Salary Basis

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By Andrew Scroggins and Kerry Friedrichs

Seyfarth Synopsis: Employers around the globe are feeling the impact of coronavirus (COVID-19). Before reducing hours or pay to address health or economic concerns, employers should take heed of federal and state wage-hour laws.

As coronavirus continues to spread around the globe, its economic effects have grown more far-reaching. Some companies are confronting …
Continue Reading If Your Remedy For Workplace Coronavirus Issues Affects Pay, Don’t Compound The Harm With A Wage Law Violation

By: Kyle Petersen and Ariel Fenster

Seyfarth Synopsis: A recent decision by the Southern District of New York clarifies common questions arising from the use of the fixed salary for a fluctuating workweek method of compensation (the “FWW”): (1) Do isolated pay deductions undermine the fixed salary requirement; (2) Must the employee’s hours fluctuate above and below 40 hours; and …
Continue Reading Fixed Salaries, Fluctuating Hours, and Beyond: A Federal Court Addresses Common Questions About the Fluctuating Work Week Method of Compensation

Co-authored by Kyle A. Petersen and Molly C. Mooney

Seyfarth Synopsis: If Congress fails to pass a long-term funding bill, we could be facing a federal government shutdown with no money flowing to fund non-essential services. While it seems the crisis may be averted for now — with a short-term spending bill that would keep the lights on for another …
Continue Reading Budget Blues: Planning for a Possible Government Shutdown

Authored by Alex Passantino

‘Twas the week before Christmas, 2-0-1-5
When the poetry elves on the blog came alive.
Crafting their rhymes with a purpose so clear:
Presenting the wage-hour gems of the year.

In January, for new regs in this year our breath bated.
Then for six painful months, we speculated and waited.
And just as…
Continue Reading I’m Dreaming of a White Collar: 2015 Year in Review

Authored by Alex Passantino 

As Juno prepares to pummel the Northeast with snow, employers should prepare for any weather-related closures of their offices, factories, or other facilities.  The effect of a weather-related closure on compensation requirements varies for different types of employees and also varies by state.

EXEMPT EMPLOYEES

Most employees who are exempt from federal overtime requirements and paid…
Continue Reading Juno How to Pay When Your Facilities Close for Weather-Related Reasons?

Authored by Alex Passantino

As we expected when we reported on this yesterday, President Obama today signed a Presidential memorandum directing the Secretary of Labor to “restore the common sense principles” related to overtime.  In his remarks, President Obama focused on his belief that overtime protections have “eroded,” that “if you work more, you should be paid more,” and that…
Continue Reading President Directs Secretary of Labor to Begin the Regulatory Process

Authored by Alex Passantino

Today, the New York Times reported that the Obama Administration intends to propose comprehensive changes to the Fair Labor Standards Act’s most significant exemptions — the exemptions for executive, administrative, and professional employees.  

Although the details are still fuzzy, it appears — as we suggested last week — that the Administration will seek to raise the…
Continue Reading Exempt No More? DOL to Propose Sweeping Changes to White Collar Exemptions

Co-authored by Meredith Bailey and Alex Passantino

Early this morning, President Obama signed legislation ending the sixteen-day federal government shutdown and returning hundreds of thousands of federal employees back to work.  The end of the shutdown also prompts the welcome return of many private sector employees by employers ready to resume operations.  Employers are reminded that special considerations may accompany…
Continue Reading Back to “Basis”: Beware the FLSA’s “Salary Basis” Requirement For Returning Exempt Employees

Authored by Ed Bergmann

Last Friday, the Fourth Circuit issued an unpublished per curiam decision in Kulish v. Rite Aid Corporation and Eckerd Corporation [here], which affirmed a decision by the District of Maryland [here] that took a practical approach to the “salary basis” requirement for white-collar exempt employees.  The FLSA’s salary basis regulations require most…
Continue Reading No Salary-Basis Side Effects for Rite Aid’s Time-Off Prescription

SDNYBy Robert S. Whitman and Howard M. Wexler

If an employee is erroneously misclassified as exempt, she is entitled to recover any unpaid overtime at the rate of time-and-a-half for all hours over 40.  Right?

Wrong, according to a welcome decision (here) from Judge J. Paul Oetken of the Southern District of New York.   The decision confirms what…
Continue Reading Half-Time: Not Just for Football Bathroom Breaks Anymore