Category Archives: FLSA
Subscribe to FLSA RSS FeedDOL Rescinds Trump-Era Joint Employer Rule
Trump-Era Independent Contractor Rule Never to See Light of Day
Remember the Trump administration’s new rule for classifying workers as independent contractors? The one issued on January 6, 2021, only weeks before President Biden took office? The one that would have revised the U.S. Department of Labor’s test for determining worker status under the Fair Labor Standards Act to focus on two “core factors” (control … Continue Reading
DOL and Liquidated Damages: The Breakup Only Lasted 9 Months
On April 9, 2021, the U.S. Department of Labor (DOL) rescinded the Trump-era enforcement practice of abstaining from seeking liquidated damages in connection with pre-litigation investigations and settlements of wage and hour claims. In Field Assistance Bulletin No. 2021-2, issued by the Wage and Hour Division’s Principal Deputy Administrator, Jessica Looman, the agency announced that … Continue Reading
Business Groups Challenge Biden Administration’s Delay of Trump-era Independent Contractor Rule
Biden Administration Wage and Hour Update: 50 Days In…
We’re 50 days into the Biden administration. Here’s an update on where things stand with respect to wage and hour law at the federal level: On March 11, 2021, the U.S. Department of Labor’s Wage and Hour Division (WHD)—as expected—announced its proposals to rescind the Trump-era rules on independent contractor classification and joint employment. WHD’s … Continue Reading
DOL Takes First Step to Revisit Independent Contractor and Tip Rules
In accordance with the Biden administration’s January 20 regulatory freeze memorandum, the U.S Department of Labor issued proposals to delay the effective dates of the Final Rules on independent contractor classification and tip regulations by 60 days, to allow the agency “the opportunity to review and consider the questions of law, policy, and fact raised … Continue Reading
DOL Ends PAID Program
DOL Begins Withdrawal of Trump-Era Opinion Letters
Biden DOL Tosses Trump-Era “PRO Good Guidance Rule”
White House “Regulatory Freeze” Memo Dooms DOL Independent Contractor Rule
As expected, the White House issued a memorandum to the heads of all executive departments and agencies within the first few hours after President Biden’s inauguration on January 20, requesting that they halt all non-emergency rulemaking and regulatory activity pending review by the new administration. The memo asks the executive agencies, which include the U.S. … Continue Reading
DOL Issues Opinion Letters on Administrative Exemption and Ministerial Exception
The U.S. Department of Labor’s Wage and Hour Division (WHD) issued two new opinion letters on January 8, 2021, bringing the number of “lame duck” wage and hour opinion letters—issued since Election Day 2020—to six. In FLSA2021-1, WHD determined that account managers at a life sciences manufacturer qualify for the FLSA’s administrative exemption. The account … Continue Reading
Trump DOL Issues Two More “Lame Duck” Opinion Letters, on Home-to-Office Travel Time and Live-In Caregivers
On December 31, 2020, the U.S. Department of Labor’s Wage and Hour Division (WHD) issued two opinion letters—one on home-to-office travel time and one on live-in caregivers. Such “lame duck” opinion letters—issued post-Election Day when there is a change in both administration and political party—were at one point in recent memory quite uncommon. The Carter … Continue Reading
DOL’s New Opinion Letters Examine Rules on Voluntary Training Time, Travel Time
On November 3, 2020, the U.S. Department of Labor’s Wage and Hour Division (“WHD”) issued new opinion letters addressing the compensability of time spent by employees attending voluntary training programs and in work-related travel. The rules at issue only apply to non-exempt (e.g., overtime-eligible) employees. If the time is considered “hours worked” under the FLSA, … Continue Reading
DOL Proposes New Rule on Independent Contractor Classification
The U.S. Department of Labor (DOL) published a proposed rule in the Federal Register on September 25, 2020 to clarify whether a worker is or isn’t an independent contractor for purposes of the Fair Labor Standards Act (FLSA). The proposed rule adds a new Part 795 to Title 29 of the Code of Federal Regulations, … Continue Reading
Fifth Circuit Confirms Burden of Proof on Regular Rate Miscalculation Claim
On September 2, 2020, the Court of Appeals for the Fifth Circuit held that employees bear the burden of proof on whether bonuses should have been included in the regular rate of pay for purposes of calculating overtime compensation under the Fair Labor Standards Act (“FLSA”). The plaintiffs in Edwards v. 4JLJ, L.L.C. alleged that … Continue Reading
DOL Reiterates That Hours Need Not Fluctuate Above and Below 40 in Fluctuating Workweek Method of Pay
In an opinion letter issued on August 31, 2020, the U.S. Department of Labor restated its position that an employee’s hours need not fluctuate above and below 40 hours to qualify for the fluctuating workweek (“FWW”) method of calculating overtime pay in 29 C.F.R. § 778.114. Under the FWW method of pay, an overtime-eligible employee … Continue Reading
DOL Guidance Reminds Employers of Obligations to Track and Pay For Remote Work
On August 24, 2020, the U.S. Department of Labor’s Wage and Hour Division (“WHD”) issued a Field Assistance Bulletin (“FAB”) providing guidance on employers’ obligations under the Fair Labor Standards Act (“FLSA”) to track and pay for the hours of compensable work performed by employees who are working remotely. While timely in light of the … Continue Reading
DOL Releases Additional COVID-19 Guidance Related to FFCRA, FMLA and FLSA
As we have previously reported, the United States Department of Labor (DOL) continues to update its COVID-19 guidance. Most recently, on July 20, 2020, the DOL issued additional Q and A guidance related to COVID-19 and the Fair Labor Standards Act (FLSA), the Family and Medical Leave Act (FMLA), and the Families First Coronavirus Response … Continue Reading
DOL To Refrain From Seeking Liquidated Damages in Most Pre-Litigation Settlements
Effective July 1, 2020, the U.S. Department of Labor (DOL) will pull back on seeking liquidated damages in pre-litigation settlements of wage claims and investigations. The change in policy, announced in Field Assistance Bulletin 2020-2, is significant, as liquidated damages can equal 100% of the back pay deemed to be owing, potentially resulting in “double … Continue Reading
DOL Amends Regulation on “Fluctuating Workweek” Method of Pay
For almost 80 years, it has been the law that an overtime-eligible employee whose hours fluctuate from week to week and who agrees to receive a fixed weekly salary covering all hours of work is entitled to a halftime premium for hours worked in excess of 40 per week—not a “time and a half” premium. … Continue Reading
Pennsylvania Supreme Court: Fluctuating Workweek Method of Overtime Pay is Unlawful
Fewer Than 100 Days Until the New Overtime Rule Takes Effect: Is Your Company Ready?
On January 1, 2020, the new federal overtime rule takes effect. Other than in states with already-higher minimum salaries for exemption (which include California and, for certain types of employees, New York), employers will be required to pay most executive, administrative, and professional employees at least $684 per week ($35,568 per year). Are you ready for … Continue Reading
The New Federal Overtime Rule: What You Need to Know
The U.S. Department of Labor issued its final rule amending the overtime regulations today, without any significant changes from the proposed rule the agency issued in March 2019. Here’s the bottom line: The salary minimum for exemption as an executive, administrative, or professional employee will jump from $455 per week ($23,660 per year) to $684 … Continue Reading
