Posted On: September 17, 2008

Skycaps’ Claim for Tips under FLSA Grounded by Eleventh Circuit

In what appears to be the first such case to reach a federal appeals court, the Eleventh Circuit Court of Appeals (the federal appeals court for the federal district courts of Georgia, Florida and Alabama) recently affirmed a decision by a Miami federal district court, which held that the airlines’ practice of charging baggage handling fees for curbside check-in did not unlawfully deprive the skycaps of their tips. Pellon v. Business Representation International, Inc.

In the case, 53 skycaps had brought a collective action under the FLSA against Business Representation International, Inc., the baggage handling contractor for American Airlines at Miami International Airport, alleging that they had been deprived of millions of dollars in unpaid tips as a result of the baggage handling fees imposed by American.

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Posted On: September 16, 2008

Minimum Wage Update

Because we just recently launched the Overtime Lawyer Blog, we didn’t get a chance to update you on an important FLSA development that happened last summer. On July 24, 2008, the minimum wage increased from $5.85 to $6.55 per hour.

If you are in a minimum wage job, make sure to review your paychecks closely to ensure that you are being paid at the new higher rate. And if you are receiving overtime, also make sure to check that your overtime pay is being calculated on the new higher rate. If you have been working since July and your checks were not based on the new higher rate, you are entitled to be made whole for all work weeks in which you didn’t receive the higher minimum wage or the correct amount of overtime pay.

And if you are an employed in the State of Georgia, even though the Georgia minimum wage is lower than the federal minimum wage (it is currently $5.15 per hour), you’re still entitled to the higher federal minimum wage—don’t let an unscrupulous or ill-advised Georgia employer convince you that it only needs to pay you at the lower Georgia rate.

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Posted On: September 15, 2008

Welcome to the Overtime Lawyer Blog!

Hi again, friends. We launched the Atlanta Employment Lawyer Blog several months ago and are enjoying it so much, and getting such a great response, that we decided to launch another blog—the Overtime Lawyer Blog. This one will be devoted to tracking developments under the Fair Labor Standards Act—otherwise known as the FLSA. The FLSA is the federal wage and hour law that sets forth the federal minimum wage (which is currently $6.55 per hour) and also requires that most “blue-collar” employees who work more than 40 hours in a workweek be paid overtime at a rate of one and one half times their regular rate of pay for all hours worked in excess of 40 per week.

As we explain in detail on our website, although the FLSA applies to virtually all U.S. employers, it does not guarantee that all employees receive overtime or the minimum wage. If you are exempt from the FLSA, then your employer does not have to pay you the minimum wage, and you can be required to work more than 40 hours in a week without overtime. Although the rules governing the exemptions are extremely complex, as a general rule, you are an exempt employee if you are paid on a salaried basis (in other words you receive a fixed amount of compensation every pay period no matter how much work you do) in the amount of at least $455 per week, and the type of work you perform is either executive, administrative, or professional. These types of exempt jobs basically involve work where you have substantial authority over the operations of your employer’s business, where you are involved in the administrative end of the business, or where your job requires an advanced degree. There are a few other miscellaneous exemptions that we discuss on our website, and the U.S. Department of Labor’s website also has great resources if you have any questions.

If however, you are not paid on a salaried basis, or your work is not executive, administrative, or professional in nature, then in most cases you are not exempt from the FLSA and you are entitled to overtime.

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