Department of Labor to Continue Wage and Hour Crusade

Have you inadvertently misclassified an employee in your organization?  Should the employee actually be classified as non-exempt vs. exempt?  And more importantly, are you familiar with the current definition of “exempt” or “salaried exempt”?   

Be aware that the Department of Labor (DOL) is ratcheting up its efforts to enforce wage and hour laws.

The agency has submitted its 2012 budget proposal, and wage and hour regulation is high on its list of priorities.

It plans to add 107 full-time staffers to enforce misclassification violations.

The DOL is also moving forward with its plans to update the Fair Labor Standards Act (FLSA) recordkeeping requirements.  The agency is considering a rule that would require employers to notify workers in writing of their rights under the FLSA.  Companies would have to perform a written classification analysis for every exempt employee.  After the analysis is complete, the employer would have to share the information with the worker.

We’ll keep you posted on the progress of this effort.  Meanwhile, feel free to contact AdvanStaff’s HR Dept. if you have questions regarding the classification of employees in your organization.

Keep in  mind that most recently Dick’s Sporting Goods settled a class action lawsuit – which included 23 wage and hour claims.  This settlement included 22 related state lawsuits for $15 million after current and former workers claimed the firm violated the Fair Labor Standards Act.  Employees said the company failed to pay them overtime and made them work through their breaks.  The settlement covers claims made in 36 states, and will include interest and taxes.