From meal breaks to bonuses, employers in the healthcare industry manage one of the most complex workforces. They also face a spectrum of competing federal and state laws and regulations regarding employees’ wages and hours.
Articles about the federal Fair Labor Standards Act (FLSA) an other topics related to wage and hours issues.
2024 Wage and Hour Developments: A Year in Review
It’s a new year. A new administration. And an uncertain wage and hour terrain. As we watch for what lies ahead, we start with a look back at wage and hour developments in 2024, and where things stand now. Click here to download the 2024 Wage and Hour Developments: A Year in Review.
Fifth Circuit Upholds Minimum Wage Rate for Federal Contractors
The Fifth Circuit Court of Appeals recently found the Biden administration operated within its authority when it raised the minimum wage for federal contractors to $15 per hour in 2022. This represents a relatively rare win for Biden administration policies in the Fifth Circuit, which has jurisdiction in Louisiana, Mississippi,
Seventh Circuit Clarifies Plaintiffs’ Evidentiary Burden in FLSA Cases
In Osborn v. JAB Management Services, Inc., No. 24-1573 (January 22, 2025), the U.S. Court of Appeals for the Seventh Circuit affirmed a district court’s entry of summary judgment in favor of an employer on a former employee’s overtime claims under the Fair Labor Standards Act (FLSA), finding her testimony
IRS Updates Guidance on Section 530 and Worker Status Issues
IRS Revenue Ruling 2025-3 addresses employment classification disputes for employment tax purposes in five different factual situations. This ruling is specifically concerned with Section 530 of the Revenue Act of 1978, which provides relief to certain taxpayers involved in such disputes.
The Burden of Proof for Wage-Hour Claims
The U.S. Supreme Court recently issued an interesting employment law decision, E.M.D. Sales, Inc., et al. v. Carrera. As with the California Wage Orders and Labor Code, the FLSA contains several overtime exemptions. It is the
Supreme Court Clarifies Standard of Proof for FLSA Exemptions
The U.S. Supreme Court unanimously ruled last week that employers do not face an unusually high standard to prove exemptions under wage and overtime laws, ending the Fourth Circuit’s stricter approach for employers in five Southeastern and mid-Atlantic states.
Low-Cost Meals, High-Cost FLSA Mistakes: Lessons From the DOL’s Fining of a Minnesota Pizza Restaurant for Wage and Hour Failures
In December 2024, the U.S. Department of Labor (DOL) fined a Minneapolis pizza restaurant for numerous wage and hour violations.
DOL Clarifies That Managers and Supervisors Can’t Wear Two Hats When It Comes to Tips
On January 14, 2025, the U.S. Department of Labor (DOL) issued Opinion Letter FLSA2025-1 pertaining to managers’ participation in a tip pool at a “quick service restaurant.” In the letter, the DOL reiterates its position, which was published in a final rule in September 2021, that managers and supervisors cannot
High Court Reaffirms Preponderance-of-the-Evidence Standard for FLSA Overtime Exemptions
On January 15, 2025, the U.S. Supreme Court ruled that disputes over the applicability of overtime exemptions under the Fair Labor Standards Act (FLSA) are governed by the preponderance-of-the-evidence standard. In so doing, the Court rejected the heightened “clear and convincing” level of proof that the Fourth Circuit had required
Sixth Circuit Rules Jury Must Decide if FLSA Violations Were Willful
On December 23, 2024, the U.S. Court of Appeals for the Sixth Circuit ruled in Su v. KDE Equine, LLC that whether an employer willfully violated the Fair Labor Standards Act (FLSA) is a fact question best left to the jury. The unanimous Sixth Circuit panel vacated the U.S. District
SCOTUS Resolves Circuit Dispute on FLSA Evidence Standards, Clarifying Lower Evidentiary Burden for Employers
In a unanimous decision issued on January 15, 2025, the Supreme Court of the United States ruled that the “preponderance of evidence” standard applies to employers seeking to prove an employee exemption from overtime pay under the Fair Labor Standards Act (FLSA).
The Year Ahead 2025: Wage and Hour Considerations
While many anticipate a more business-friendly administration, the appointment of a seemingly pro-labor Republican as Labor Secretary and President Trump’s populist instincts could make it hard to predict what the year ahead will bring for wage and hour law.
Back to the Future for Core Wage + Hour Concerns
“A corollary to the populist instincts of president-to-be Trump [i.e., his possible support for some increase to the federal minimum wage] is this issue about removing taxes on tips. This is something that could certainly happen in 2025 — and it would be the most important effect on the wage and hour practice in the entire time I have been practicing in this area.”
Employers Need Only Use ‘Preponderance of Evidence’ Test to Show Workers Are Exempt From FLSA, Supreme Court Rules
On January 15, 2025, the Supreme Court of the United States held that employers need only demonstrate that an employee is exempt from the minimum wage and overtime requirements of the Fair Labor Standards Act (FLSA) by a preponderance of the evidence, rejecting a higher evidentiary standard used by some