Under the Fair Labor Standards Act (FLSA), an exempt employee generally does not accrue overtime pay. That right rests with employees classified as non-exempt. Exempt employees often make a flat salary, but non-exempt employees usually receive their pay according to the number of hours they work.
Employment and wage laws are in place for the protection of workers and their rightful earnings. In an ideal world, these laws would ensure that workers are always treated fairly, but employers always have and probably always will look for loopholes that allow rules to be bent. One example of this is the misclassification of employees as independent contractors. If you suspect your employer may be guilty of this, consider the following four differences between the two types of workers.
The U.S. District Court for the Eastern District of Texas has ruled that a chef's overtime and retaliation lawsuit can proceed to trial. Although the chef had management duties where she worked, the chef's employer failed to demonstrate that she was exempt under the Fair Labor Standards Act. Under the FLSA, employees whose primary duty is management may be exempt from overtime compensation.
Salaried employees in Texas and throughout the country will have to wait to see if they will become eligible for overtime pay. Recently, a federal judge in Texas issued a relatively last-minute injunction blocking a new rule that would have applied to 4.2 million more salaried employees, making them eligible to receive time-and-a-half pay for overtime hours.
Here is an issue that comes up in overtime disputes, particularly in the restaurant industry:
Overtime and minimum-wage violations are more common than most people realize, and tipped workers can be especially vulnerable to this type of injustice.
According to Burford Capital, litigation financing could be worth using in employment lawsuits. This involves a lender financing the cost of pursuing legal action in exchange for a percentage of any award received. It may be most beneficial for those who may not otherwise convince an attorney to take a case that could take a long time to resolve.
Texas workers who feel they are wrongly classified as independent contractors may have won a victory following a decision by a federal district court involving a strip club dancer. The case involved a contract similar to those commonly signed by independent workers including limousine drivers, cable installers and truck drivers.
Are you a salaried employee? If so, you need to know about the new rule regarding overtime pay.
A Texas man has filed a lawsuit against his former employer, claiming that it violated the Fair Labor Standards Act by failing to pay him overtime wages. The suit was filed in the Sherman Division of the Eastern District of Texas on Aug. 2.