Recent Blog Posts
- U.S. Department of Labor Issues Opinion Letters on the Retail or Service Establishment, Highly Compensated Employee, and Professional Exemptions, as Well as Vehicle Reimbursements and Fluctuating Workweek Continue Reading… At the end of August, the U.S. Department of Labor’s Wage and Hour Division (“WHD”) issued four new opinion letters addressing various issues arising under the Fair Labor Standards Act (“FLSA”). The topics covered include the retail or service establishment, highly compensated employee, and professional exemptions; reimbursing non-exempt employees for required use of a personal vehicle; and the fluctuating workweek method of calculating overtime pay. These opinion letters offer a helpful overview of key FLSA principles and may answer fact-specific... More
- U.S. Department of Labor Issues Opinion Letters on the Outside Sales, Administrative, and 7(i) Exemptions, as Well as the Status of Third-Party Payments as Wages Continue Reading… While the COVID-19 pandemic remains a challenge to employers nationwide, the U.S. Department of Labor’s Wage and Hour Division (“WHD”) continues to field non-COVID-related wage and hour questions. On June 25, 2020, the WHD issued five new opinion letters addressing the outside sales, administrative, and retail or service establishment exemptions under the Fair Labor Standards Act (“FLSA”), as well as the relationship between third-party payments to workers and the FLSA’s minimum wage requirement. Employers should take note of these useful... More
- Are COVID-19 Temperature Screenings Compensable Time for Non-Exempt Employees? Continue Reading… As states across the country start to reopen their economies after COVID-19 shutdowns, many businesses are likewise preparing to have employees return to work.
However, before reopening, businesses will need to comply with numerous state and local protocols designed to ensure the health and safety of employees and consumers, including social distancing, maximum occupancy and one-way flow.
Even if not required, many employers are instituting employee temperature checks upon arrival at the workplace. While the U.S. Equal Employment Opportunity Commission recently endorsed... More
- The “Tele-Summer Job” Season – 5 Considerations for Employers Continue Reading… With summer rapidly approaching and COVID-19 shelter-in-place orders still in effect, many companies face an important and difficult decision of canceling this year’s summer programs, delaying start dates or conducting programs virtually. This ultimately will be a business decision with no one-size-fits-all answer.
A good first step is to assess whether the influx of new summer workers will help or hinder current operations. Are temporary summer interns a boost to productivity or a drag on experienced employees who may be called... More
- Time Is Money: A Quick Wage-Hour Tip on … the De Minimis Principle Continue Reading… Generally, the Fair Labor Standards Act (“FLSA”) requires employers to compensate their non-exempt employees for all time that they are required or allowed to perform work, regardless of where and when the work is done. However, an exception exists for small amounts of time that are otherwise compensable work time but challenging to record, otherwise known as the de minimis doctrine. Of course, the million-dollar question is how much time is considered de minimis. Unfortunately, there is no bright-line rule... More
- Wondering How to Retain Employees Without Going Bankrupt During the COVID-19 Crisis? Independent Contractor Reclassification Is Not the Answer Continue Reading… Due to the COVID-19 pandemic and the resulting shelter-in-place and related orders, many businesses across America have already shuttered, while others are on the brink of collapse. In these challenging times, businesses are understandably considering any and all potential solutions to keep their employees on payroll while remaining solvent. Some employers have even been considering converting their W-2 employees to 1099 independent contractors. The surface appeal is simple, which is that employers can avoid employment taxes, benefit costs, and overtime... More
- U.S. Department of Labor Issues New Opinion Letters Clarifying Regular Rate Principles Continue Reading… In addition to its recent, exigent responsibility of preparing guidance on the protections and relief offered by the Families First Coronavirus Response Act, the U.S. Department of Labor’s Wage and Hour Division (“WHD”) has issued three new opinion letters addressing the excludability of certain types of payments from the regular rate of pay under the Fair Labor Standards Act (“FLSA”). While these opinion letters do not tread new ground, they are useful reminders of important regular rate principles and merit... More
- Work from Home Policies During COVID-19: Limiting Non-Exempt Employee Compensation for Waiting Time and On-Call Time Continue Reading… Given the number of states that have already ordered the closure of non-essential businesses due to the COVID-19 pandemic, employers fortunate to remain operational are likely dealing with the myriad challenges of a remote workforce.
As we previously wrote here, employers with work-from-home (“WFH”) policies in place need to make sure they are appropriately compensating their workers and are otherwise complying with all applicable federal, state, and local wage and hour laws.
In the WFH context, the related wage and hour concepts... More
- COVID-19, Work-from-Home Policies, and Maintaining Wage and Hour Compliance Continue Reading… As the number of U.S. states reporting cases of COVID-19 coronavirus increases, many employers are imposing mandatory work from home (“WFH”) policies to mitigate risk of contamination and ensure business continuity. Some employers are requiring employees who have travelled to or received visitors from mainland China (or other areas with high infection rates) and those with fever or other flu-like symptoms to remain at home for 14 days, while others are instructing half or more, up to their entire workforce,... More
- The New Year Brings New Guidance on FLSA Issues from the U.S. Department of Labor Continue Reading… In its first installment of opinions letters in 2020, the U.S. Department of Labor’s Wage and Hour Division (“WHD”) addressed two issues under the Fair Labor Standards Act (“FLSA”): (i) the salary basis requirements in the context of per-project compensation arrangements and (ii) calculation of overtime pay for employees who receive nondiscretionary lump-sum bonus payments earned over time and not tied to a specific period. (A third letter, FMLA2020-1-A, considered FMLA requirements vis-à-vis public employees.) While neither of these FLSA... More