FLSA

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Seyfarth Synopsis: The Seventh Circuit has joined the Fifth and Sixth Circuits in establishing a higher bar for employees to clear before courts may authorize “notice” to potential members of an FLSA collective action. Although the Seventh Circuit declined to adopt either the Swales or Clark standards, employers now will be given an opportunity to demonstrate, through their own…

Continue Reading For Richards And Not For Poorer: Employers in the Seventh Circuit Get Reprieve From Unfair FLSA Collective Certification Standard

Seyfarth Synopsis: The DOL’s Wage and Hour Division just scrapped its policy of seeking liquidated damages (double damages) in FLSA investigations. Why? Because it probably didn’t have the statutory authority in the first place, and doing so slowed down resolutions. Going forward WHD investigators are no longer allowed to demand liquidated damages in administrative settlements.

The U.S. DOL‘s Wage and…

Continue Reading WHD Makes it Clear: Double Damages are (Liqui)Dated

Seyfarth Synopsis: Advancing the trend of courts unwilling to rubber stamp the conditional certification of FLSA collective actions, Publix developed an early record of evidence that—when properly scrutinized—warranted the denial of collective certification in a case brought by five alleged representative plaintiffs claiming that they and thousands of others worked off-the-clock in violation of policies expressly prohibiting it. This hallmark…

Continue Reading The Facts Matter: Publix Defeats Certification of Off-The-Clock Assistant Manager Claims

Seyfarth Synopsis: In March 2024, the Sixth Circuit in Parker v. Battle Creek Pizza, Inc. announced a new standard for assessing vehicle reimbursements under the FLSA. The Sixth Circuit rejected both employees’ requests for the use of the IRS rate and employers’ use of a reasonable approximation of expenses, instead requiring the use of actual expenses. A recent decision from…

Continue Reading Taking a Slice Out of Parker: District Court Rejects Sixth Circuit’s Reimbursement Standard for Pizza Delivery Drivers

Seyfarth Synopsis: As reported by Seyfarth, the Fifth Circuit’s January 2021 decision in Swales v. KLLM Transport Services, LLC and the Sixth Circuit’s May 2023 decision in Clark v. A&L Homecare and Training Center, et al. represent significant shifts in the standard for court-authorized notice in Fair Labor Standards Act collective actions. Last week, the Eastern District of Wisconsin followed…

Continue Reading From Leniency to Scrutiny: The New FLSA Certification Landscape

The rules governing the employment relationship are always changing. Laws creating new employer obligations, technology solutions making work more efficient and more complicated, and rules governing the resolution of disputes between employers and their workers are around every corner. Wage and Hour Around the Corner is a new blog series for employers, in-house lawyers, and HR, payroll, and compensation, that…

Continue Reading Wage and Hour Around the Corner: DOL Issues Guidance on Wage-Hour Risk Posed by Artificial Intelligence

Seyfarth Synopsis: While reversing a grant of summary judgment in favor of an employer based on the de minimis doctrine, the Ninth Circuit held that the doctrine still can apply under the FLSA.

As readers of this blog, and particularly fans of The Princess Bride, know well, the de minimis doctrine is considered by many to be “mostly dead”…

Continue Reading The De Minimis Doctrine Lives to Fight Another Day

By: Alison Silveira and Lilah Wylde

The rules governing the employment relationship are always changing. Laws creating new employer obligations, technology solutions making work more efficient and more complicated, and rules governing the resolution of disputes between employers and their workers are around every corner. Wage and Hour Around the Corner is a new blog series for employers, in-house lawyers…

Continue Reading Wage and Hour Around the Corner: Game, Set,… and On to the Match: Third Circuit Breaks Precedent, Recognizing That Collegiate Athletes May Assert a Claim Under the FLSA

Seyfarth Synopsis: The DOL’s revised overtime exemption rule takes effect today, July 1, 2024. While several lawsuits are challenging the rule, a last-minute injunction was ultimately granted for only one employer: the State of Texas. The rule is in effect for all other businesses, including businesses in Texas.

In April 2024, the U.S. Department of Labor published its…

Continue Reading Injunction Party of One: New OT Rule Takes Effect for All Employers…Except the State of Texas
Water droplet in shallow tank
Terry Vlisidis, Unsplash

By: Kevin M. Young

Seyfarth Synopsis: With the DOL’s new overtime exemption rule weeks from taking effect, employers must consider the impacts of reclassifying exempt employees. Some potential impacts are obvious, others not so much. Proactive, thoughtful planning is key for employers to navigate these waters for their business and impacted employees alike.

With the U.S. DOL’s final overtime exemption…

Continue Reading Ripples in the OT Waters: Considering the Downstream Effects of Reclassifying Exempt Employees