered them in automotive fluids, and then delivered them to A.F.’s driveway. To remove doubts regarding motivation, the employer stuffed the man’s pay stub in an envelope with “[expletive] you!” written on the outside. The pile of pennies weighed more than 500 pounds and took more than seven hours to remove from the man’s driveway.

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An Atlanta wrecker and towing service found itself in court after two drivers accused it of illegally failing to pay them the overtime compensation they were properly due under the Fair Labor Standards Act. The court’s summary judgment ruling in the case includes vital lessons for employers when it comes to the importance of maintaining clear and thorough pay records, as well as the risks involved in handing off FLSA compliance to a third party. If you’re facing an unpaid overtime claim (or pursuing one,) representation from a knowledgeable Atlanta wage and hour lawyer can be essential to your success.

The drivers typically worked 4-5 12-hour shifts each week. The employer paid its driver a straight commission weekly that was “calculated as a percentage of the total revenue they derived from the tows they performed that week.” For one driver that percentage was 30%, for the other it was 35%.

As noted above keeping clear, understandable, and accurate time and pay records for all employees can be crucial to any business.

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Earlier this year, the Fair Labor Standards Act celebrated its 85th anniversary. Later this year, the executive and administrative exemptions will also turn 85 years old. The FLSA helps ensure workers receive fair compensation, while the exemptions provide important aid to employers. Whether you are an employer or an employee, it’s important to understand what the FLSA and its exemptions do (and don’t) require. If you have questions, get in touch with a skilled Atlanta wage-and-hour lawyer to get the knowledgeable answers you need.

When the federal government created the first salary threshold for the executive and administrative exemptions in 1938, that number was $1,560 annually. By 1949, the figure was $5,200.

Currently, the minimum salary an employer can pay and also claim the executive or administrative exemption is $684 per week, or just over $35,500. If a proposed rule from the U.S. Department of Labor takes effect as written, that figure will — for the first time — climb above $50,000 annually, at $1,059 per week, or just slightly above $55,000 annually.

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A case from outside Georgia serves as a useful reminder to employers and employees alike regarding the Fair Labor Standards Act’s rules regarding “rounding” time a worker works each day. The overarching concept that you need to know is this: if an employer’s rounding policy results in an outcome where, over time, workers are not compensated “properly for all the time they have actually worked,” then that policy may represent an FLSA violation. If you have questions about a time rounding policy, make sure to get reliable answers by consulting an experienced Atlanta wage and hour lawyer.

The recent case involved a Kansas City-based health system and a large class of its workers. The health system used a popular computer software-based timekeeping system, Kronos Workforce Timekeeper.

The employer had a rounding policy where a “clock-in” or “clock-out” that occurred within six minutes of the scheduled shift start or end time was rounded. In other words, a worker who clocked in at 8:04 for an 8:00 shift was paid as if she arrived at 8:00. Similarly, a worker who clocked out at 6:05 for a shift ending at 6:00 was paid as if she left at 6:00.

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In the tragedy of Romeo and Juliet, William Shakespeare asked the timeless literary question, “What’s in a name? That which we call a rose / By any other name would smell as sweet.” Those lines highlight the truth that changing a name or a title does not, by itself, change the named item’s inherent identity and characteristics. This also can be true in employment law where, just because a job title sounds like a managerial role, the reality of the work you do every day may indicate that your job actually is something very different, which can matter a great deal when it comes to overtime compensation. If you have questions about exempt status or possible unpaid overtime, you should take the time to get reliable answers by contacting a knowledgeable Atlanta wage and hour lawyer.

Recently, this blog looked at the administrative exemption to the overtime requirements of the Fair Labor Standards Act. Today, we focus on another exemption that generates disputes with some frequency: the executive exemption. In many instances, these disputes involve managers at retail establishments who spend most of their workdays doing non-managerial work.

Last month, the 6th Circuit Court of Appeals (whose decisions guide federal cases in Michigan, Ohio, Kentucky, and Tennessee) considered one of these matters and ruled for the employer.

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In some ways, wage and hour law can be like the game of bridge. Each has various sets of rules that can layer on top of (or intertwine with) one another. In each setting, the difference between success and defeat often can come down to which side understands, utilizes, and deploys those concepts more effectively. If you have questions about the law of overtime compensation, be sure to get in touch with an experienced Atlanta wage and hour lawyer (who may or may not be able to help you with your bridge game.)

Why do we bring up bridge? In this instance, it’s because some employees of the world’s largest contract bridge league recently scored a win in their unpaid overtime lawsuit.

In 2018, the league reorganized its Field Operations Department, creating four new salaried roles: Area Manager, Mentor, National Tournament Director, and Associate National Tournament Director.

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A pair of unsuccessful attempts to settle two Fair Labor Standards Act lawsuits in Georgia are very instructive about how FLSA settlements work. One crucial concept to know is that settling an FLSA case requires clearing more hurdles than, say, settling an ordinary auto accident case. Whether you are seeking to settle your FLSA case or litigate it all the way to a judgment, an experienced Atlanta wage-and-hour lawyer can help you protect your legal rights and your individual interests.

Typically, in most civil lawsuits, the only thing necessary to consummate a settlement is for the parties to agree to a set of terms. As a Middle District of Georgia judge noted in a July 2023 opinion, that’s not true with FLSA cases. In these lawsuits, the law requires the court to review and approve any settlement.

The crux of this review and analysis process is ensuring the settlement’s reasonableness. A Northern District opinion — also from last month — explained that the judge must ensure the settlement “is a fair and reasonable resolution of a bona fide dispute over FLSA provisions,” and must consider “both the rights of the settling employee and the interests of the public at large.”

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An internet meme about lawyers mines humor from the frequency with which attorneys answer questions with “It depends.” Truthfully, “it depends” very often is the right answer, as many legal disputes that appear similar may yield vastly differing results depending on any number of (or sometimes just a few) key factual distinctions. A reply of “it depends” reflects the many wrinkles and nuances within areas of the law, and that includes wage-and-hour law. That’s why, if you have questions about whether something is or is not compensable time under the Fair Labor Standards Act, it is wise to seek out knowledgeable answers from an experienced Atlanta wage-and-hour lawyer.

As a case in point, we can compare and contrast two cases regarding the compensability of time spent donning and removal of safety gear.

In the more recent unpaid hours dispute, the workers were a group of rig hands who worked for an oil company in Pennsylvania. As part of its set of safety rules, the employer required its rig hands to put on “flame-retardant coveralls, steel-toed boots, hard hats, safety glasses, gloves, and earplugs.”

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Sometimes, an unpaid overtime case is relatively straightforward. Other times, though, unpaid overtime cases can involve many layers and complexities, including issues like an employer’s potential immunity from liability. Whether you are an employee or an employer, it is crucially important to understand all of your rights and responsibilities under the overtime provisions of the Fair Labor Standards Act. If you have questions or concerns about those rights or responsibilities, you should seek out knowledgeable answers from an experienced Atlanta unpaid overtime lawyer.

If you’re suing a state agency, sovereign immunity may be an argument you encounter. A recent overtime dispute between the state’s Department of Public Safety (DPS) and state troopers highlights a situation where workers were able to overcome a state agency’s assertion of immunity.

R.J. was one of several hundred men and women hired as state troopers with the Georgia State Patrol between 2014 and 2020. The DPS requires all of its state troopers to attend (and graduate from) a mandatory “trooper school.”

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A recent unpaid overtime ruling, while not occurring here in Georgia, is potentially significant to workers and employers here who find themselves embroiled in a dispute regarding the applicability of an exemption to the overtime pay requirements of the Fair Labor Standards Act. The recent case involved the proper burden of proof for proving an overtime exemption. Things like that may sound minute to a layperson, but issues like burdens of proof can swing a success to a defeat or vice versa. Given all the legal details essential to presenting and winning an unpaid overtime case, as well as the high stakes involved, it is worth your while to seek out an experienced Atlanta unpaid overtime lawyer to represent you.

The employees were sales representatives working for a food products distributor. The representatives sued the employer for unpaid overtime in violation of the FLSA. The employer countered by asserting that the representatives fell within the “outside sales” exemption, which meant that the employer had no legal obligation to pay overtime compensation.

The workers went to trial in a Maryland federal court and won. The court concluded that the law required the employer to prove the application of the exemption by “clear and convincing evidence,” and that the distributor did not clear that hurdle.

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