As most employers (hopefully) know, the U.S. Department of Labor issued a final rule that will significantly increase the salary threshold for the exemptions from the Fair Labor Standard Act’s minimum wage and overtime requirements, as discussed in our April 24, 2024 E-lert. Consistent with the now-standard practice in response to pretty much any regulation issued by any federal workforce agency, three lawsuits have been filed to enjoin the rule from taking effect on the scheduled date of July 1, 2024. In Texas, of course. Because those Texas federal courts have been notoriously unfriendly to federal agency actions. But those three lawsuits are pending before three different judges…Continue Reading Three Overtime Rule Lawsuits, Three Judges – What Now?

On Tuesday, April 23, 2024, the United States Department of Labor (DOL) released a final rule raising the salary thresholds to qualify for overtime exemptions under the Fair Labor Standards Act (FLSA). The rule will become effective on July 1, 2024.Continue Reading DOL Significantly Increases Salary Threshold for Overtime Eligibility

The Maryland General Assembly’s 2024 session ended at midnight on Monday, April 8. A number of employment bills that were passed will have a significant impact on employers, including another delay to the forthcoming paid family and medical leave insurance (FAMLI) program, a new wage range posting mandate, expanded pay stub notice requirements, and additional discrimination protections, including an expansion of the equal pay law. Employers will also face increased penalties for occupational safety and health violations. Additionally, there was a revision to the law restricting the use of non-compete agreements to make it applicable to certain health care providers and veterinarians.Continue Reading New Employment Laws in Maryland – Changes to Paid Family and Medical Leave Insurance, Wage Range Posting Requirements, New Discrimination Protections and More (and a Webinar!)

A recent New York Times article highlighted the use and, frankly, abuse of Training Repayment Agreement Provisions (TRAP – oooooh, good acronym!), also known as stay-or-pay provisions. Under a TRAP, if an employee leaves their job before a certain specific amount of time has passed, they are required to pay back monies ostensibly tied to the costs of training, or finding a replacement, or even lost profits. The use of TRAPs appears to have significantly increased in recent years, and the Biden Administration is paying attention – and it is not happy.Continue Reading “Stay-or-Pay”? A Potential TRAP for Employers!

‘Tis the season for holiday parties – and possible employer liability. But don’t be a Scrooge. The Three Wise men employers should keep some things in mind in planning holiday events for their employees.Continue Reading Employers – Be Merry and Bright … And Thoughtful About Those Holiday Parties!

In my blog post last week, It’s Football (Unionizing) Season…, I tackled the topic of whether football players who receive athletic scholarships to play for a private college or university might be considered employees – and then have the right to unionize under the National Labor Relations Act. As I explained, the National Labor Relations Board seems to be moving the ball towards a finding that those who receive scholarships are thus being paid to provide sports services to the school, meaning that they are employees. But, as my partner Mark Swerdlin noted in a previous blog post , this approach means that non-scholarship players are penalized because they are not being paid and therefore cannot be employees. Unless, as he suggested (with tongue firmly in cheek), they sue for unpaid wages under the Fair Labor Standards Act… Continue Reading Wait – College Football Players Really Are Suing for Pay?

Opinion letters from the U.S. Department of Labor are pretty unusual, so I get really excited when they issue one. And typically, the letter addresses an issue of some significance for employers. So I was giddy (GIDDY, I say!) when I saw a new one had just dropped – until I actually read it. Three times, because I thought I was missing something. But really, it just affirms what I already thought about the Family and Medical Leave Act and holidays. At least it’s a good reminder of how to deal with holidays under the FMLA. Continue Reading (Not Terribly Useful) Guidance from the DOL on the FMLA and Holidays

On February 22, 2023, the U.S. Supreme Court issued its opinion in Helix Energy Solutions Group, Inc. v. Hewitt, clarifying that, in order to qualify for the highly compensated employee (HCE) exemption from the Fair Labor Standard Act’s overtime mandate, the employee must be paid on a salary basis, and the payment of a daily rate does not constitute a salary.Continue Reading Supreme Court Provides Clarification on the Highly Compensated Employee Exemption’s Salary Requirement

There have been a couple of interesting situations in the news recently involving employees who have been ordered by a court to repay wages to their employers. One involved a Canadian employee who submitted fraudulent timesheets. Another involves law firm associates who failed to meet their billable hours requirement. And a third involves police officers in a New York town who swiped time clocks for each other to falsely claim time worked. These cases provide some insights for employers – good and bad. Continue Reading Can You Force Employees to Repay Wages?