CAN COMPANIES EXPECT a knock on the door from the Labor Department?
New phenomena in employment law are called collective actions under the Fair Labor Standards Act. All an employee has to say is he’s a manager who believes he’s been misclassified as an executive employee because his primary duty isn’t managing but is cooking, say. He says there are 5,000 others like him. If a plaintiff makes that kind of showing, the court will conditionally certify the collective action and the plaintiff gets to send opt-out notices to all 5,000 restaurant managers. The Fair Labor Standards Act was intended to make it easy for someone to bring a collective action. Someone may file a collective action. That’s the bigger concern. All a person has to do is file a claim. The DOL will investigate, and if the employer is found to have misclassified a person, the person is entitled, at a minimum, to two years of back overtime pay. John Eckberg EXECUTIVE PAY A bountiful harvest 72 in the $1 million club Among top executives, white males dominate Guide to rankings The method
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