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Ninth Circuit States Employers Must Include Cash-in-Lieu of Benefits Payments in Overtime Calculation

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All Employers with Alaska, Arizona, California, Hawaii, Idaho, Montana, Nevada, Oregon and Washington Employees

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June 2, 2016

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Offering a flexible benefits plan is an oft-cited tool for organizations to improve employee satisfaction, recruitment, and retention.  However, employers should be very careful when designing benefits plans that permit cash-in-lieu of payments, as the City of San Gabriel discovered in a recent case.

Sixth Circuit Sets Standard for Employer Constructive Knowledge of Overtime Hours Worked

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All Employers with Kentucky, Michigan, Ohio and Tennessee Employees

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May 19, 2016

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The Sixth Circuit recently stated in Craig v. Bridges Bros. Trucking LLC. that an employer has constructive knowledge of an employee working overtime if it would have discovered the overtime by “exercising reasonable diligence.”  The plaintiff, Donna Craig, was a bookkeeper for Bridges who processed payroll, including her own compensation.  Craig frequently worked over 40 hour weeks and recorded her hours worked in time sheets, including overtime.  However, Bridges only paid Craig overtime once.  Craig alleged that Bridges told her she was not eligible for overtime.  On the other hand, Bridges argued that Craig should have known she was eligible for overtime, and that the company was unaware that Craig worked overtime.

July Updates

New Federal Overtime Rules Mean Changes to Classification of Exempt Workers in All States

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All Employers

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December 1, 2016

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The U.S. Department of Labor (“DOL”) recently released the long-awaited Final Rule (“Rule”) changing overtime exemption requirements under the Fair Labor Standards Act (“FLSA”) affecting all states.  Employers need to review employee classifications for possible changes in preparation of the December 1, 2016 deadline.

U.S. Department of Labor Sweeps West Coast Fast Food Businesses for Pay Compliance

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All West Coast Employers Owning a Fast Food Franchise

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Immediately

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Investigators from the U.S. Department of Labor (DOL)’s Wage and Hour Division are sweeping fast food establishments on the west coast to ensure that proper minimum wage and overtime regulations are being observed. This investigation continues to focus on establishments located in California, Oregon and Washington.

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U.S. Dept. of Labor Publishes Proposed Revisions to FLSA Overtime Rules

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All Employers

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July 6, 2015

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After a months-long wait, the U.S. Department of Labor has published a Notice of Proposed Rulemaking (NPRM) regarding amendments to the Fair Labor Standards Act (FLSA) white collar overtime exemption rules. The NPRM was released on July 6, 2015, and outlines new exempt eligibility requirements.

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Labor Code Trumps Wage Order 5, Prompting Change in California Meal Periods

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All California Employers

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February 10, 2015

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There are a number of laws setting down rules on the length and timing of employee meal breaks. Thanks to a suit brought by three healthcare workers in Orange County, California, the provisions of Wage Order 5, set forth by the Industrial Welfare Commission (IWC), have been invalidated by the CA Labor Code Sections 512(a) and 516.

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