On Thursday, January 16, 2020, the U.S. Department of Labor’s Wage and Hour Division (“WHD”) published in the Federal Register the much-anticipated Final Rule regarding joint employer status under the Fair Labor Standards Act. This rule completes the rulemaking process initiated in early April of last year, when WHD published its Notice of Proposed Rulemaking (“NPRM”), which we discussed here. The new standards reflected in the Final Rule become effective, barring court action…

Wage and Hour Defense Blog

The New Year Brings New Guidance on FLSA Issues from the U.S. Department of Labor

By Jeffrey H. Ruzal & Carly Baratt

January 15, 2020

In its first installment of opinions letters in 2020, the U.S. Department of Labor’s Wage and Hour Division (“WHD”) addressed two issues under the Fair Labor Standards Act (“FLSA”): (i) the salary basis requirements in the context of per-project compensation arrangements and (ii) calculation of overtime pay for employees who receive nondiscretionary lump-sum bonus payments earned over time and not tied to a specific period. (A third letter, FMLA2020-1-A, considered FMLA requirements vis-à-vis public employees.) …

Wage and Hour Defense Blog

Federal Court Extends TRO to Enjoin Enforcement of New California Arbitration Statute

By Michael S. Kun

January 14, 2020

As we recently wrote here, on December 29, 2019, just days before California’s new arbitration statute known as AB 51 was to go into effect, a federal judge in the United States District Court of the Eastern District of California granted a temporary restraining order (“TRO”) to enjoin enforcement of AB 51. The new law, which was set to go into effect on January 1, 2020, would outlaw mandatory arbitration agreements with employees…

Wage and Hour Defense Blog

Federal Court Extends TRO to Enjoin Enforcement of California’s Controversial New Independent Contractor Law for 70,000 Independent Truckers

By Michael S. Kun

January 14, 2020

As we recently wrote here, just hours before California’s controversial AB 5 went into effect, a federal court in San Diego issued a temporary restraining order (“TRO”) to enjoin enforcement of the independent contractor statute as to approximately 70,000 independent truckers, many of whom have invested substantial sums of money to purchase their own trucks and to work as “owner-operators.” Now, days after a state court judge ruled that the statute does not apply …

Wage and Hour Defense Blog

California State Court Judge Rules That Controversial New Independent Contractor Law Does Not Apply to Independent Truckers

By Michael S. Kun

January 10, 2020

Following the challenges to AB 5, California’s controversial new independent contractor law, can be a difficult endeavor. Every day seems to bring a new development. We have written before about the hasty passage of the statute, about a ballot initiative to escape the scope of the law by ride-share and delivery companies, and challenges by independent truckers, freelance journalists and photographers, and ride-share and delivery companies. While many were focused…

Wage and Hour Defense Blog

Judge Denies TRO to Freelance Journalists and Photographers Seeking Relief From California’s Controversial Independent Contractor Statute

By Michael S. Kun

January 8, 2020

As we wrote here recently, organizations representing freelance journalists and photographers filed suit seeking to enjoin enforcement of California’s controversial independent contractor statute, AB 5, as to them. While they are not the only ones challenging the new law, their suit is not off to a promising start. While a federal judge issued a temporary restraining order (“TRO”) to enjoin AB 5 as it applies to independent truckers, U.S. District Court Judge Philip…

Wage and Hour Defense Blog

New State and Local Minimum Wage Increases Have Taken Effect Throughout the Country

By Jeffrey H. Ruzal & Carly Baratt

January 3, 2020

With the start of the New Year, new state and local minimum wage increases have gone into effect for non-exempt employees across the country. The chart below summarizes the new minimum wage rates that went into effect on January 1, 2020, unless otherwise indicated. (More will take effect July 1, 2020.) Jurisdiction Current Minimum Wage New Minimum Wage Alaska $9.89 $10.19 Albuquerque NM (No Benefits) $9.20 $9.35 Albuquerque NM (Benefits) $8.20 $8.35 Arizona $11.00 $12.00 Arkansas…

Wage and Hour Defense Blog

Federal Court Issues Eleventh-Hour TRO to Enjoin Enforcement of California’s Controversial New Independent Contractor Law for 70,000 Independent Truckers

By Michael S. Kun

January 2, 2020

On January 1, 2020, California’s new independent contractor statute, known as AB 5, went into effect. The law codifies the use of an “ABC” test to determine if an individual may be classified as an independent contractor. The hastily passed and controversial statute has been challenged by a number of groups as being unconstitutional and/or preempted by federal law, including ride-share and delivery companies and freelance writers. Just hours before AB 5 went…

Wage and Hour Defense Blog

Who’s Up Next? Now It’s Ride-Share and Delivery Companies’ Turn to File Suit Challenging California’s Controversial New Independent Contractor Test

By Michael S. Kun

December 31, 2019

AB 5, California’s hastily passed and controversial independent contractor statute, which codifies the use of an “ABC test,” is set to go into effect on January 1, 2020. Already, the California Trucking Association has filed suit challenging the statute. As have freelance writers and photographers. Now, it’s ride-share and delivery companies’ turn to file suit. Those companies have already commenced the process to create a ballot initiative that would allow voters to decide…

Wage and Hour Defense Blog

Not So Fast – Federal Court Issues TRO to Enjoin Enforcement of New California Arbitration Statute

By Michael S. Kun

December 30, 2019

We recently wrote about a new California law set to go into effect on January 1, 2020 that would outlaw mandatory arbitration agreements with employees. The new law, known as AB 51, would also prohibit arbitration agreements that would require individuals to take affirmative action to be excluded from arbitration, such as opting out. The law would also appear to extend to jury waivers and class action waivers. And it would include criminal penalties.…

Wage and Hour Defense Blog

Insight and Commentary on Wage and Hour Law Developments Affecting Employers

Blog Authors

DOL Issues Final Rule Addressing Joint Employer Status Under the Fair Labor Standards Act

The New Year Brings New Guidance on FLSA Issues from the U.S. Department of Labor

Federal Court Extends TRO to Enjoin Enforcement of New California Arbitration Statute

Federal Court Extends TRO to Enjoin Enforcement of California’s Controversial New Independent Contractor Law for 70,000 Independent Truckers

California State Court Judge Rules That Controversial New Independent Contractor Law Does Not Apply to Independent Truckers

Judge Denies TRO to Freelance Journalists and Photographers Seeking Relief From California’s Controversial Independent Contractor Statute

New State and Local Minimum Wage Increases Have Taken Effect Throughout the Country

Federal Court Issues Eleventh-Hour TRO to Enjoin Enforcement of California’s Controversial New Independent Contractor Law for 70,000 Independent Truckers

Who’s Up Next? Now It’s Ride-Share and Delivery Companies’ Turn to File Suit Challenging California’s Controversial New Independent Contractor Test

Not So Fast – Federal Court Issues TRO to Enjoin Enforcement of New California Arbitration Statute

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