Authored By Alex Passantino

As we’ve reported previously, among the items the Department of Labor identified earlier this year in its Regulatory Agenda was a Notice of Proposed Rulemaking (NPRM) seeking to rescind portions of a 2011 rule that restricted tip pooling for employers who do not use the tip credit to satisfy their minimum wage obligations. On October
Continue Reading Tip Credit Rule to White House

Co-authored by Abigail Cahak and Noah Finkel

Seyfarth Synopsis: The Ninth Circuit has created a circuit split by rejecting the DOL’s interpretation of FLSA regulations on use of the tip credit to pay regularly tipped employees, finding that the interpretation is both inconsistent with the regulation and attempts to create a de facto new regulation.

The Ninth Circuit Court of
Continue Reading Ninth Circuit Cooks Up Rejection of Servers’ Claims and Sends DOL’s 20% Tip Credit Rule Back to the Kitchen, Creating Circuit Split

Authored by Alex Passantino

In the second bit of wage hour news today, and in advance of Secretary Acosta’s hearing before a Senate Appropriations subcommittee, the Department of Labor announced the return of opinion letters. In 2010, the Obama Administration had eliminated the long-standing practice of issuing opinion letters in favor of Administrator Interpretations.

The Department’s announcement allows the
Continue Reading They’re Back … DOL Announces the Return of Opinion Letters

Authored by Alex Passantino

As we blogged last year, the President’s Executive Order establishing a minimum wage for certain federal contractor employees requires that the minimum wage be adjusted on an annual basis. In the September 16, 2015 Federal Register, the Department of Labor’s Wage & Hour Division will announce that the wage rate will increase from $10.10 per
Continue Reading Federal Contractor Minimum Wage to Increase

Co-authored by Robert S. Whitman and Adam J. Smiley

Last week, this blog reported on the guidance from the Department of Labor (DOL) regarding the classification of independent contractors under the FLSA. The 15-page Administrator’s Interpretation (AI) seeks to restrict the use of independent contractors by reading the FLSA’s definition of “employ” as broadly as possible and by tightening the
Continue Reading DOL Independent Contractor Guidance Targets “On-Demand” Companies

Co-authored by Richard Alfred, Alex Passantino, Patrick Bannon, and Adam Smiley

Today, the U.S. Department of Labor’s Wage and Hour Division (WHD) issued its first Administrator’s Interpretation (AI) on the Fair Labor Standards Act (FLSA) in more than a year. As the Administrator, Dr. David Weil, had forecast in a speech last month, today’s AI discusses the
Continue Reading DOL Issues Guidance On Independent Contractor Classification Interpreting FLSA Broadly to Cover Most Workers as Employees

Authored by Kevin Fritz

“Erroneous”
“Vindictive”
“Indefensible”
“Disruptive”
“Debacle”
“Belligerent”
“Botched”
“Dubious”

. . . and these words are only from the first seven pages of the opinion.

The Fifth Circuit Court of Appeals recently slammed the United States Department of Labor with a finding of abusive conduct and ordered an award of significant monetary sanctions for bad faith, harassment,
Continue Reading Fifth Circuit Fires at the Department of Labor with Colorful, Precedential Prose

Authored by Alex Passantino

According to a blog post by Secretary Perez, the Department of Labor has submitted its proposed rule to OMB for review.  Typically, OMB review takes 30 to 60 days (or longer).  On this timetable, DOL still may hit its most recent target of “Spring” for publication of a proposed rule.

While at OMB, the
Continue Reading Overtime Exemption Rule to OMB

Co-authored by Lynn Kappelman, Timothy Haley, and Karla E. Sanchez

Recently, we learned that the Department of Labor’s Wage & Hour Division has launched a sweeping FLSA compliance review focused on major retailers who employ janitorial workers. As part of that initiative, WHD has visited multiple retailer locations and has interviewed location management and janitorial employees. WHD has
Continue Reading The Department of Labor Investigates Retailers’ Relationships with Janitors

Authored by Alex Passantino

In a post today on the U.S. Department of Labor’s blog, WHD Administrator, Dr. David Weil, announced that WHD recovered more than $240 million in back wages for more than 270,000 workers in FY2014. This recovery was slightly down from FY2013’s $249 million. Since 2009, WHD has recovered more than $1.3 billion as a
Continue Reading WHD Recovers $240 Million for More Than 270,000 Workers