Hospitality Overtime Lawsuits Heating Up
Secretary of Labor Hilda Solis plans to be more aggressive in enforcing federal employment laws such as the Fair Labor Standards Act (FLSA) and has asked for additional funding to hire hundreds of new compliance officers for the Department of Labor (DOL)’s Wage and Hour Division, which covers overtime issues. This would increase the size of the Division by a third.
“The Labor Department is back in business…you can rest assured that there is a new sheriff in town,” said Solis.
Previously, the DOL advised employees with grievances to get their own attorneys rather than to rely on the DOL to pursue grievances. The Division ended most investigations when employers simply asserted that they could not afford any fines or penalties, and failed to pursue and actively follow up on claims.
The DOL now warns employers to assess their compliance with federal laws, including those related to minimum wages, overtime, and salary exemptions. Failure to do so may cause a new sheriff at the DOL or EEOC to visit your place of business.
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