It doesn’t matter how much money you take home in commissions – you can still be entitled to overtime pay, even where an employer invokes the highly compensated employee exemption, according to a recent decision in federal court. Background Wyndham Vacation Ownership operates resorts and time-share units across the Caribbean and North America. Sales representatives at Wyndham’s four Tennessee properties filed a lawsuit, Pierce v. Wyndham Vacation Resorts, Inc., in which they claimed the company … [Read more...]
Non-Compete Agreements in California Aren’t Enforceable. That’s a Good Thing.
The New York Times recently published a series of exposes on how employers use non-competition agreements, or “noncompetes,” to prevent employees from making a living at other companies. According to the latest piece in the series, the use of noncompetes in the employment context has spread down the economic pyramid from executives and other high-level employees to blue-collar workers ranging from factory managers to sandwich makers earning $8 an hour to people who simply “dig dirt” for a … [Read more...]
Gender Pay Gap Lawsuits: Ninth Circuit Upholds Pay Gaps Based on Prior Salary
The U.S. Court of Appeals for the Ninth Circuit dealt a setback to gender pay equity, and to gender pay gap lawsuits, with its recent decision in Rizo v. Yovino, No. 16-15372 (9th Cir. April 27, 2017). In Rizo, the court held that previous salary alone can be “a factor other than sex” for purposes of the Equal Pay Act. As a result, workplace gender gaps are permissible even if the gap is solely caused by employees’ pay at previous jobs. What the Equal Pay Act Requires Under the Equal Pay Act, … [Read more...]
Independent Contractor Misclassification: Judge Questions Whether Instacart Class Action Settlement Is a Good Deal
Grocery delivery service Instacart agreed last month to settle for $4.6 million a class action lawsuit file by its “shoppers” alleging independent contractor misclassification, saying it had treated them as independent contractors when they were actually employees. But the California judge overseeing the case has put the settlement on hold as the court seeks clarification from the parties—as well as from other Instacart shoppers in the Northeast arbitrating similar claims against the company—on … [Read more...]
California Paid Rest Breaks: Court Affirms Commissioned Employees’ Right to Break Pay
A recent California labor law decision confirms that California paid rest breaks must be separately compensated, even for commissioned employees. In Vaquero v. Stoneledge Furniture, the California Court of Appeal held that employers must separately compensate commissioned employees for paid rest breaks required by state laws and regulations. Compensation schemes that fail to do so violate California law and can leave employers exposed to class-action lawsuits from employees. In Vaquero, … [Read more...]
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