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Supreme Court: Individual Settlement Offer Moots FLSA Collective Action Claim

In a 5-4 decision, the U.S. Supreme Court held April 16 that because an employee received an individual settlement offer that fully satisfied her Fair Labor Standard Act claims, her individual and collective action claims could not go forward. The Court said that after her employer made an “Offer of Judgment” for the full amount […]

Planning Ahead for Health Care Reform: 2014

Employers — particularly those that sponsor self-funded plans — have important health care reform mandates to comply with in January 2014, many of which are unaffected by the Obama administration’s stay in enforcement of the pay-or-play rules. There is still time for employers to get their health care reform fixes right. The job is more […]

News Notes: Free Posters Available On New Labor Department Web Page

The federal Department of Labor has launched a new Web page to help employers comply with posting requirements for a number of federal laws. By answering a series of questions, you can determine which federal posters you must display and then print them directly from the Internet. The Web page also lists who to contact […]

Wage and Hour: California High Court Backs Employer on Expense Reimbursement

In an important new ruling, the California Supreme Court has approved an employer’s practice of paying increased salaries and commissions to cover employees’ mileage expenses. At issue was Labor Code Section 2802, which requires employers to indemnify employees for necessary expenditures they incur as a result of the job. The employees here had argued that […]

Bulletin Item: New Hourly Rates for Certain Exempt Professionals

As of Jan. 1, 2003, the new hourly rate that you must pay certain computer software professionals in order for them to qualify for overtime exemption will be $43.58. And the new hourly rate for exempt licensed physicians and surgeons paid on an hourly basis will be $56.21. The California Department of Industrial Relations adjusts […]

Independent Contractors: New Case Highlights Tax Risks of Misclassification

A new decision from a California Court of Appeals underscores how erroneously classifying workers as independent contractors rather than employees can have serious tax consequences. The case involved a group of courier companies—collectively called Sonic—that classified delivery drivers as independent contractors and reported their pay on 1099 forms. The California Employment Development Department, however, decided […]