Unpaid Overtime

Bonuses, Regular Rates of Pay, and Ensuring FLSA Compliance When Calculating Overtime Compensation

August 25, 2025 | Parks, Chesin & Walbert

One area of wage-and-hour law where employers can easily run afoul of the Fair Labor Standards Act is overtime pay… or, more specifically, underpayment of overtime. If an employer does not correctly assess the forms of compensation that go into calculating a worker’s regular rate of pay, then that employer runs the risk of underpaying the worker when they earn overtime compensation. An experienced Atlanta wage and hour lawyer can help provide you with reliable answers to the overtime compensation questions you have.

A federal investigation of a North Georgia plastic fabrication company revealed one place where employers can go wrong: bonuses.

The U.S. Department of Labor’s Wage and Hour Division investigated a Gainesville-area employer whose records showed that more than 700 workers received overtime compensation sums that were less than what they were entitled to.

A Middle Georgia Employer Successfully Defeats Call Center Workers’ Request to Create a FLSA Collective Action

August 11, 2025 | Parks, Chesin & Walbert

A Fair Labor Standards Act collective action can be a powerful tool for workers. Similarly, employers may find it preferable to fight an individual action as opposed to a collective lawsuit. Whether you are a worker or an employer, it is beneficial to understand the standards the law erects for certifying FLSA collective actions and the factors that may help win (or defeat) certification. When taking on such a lawsuit, it is well worth your while to consult an experienced Atlanta collective action lawyer for advice about your situation.

The FLSA does not have class actions; it permits collective actions. Unlike other class actions, where all covered individuals are deemed a part of the class unless they opt out, FLSA collective actions work differently. In a collective action, putative members must affirmatively opt in, rather than having to opt out.

One of the most fundamental aspects of collective actions is similarity among the proposed members. In a nearby unpaid hours case involving a call center, that similarity was lacking, according to the Middle District of Georgia.

A Staffing Firm Must Pay $9 Million for Misclassifying Its 1,100 Nurses as Independent Contractors

July 31, 2025 | Parks, Chesin & Walbert

One of the more substantial mistakes a business can make is to misclassify employees as independent contractors. An employee whose employer erroneously labels them as an independent contractor may be denied health care insurance coverage, family leave, and unemployment protection. They may also be deprived of the right to receive a minimum wage and overtime compensation. The employer that makes this mistake runs the risk of paying thousands — or millions — in a civil action. In short, both employers and employees have reasons to want to “get it right” when it comes to correct classification, and getting advice from a knowledgeable Atlanta wage and hour lawyer can be crucial to achieving this objective.

A federal case that started in Virginia provides an example of how costly misclassification can be. The employer was a Virginia-based medical staffing company that provided nurses to healthcare facilities in that state and the surrounding areas. The workers were a group of nurses, nurse practitioners, and nursing assistants.

To receive assignments from the company, the entity required candidates to fill out an “application for employment.” That document identified the nurse as an “employee” and the company as the “employer.” If the nurse successfully completed the employment application process, they ultimately signed an “independent contractor agreement,” which included a 12-month non-compete clause.

How a New WHD Policy Impacts Employers’ Exposure to Paying Liquidated Damages in Pre-Litigation Investigations

July 18, 2025 | Parks, Chesin & Walbert

In any legal or administrative dispute, one of the most consequential decisions you must make is whether to settle with the other side or to litigate the dispute all the way to a judgment by a jury or judge. With each option comes particular potential benefits and drawbacks, which is why skilled legal representation matters so much. In your Fair Labor Standards Act case, a knowledgeable Atlanta wage and hour lawyer can be instrumental in identifying all of your possible upsides and risks and make a recommendation about the option that will best meet your needs.

In the context of civil lawsuits, one of the key benefits of settling early is the reduction of overall costs.

These calculations also play a role if your business is facing an investigation by the Labor Department’s Wage and Hour Division. In a new internal guidance bulletin, the division has announced that it will no longer seek liquidated damages in pre-litigation investigations.

Opting In, Opting Out, and the Differences Between Federal Class Actions and FLSA Collective Actions

May 30, 2025 | Parks, Chesin & Walbert

Recently, a Greene County employer found itself facing not one but two federal lawsuits related to its pay practices and overtime compensation. The pair of filings illustrates how misclassifying workers can have numerous, complex impacts, both on the employer being sued and on employees who must decide whether to join an existing Fair Labor Standards Act collective action or pursue a separate case. When making decisions as an employee about opting in or out, or as an employer defending these lawsuits, it is wise to consult with a knowledgeable Atlanta wage and hour lawyer who can offer essential advice about how best to proceed.

The Greensboro employer, M.S.G., was a project management consulting company that employed several engineers. Several of those engineers believed that the employer had underpaid them. Specifically, the engineers contended in a federal complaint that the employer had illegally misclassified them as overtime-exempt when, in fact, they were non-exempt and should have received time-and-a-half compensation for their overtime hours, whereas they actually received only their regular pay for those hours.

One of those Georgia engineers, R.S., sued in 2023. In June 2024, the federal District Court conditionally certified the case as an FLSA collective action.

The Salary Basis Requirement Within the EAP Exception… and How Even Highly Paid Workers May Be Entitled to Time-and-a-Half Overtime

May 23, 2025 | Parks, Chesin & Walbert

The rules the Fair Labor Standards Act sets up regarding time-and-a-half overtime compensation are often nuanced and can be complicated. Employers risk noncompliance when they fall into the trap of oversimplification. For example, paying a worker a large sum every week or month does not necessarily mean that the worker is exempt from overtime compensation. To ensure your (or your employer’s) pay practices are fully compliant, you should talk to an experienced Atlanta wage and hour lawyer.

A recent unpaid overtime case that began in neighboring Tennessee is a good example of how high earnings do not always equal exempt status for employees.

The case involved a professional pipe inspector. The inspector’s employer paid him a “guaranteed weekly salary” of $800 and an additional $100 per hour for each hour over eight he worked in a given week. The employer classified the inspector as salaried and did not pay him time-and-a-half overtime. That meant the inspector, who averaged 52 hours per week, received $100 per hour for all hours (and not $150 for hours 41 and above).

The FLSA’s Overtime Provisions and the ‘Motor Private Carrier’ Exemption

April 30, 2025 | Parks, Chesin & Walbert

The Fair Labor Standards Act established a broad right for workers to receive a minimum wage and overtime pay. The statute also has numerous exemptions to the right to overtime pay. While workers and employers are probably familiar with exemptions for executive, administrative, professional, computer, and outside sales employees, those are not the only ones. Identifying and understanding the breadth of all exemptions can be crucial to avoiding a FLSA violation. Talk to an experienced Atlanta wage and hour lawyer if you have any questions about FLSA exemptions or exempt versus nonexempt classifications.

In addition to the exemptions listed above, which Congress outlined in Section 13(a)(1) of the FLSA, further exemptions exist under Section 13(b)(1). Section 13(b)(1) exemptions pertain only to overtime compensation, whereas Section 13(a)(1) exemptions extend to overtime and minimum wage requirements. Examples of Section 13(b)(1) exemptions include individuals who work in the trucking, rail, and air carrier industries.

A recent unpaid overtime dispute from the federal courts focused on those Section 13(b)(1) exemptions. The employer was an entity that sold, delivered, and installed “screwpiles used in the construction of foundations.” The employees were a pair of welders. In addition to welding, welders were also responsible for “loading trailers, securing loads for transport, and inspecting trucks for safety items such as lights, tires, brakes, and horns.”

The Portal-to-Portal Act, ‘Integral and Indispensable’ Activities, and When Travel Time is Compensable Under Federal Law

April 24, 2025 | Parks, Chesin & Walbert

Employers and employees need to be aware of the requirements of the Fair Labor Standards Act. This allows workers to be sure they receive all the wages they deserve and permits employers to be confident that they are compliant with federal law. Whether you are a worker or an employer, if you have questions regarding the FLSA and related statutes (like the Portal-to-Portal Act), get reliable answers by seeking out the advice of an experienced Atlanta wage-and-hour lawyer.

One of the things the Portal-to-Portal Act requires for time to be compensable is that the activity was “integral and indispensable.” A recent unpaid overtime case from the 11th Circuit Court of Appeals provides a clear example of what it means to be “indispensable.”

The case involved the pay practices of a commercial plumbing company based in Alabama. The company had a shop in Shelby County that housed company-owned trucks, parts, and supplies. Although many plumbers stopped at the shop on their way to job sites, the employer followed a policy that employees’ compensable time started when they arrived at the job site, not when they arrived at the employer’s shop.

Worker Classification Under the FLSA and the Significance of Federal Income Tax Forms W-2 and 1099

April 16, 2025 | Parks, Chesin & Walbert

Whether you are an employer or an employee, it is essential to avoid misconceptions that can lead you down a fruitless path when it comes to the Fair Labor Standards Act. Falling victim to these can lead to mistakes regarding what sort of evidence you do need… and what won’t help. Having a knowledgeable Atlanta wage and hour lawyer on your side can be instrumental in avoiding these errors.

Today, we examine alleged worker misclassification under the FLSA and misconceptions about the significance of a worker’s income tax forms (1099 vs. W-2).

R.V. worked for a “mini casino” in Southwest Florida for five years. The casino classified R.V. as an independent contractor and, when they sent her income tax documents showing her annual earnings, they sent her a Form 1099.

The Rules of Jurisdiction and Deciding Where (and Who) to Sue in Your Georgia FLSA Case

April 9, 2025 | Parks, Chesin & Walbert

Succeeding in a Fair Labor Standards Act lawsuit involves many elements and decisions. For example, the employee who sues must make wise choices regarding who to sue and where to sue. Choosing imperfectly in these regards can leave the employee vulnerable to dismissal (and give employers a crucial tool to avoid litigating a case in a faraway location.) Whether you are an employee who has been denied compensation that complies with the law or you are an employer facing a potential FLSA lawsuit, an experienced Atlanta wage and hour lawyer can answer all your questions about court jurisdiction and FLSA lawsuits.

A recent unpaid overtime and minimum wage case from Athens, Georgia, illustrates how an employee’s flawed choices regarding where to file and whom to sue can lead to dismissal.

The employee was a truck driver for a trucking company based near Nashville, Tennessee. The trucker’s lawsuit alleged that the employer illegally classified him as an independent contractor rather than an employee. As a result, the driver’s compensation violated overtime and minimum wage laws, according to the suit.