HR Monthly Round Up - June 2023
Hi everyone! Welcome to the HR Monthly Round Up. In the next few minutes, we’ll review the latest in HR news.
In May, the U.S. Department of Labor won a landmark verdict in a case involving overtime pay. A jury in federal court awarded more than $22 million in back wages for about 7,500 manufacturing employees.
The award was the largest recorded verdict under the federal Fair Labor Standards Act (or FLSA) ever obtained by the Department of Labor.
Where did this employer go wrong? It failed to pay employees for all actual working time. The company paid them only for their eight-hour shift, but not for the extra time needed to put on and remove personal protective equipment and to shower to avoid exposure to lead and other hazards. These steps were necessary parts of their workday.
Federal agencies have been busy. Back in mid-June they released their Spring 2023 Unified Regulatory Agenda and, as a result, by August two important final rules are scheduled. First, employers anticipate seeing a final rule about the independent contractor status under the FLSA. In response to a recent court case, however, this might not happen until October. So, stay tuned! And second, a final rule about joint employer relationships is also scheduled to be published in August.
As far as proposed rules, the Spring Agenda indicated that the Department of Labor plans to release a proposed rule to update the regulations regarding what’s known as the “white collar” exemption under Fair Labor Standards Act. One of the primary goals of this rulemaking would be to update the salary level requirement.
The “white collar” exemption generally exempts employees who are classified as executive, administrative, professional, outside sales, and computer employees from overtime pay and minimum wage under the FLSA.
In poster news, the Equal Employment Opportunity Commission (or EEOC) released a mandatory posting change in mid-June. Employers are required to post the revised Know Your Rights: Workplace Discrimination is Illegal posting as of June 27. This is the date that the Pregnant Workers Fairness Act took effect. The reason behind the poster change was that the EEOC added information about employees’ rights under the Act.
That’s all the HR news we have time for today. For more information on these topics, click the content links in the transcript below. Thanks for watching. See you next month!