Articles Posted in Unpaid Overtime

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.

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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.

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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.

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Fair Labor Standards Act litigation matters, like most civil lawsuits, involve many decisions, including strategic ones. A party may make some decisions, such as settling despite their case’s perceived strength, simply because strategic considerations dictate that it is wise. The importance of wise decision-making in your FLSA lawsuit is one of the many areas where having representation provided by an experienced Atlanta wage and hour lawyer can provide invaluable benefits.

One example of this type of strategic decision-making involves certain lower-amount unpaid compensation cases. Sometimes, potential collateral costs—like paying the other side’s attorney’s fees—may be so substantial and the sum the employee seeks so comparatively small that those figures dictate tendering a full amount to the employee simply to avoid the risk of a major attorney’s fees expense.

A recent unpaid overtime case from Texas shows how an employer can use the mootness doctrine to its advantage in an FLSA case.

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When you pursue or defend an unpaid overtime case under the Fair Labor Standards Act, there are a lot of variables and uncertainties. One thing that is certain, in the wake of a recent U.S. Supreme Court ruling, is the standard of proof that applies when the dispute centers around exempt-versus-nonexempt classifications. Even with the court deeming that the less-rigorous burden applied, employers should be aware that proving the applicability of an exemption still requires substantial evidence and deep knowledge of the law. Ensuring you have the right Atlanta wage and hour lawyer on your side can make all the difference in clearing this evidentiary hurdle.

The recent Supreme Court case began in a Maryland federal court. A group of sales representatives sued their employer for unpaid overtime. The employer contended that it owed the representatives no overtime because they were exempt employees. (Specifically, the employer deemed the representatives covered by the FLSA’s “outside salesman” exemption.)

The trial court ruled in favor of the employees, concluding that the employer failed to show “by clear and convincing evidence” that the exemption applied. The 4th Circuit Court of Appeals upheld that decision.

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Some employees work at the same location, performing the same role every day. A lot of workers, however, do not. They may work for their employer in multiple locations and perform various roles. Employees in this latter category may be at an exceptionally high risk of suffering the harm of unpaid overtime compensation. When you work in different locations or perform different roles, it may be easier for your employer to fail to credit you for all your hours during a workweek and fail to pay overtime even though your total hours exceed 40. If you believe that your employer has illegally underpaid you in this (or any) manner, you owe it to yourself to contact an experienced Atlanta wage and hour lawyer and discuss your circumstances.

Last month, the U.S. Department of Labor’s Wage and Hour Division (WHD) recovered more than $145,000 in unpaid overtime compensation in a case that involved employees whose workweeks included duties at multiple locations.

After an investigation, the division concluded that the employer, which owned three Choice Hotels establishments in Helen, Georgia, engaged in misconduct that wrongfully denied overtime pay to nearly 100 of its housekeeping and front desk employees.

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As this blog discussed last week, most employers will vigorously litigate a lawsuit where an employee alleges a Fair Labor Standards Act violation. In the rare situations where the employer does not, something called a “default judgment” may be available to the worker. Even though you are not litigating against an actively participating defense, that does not mean success is automatic. You must clear challenging hurdles, which is why retaining a highly skilled Atlanta wage-and-hour lawyer is vital to getting the compensation you deserve.

Last week, we covered jurisdiction and venue issues in the case of a convenience store manager seeking payment for unpaid overtime. Establishing those, which the manager did, is not the only thing you must demonstrate for a judge to grant you a default judgment. You must also demonstrate several more elements specific to FLSA law. Specifically, you must show that you and the employer had an employee-employer relationship and are “covered” by the FLSA.

The woman’s allegation laid out employment as a non-exempt hourly employee at the convenience store from March 2021 to August 2022. Those assertions satisfied the court that the manager had pled an employee-employer relationship.

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An employer will usually vigorously litigate a lawsuit alleging that it violated the Fair Labor Standards Act. Sometimes, though, the employer will not act. The deadline for filing passed with no answer… no other pleadings… nothing. When that happens in an unpaid overtime lawsuit, the worker may pursue something called a “default judgment.” Viewing this circumstance as the equivalent of an “uncontested layup” in basketball can be tempting. However, just as a basketball player does not automatically get two points when he/she has an uncontested layup opportunity, a worker does not automatically get a judgment in his/her favor solely because the employer defaulted. There are ways to mess up, even when the other side fails to contest. Having a highly skilled Atlanta wage-and-hour lawyer on your side is one way to avoid falling victim to these procedural hurdles.

For example, we can look at a recent unpaid overtime case involving a convenience store manager who was a non-exempt employee.

One of the keys to turning a motion for default judgment into an actual default judgment is making sure your court pleadings are complete and sufficiently specific. In an unpaid overtime case, that means establishing, among other things, personal jurisdiction, subject matter jurisdiction, and venue.

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Millions of Americans commute to and from work every day. For many others, getting to work is more complex, involving extended travel and multi-day (or weeks-long) stays away from home. While the Fair Labor Standards Act does not include daily commuting to and from home among the hours for which employers must compensate employees, the rules are different when overnight stays are involved. These employment arrangements may create situations where travel time must be compensated. If you have questions about travel time and the FLSA, talk to a knowledgeable Atlanta wage-and-hour lawyer to get the accurate answers you need.

Recently, a federal appeals court in the Midwestern United States delved into this issue of travel time and the FLSA.

The employer in the lawsuit was an Indiana-based equipment installation company. Working for the company involved driving to client sites far from home. Employees would remain at their sites from a few days to several weeks. Other than per diems and mileage reimbursements, the employer did not compensate its employees for their travel time.

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Claiming “time of the essence” is a common marketing technique. Sellers use deadlines to create a sense of urgency and motivate buyers to act. In sales, a deadline may not be real; it may be merely an artificial tool to pique the customer’s emotions. In law, time really is of the essence in many settings, including matters involving Fair Labor Standards Act violations. A lawsuit filed after the statutory deadline is vulnerable to a motion to dismiss that will, barring special circumstances, likely end the case with no further litigation, no trial, and no award of damages. Whether you are a worker seeking to ensure a timely filing or an employer seeking to terminate a case that was filed too late, obtaining representation from an experienced Atlanta wage and hour lawyer can be an essential step en route to success.

Absent special circumstances, workers pursuing FLSA claims generally must file within either two or three years. If the worker has presented a willful violation of the law, then the law allows three years to bring that case. If the violation is not an allegedly willful one, the worker has only two years in which to sue. If you are the party seeking relief, filing after the limitations period has elapsed is potentially catastrophic to your case. Conversely, a filing that was outside the limitations period can be a huge boon if you are an employer facing an FLSA claim. In each scenario, a motion to dismiss can terminate the case right away.

A federal unpaid overtime case from Miami is a good illustration. Although not taking place in Georgia, the Miami parties were subject to the same set of requirements under the federal rules as parties to a federal lawsuit in Georgia would face, including satisfying the statute of limitations.

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