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And so it goes: Employers come to the crossroad—designate a worker as an employee or as an independent contractor. A lot rides on the path taken. Erroneously pick contractor, and you’re on the hook for unpaid overtime, often on a class action basis. The money owed can add up fast!
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Employers aren’t required to pay nonexempt employees for the time they spend commuting between their home and work to begin their workday or after ending their workday. Travel time during the workday is often compensable, however, and should be recorded and counted as hours worked for potential overtime. A home health agency recently learned this the hard way.
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The “standard of proof” is an important issue in litigation. Usually, it’s the burden a suing employee has to prove all elements of their case. But it’s the employer’s burden to show that an employee is “exempt” from the requirements of the Fair Labor Standards Act (FLSA). Is it enough for the employer to prove that point by a “preponderance of the evidence”—meaning that it is more likely than not? Or must the employer meet the higher standard of “clear and convincing evidence”—a standard that commands the assent of every reasonable mind? As a recent U.S. Supreme Court case demonstrates, the standard of proof often determines the outcome.
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Lilly Ledbetter, an unintentional icon in the fight for equal pay, passed away on October 12, 2024, at the age of 86. Ledbetter filed a lawsuit in 1999 that sparked an equal pay movement throughout the United States. More than 25 years later, pay disparities still exist in every state. Over the years, Massachusetts has implemented a number of legislative measures to achieve pay parity. Have they been effective?
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The nomination of Lori Chavez-DeRemer as Secretary of Labor has raised unexpected questions about the policies of the Department of Labor (DOL) during the incoming Trump administration, especially with respect to the fate of the Biden overtime and independent contractor regulations.
Surprise Nominee
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Question: A new hire was given a $5,000 sign-on bonus but has been a no-show for numerous days, and we haven’t been able to contact them. Can we withhold and/or deduct from this employee’s final paycheck to recoup some of the sign-on bonus?
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The U.S. 5th Circuit Court of Appeals (the federal appeals court covering Louisiana, Mississippi, and Texas) recently issued an opinion warning employers of the dangers of allowing employees to work off the clock. Forewarned is forearmed. Read on.<
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