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Dems Introduce Bills to Raise Salary Minimum for Overtime Exemption

By Allan Bloom on Posted in FLSA, Wage and Hour
Members of the House and Senate introduced companion bills on June 11, 2019 to amend the Fair Labor Standards Act to raise the minimum salary threshold for exempt executive, administrative, and professional (“EAP”) employees to north of $50,000 and to automatically update the threshold every three years. The “Restoring Overtime Pay Act of 2019” (H.R. … Continue Reading

U.S. Supreme Court Holds That Filing an EEOC Charge Is Not a Jurisdictional Requirement for Title VII Suits

By Evandro Gigante, Laura Fant and Arielle E. Kobetz on Posted in Discrimination, Harassment and Retaliation, Litigation and Arbitration
In a unanimous decision in Fort Bend County, Texas v. Davis, the United States Supreme Court held that while an employee has a mandatory obligation to file a charge with the EEOC prior to bringing a discrimination suit under Title VII, such obligation is a procedural, rather than jurisdictional, requirement.  The key takeaway for employers … Continue Reading

DOL Validates Independent Contractor Relationships in the On-Demand Marketplace

By Allan Bloom on Posted in FLSA, Wage and Hour
In an opinion letter issued April 29, 2019, the U.S. Department of Labor’s Wage and Hour Division concluded that a “virtual marketplace company” (“VMC”) that connects service providers with consumers is not the employer of the service providers.  The opinion should be a welcome one not only for VMCs and businesses in the “gig economy,” … Continue Reading

Proposed Overtime Rule Published; Public Comment Period Open Until May 21

By Allan Bloom on Posted in Wage and Hour
The U.S. Department of Labor’s proposed new overtime rule was published in the Federal Register today.  As described in our earlier post, the proposed new rule would: Raise the salary minimum for exemption as an executive, administrative, or professional employee to $679 per week ($35,308 per year). Allow employers to satisfy up to 10% of the … Continue Reading

Unboxing The Proposed New Federal Overtime Rule

By Allan Bloom on Posted in Wage and Hour
It’s here.  The U.S. Department of Labor’s Wage and Hour Division unveiled its proposed new overtime rule today.  We skipped the 200-plus pages of preamble and jumped right to the proposed regulatory amendments themselves (we’ll digest the prefatory materials in another post).  Here’s the deal: The salary minimum for exemption as an executive, administrative, or … Continue Reading

Moonlighting Police Officers Are Employees, Not Independent Contractors, Says Sixth Circuit

By Allan Bloom on Posted in Wage and Hour
In yet another legal development calling into question a traditional independent contractor relationship in the U.S., the Court of Appeals for the Sixth Circuit determined that off-duty police officers were employees of a private security company for purposes of the Fair Labor Standards Act.  In Acosta v. Off Duty Police Services, Inc. (6th Cir. Feb. … Continue Reading

[Podcast]: Recent Developments in Federal Overtime Rules

By Harris Mufson and Allan Bloom on Posted in The Proskauer Brief Podcast, Wage and Hour
In this episode of The Proskauer Brief, senior counsel Harris Mufson and partner Allan Bloom discuss recent developments in federal overtime rules.  The Trump administration recently released its fall 2018 regulatory agenda, with lots of information relating to the Department of Labor (DOL). The DOL appears to be committed to a more business-friendly regulatory framework … Continue Reading

Federal Regulatory Agenda Previews Anticipated FLSA Rule Changes

By Allan Bloom on Posted in Wage and Hour
The Trump Administration unveiled its Fall 2018 Unified Agenda of Regulatory and Deregulatory Actions (the “Regulatory Agenda”) earlier this week.  That’s the biannual report from the federal administrative agencies on the regulatory actions they plan to take in the near and long term. Lots of juicy information in the Regulatory Agenda, but we’ll focus on … Continue Reading

New Federal Tip Rules Expected in October 2018

By Allan Bloom on Posted in Uncategorized
Since 1966, Section 3(m) of the Fair Labor Standards Act permits an employer to take a tip credit toward its minimum wage obligation for tipped employees equal to the difference between the required cash wage (currently $2.13) and the federal minimum wage (currently $7.25).  Employers using the tip credit must be able to show that … Continue Reading

Trump’s Fall Regulatory Agenda Pegs March 2019 For Proposed New Overtime Rule

By Allan Bloom on Posted in Uncategorized, Wage and Hour
In its Fall 2018 Unified Agenda of Regulatory and Deregulatory Actions, published today, the Trump Administration formally announced its intention to issue a Notice of Proposed Rulemaking (NPRM) in March 2019 “to determine the appropriate salary level for exemption of executive, administrative and professional employees.”  See our earlier post for what to expect in the proposed new rule.… Continue Reading

New Federal Overtime Rule Expected in March 2019 

By Allan Bloom on Posted in Wage and Hour
It doesn’t seem that long ago that employers were busily preparing for the new overtime rule that would have doubled the minimum salary level for the “white collar” exemptions from $23,660 to nearly $48,000.  That new rule—finalized in May 2016 and set to take effect on December 1 of that year—was struck down by a … Continue Reading

Proskauer Delivers #MeToo Webinar With EEOC Commissioner Feldblum

By Steven J. Pearlman and Danielle J. Moss on Posted in Discrimination, Harassment and Retaliation, Workplace Policies and Procedures
EEOC sealOn September 5th, Proskauer partner Steve Pearlman had the honor of delivering a webinar with EEOC Commissioner Chai Feldblum, which Proskauer senior associate Danielle Moss moderated.  Commissioner Feldblum is the co-author of the EEOC’s report on rebooting harassment prevention. The webinar focused on how the #MeToo movement has impacted workplace dynamics and discussed innovative solutions … Continue Reading

Second Circuit, Relying on SCOTUS Instruction, Rejects “Narrow Construction” Principle for FLSA Exemptions

By Allan Bloom on Posted in Wage and Hour
In two decisions issued on September 19, the Second Circuit relied on the Supreme Court’s instruction in Encino Motorcars, LLC v. Navarro, 138 S. Ct. 1134, 1140 (April 2, 2018) that FLSA exemptions are not to be construed narrowly, but fairly. In Munoz-Gonzalez v. D.C. Limousine Service, Inc., analyzing the taxicab exemption in Section 13(b)(17) of … Continue Reading

Wage and Hour Considerations During Weather-Related Emergencies

By Allan Bloom on Posted in Wage and Hour
Business disruptions stemming from natural disasters – whether a hurricane, snowstorm, wildfire or other emergency – raise important questions for employers. We want to take this opportunity to share insight on the frequently asked questions that our clients face in the wake of natural disasters. The following scenarios shed light on employer rights and responsibilities … Continue Reading

DOL Issues Four New FLSA Opinion Letters

By Allan Bloom on Posted in Wage and Hour
Summer’s not over yet!  On August 28, 2018, the U.S. Department of Labor issued four new letters in response to requests for opinions under the Fair Labor Standards Act.  In this most recent slate of letters, the DOL offers guidance on compensable time, the retail sales exemption, volunteers, and the motion picture theater exemption. Compensable … Continue Reading

Supreme Court Rules in Favor of Employers in Upholding Arbitration Agreements Containing Class Action Waivers

By Mark W. Batten, Allan Bloom and Travis Hall on Posted in Class/Collective Action, Litigation and Arbitration
On May 21, 2018, the Supreme Court of the United States ruled in Epic Systems Corp. v. Lewis that employers can require employees to arbitrate disputes with the employer individually and waive their right to pursue or participate in class or collective actions against their employer. Ruling 5-4 in favor of an employer’s right to … Continue Reading

SCOTUS:  Employers Can Compel Individual Arbitration of Wage and Hour Claims

By Allan Bloom and Mark W. Batten on Posted in Wage and Hour
  In its eagerly-awaited opinion in Epic Systems Corp. v. Lewis, the U.S. Supreme Court held on May 21 that class action waivers in arbitration agreements between employers and employees do not violate the National Labor Relations Act.  The opinion resolves a split among federal circuits, and reiterates—once again—the strong federal policy favoring arbitration. While … Continue Reading

California Changes Rules on Independent Contractors

By Allan Bloom on Posted in Wage and Hour
As reported by my colleagues in Proskauer’s California Employment Law Update, the Supreme Court of California established new rules on April 30, 2018 for determining whether a worker is an independent contractor or an employee for purposes of California’s Industrial Welfare Commission (IWC) Wage Orders.  The Wage Orders set forth California’s requirements for minimum wage, … Continue Reading

DOJ Announces First Settlement Under Trump Administration Regarding “No-Poach” Agreement

By Lloyd B. Chinn, Colin Kass, Laura Fant and Myra Din on Posted in Hiring/Background Checks, Non-Competes and Protection of Corporate Assets
On April 3, 2018, the Antitrust Division of the U.S Department of Justice (“DOJ”) announced that it had reached a settlement in a matter involving a “no-poaching” agreement between employers—the first such enforcement action under the Trump Administration.  The DOJ’s pursuit of the matter reflects the Department’s continuing scrutiny of employment and hiring agreements between … Continue Reading

DOL Clarifies Pay Rules for FMLA-Related Breaks

By Allan Bloom on Posted in Wage and Hour
In an opinion letter issued on April 12, 2018, the U.S. Department of Labor concluded that 15-minute breaks throughout the day required by an employee’s serious health condition are not compensable—notwithstanding the general rule that breaks of 20 minutes or less are to be paid.  The agency explained the exception as follows: [R]est breaks up … Continue Reading

DOL Clears Up Travel Time Issue For Employees With No “Normal Working Hours”

By Allan Bloom on Posted in Wage and Hour
The rules on what kinds of travel time are (and are not) compensable for non-exempt employees are complex.  As opposed to exempt employees—who generally receive a salary intended to compensate them for all working time, including time spent in business-related travel—non-exempt employees are often only paid for the particular hours that the law deems compensable.  … Continue Reading

States’ Attorneys General Throw Shade on USDOL’s “PAID” Program

By Allan Bloom on Posted in Wage and Hour
Last month, we discussed some serious concerns about the efficacy of the U.S. Department of Labor’s “PAID” program, under which employers can self-report wage and hour violations to the federal agency and negotiate a seeming resolution of potential claims.  Chief among our concerns was that the resolution would not extend to state law claims, leaving … Continue Reading
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