Incorrectly classifying a worker as an independent contractor when they really are an employee under the law can have many adverse consequences for the worker and the employer alike. In addition to tax liability, misclassifications can trigger liability under the Fair Labor Standards Act for minimum wage violations or unpaid overtime. To avoid these pitfalls, businesses should consult an Atlanta wage and hour lawyer to ensure they have correctly classified their workers.

To complete the employee-versus-independent-contractor classification process, one needs to understand what the laws governing the distinction between employees and independent contractors dictate. A recent unpaid overtime case before the 11th Circuit Court of Appeals offers a helpful reminder that classification status turns on economic reality, not simply the label the parties place on a worker.

The three plaintiffs in the case were insurance claims adjusters assigned to work claims in Texas in the aftermath of Hurricane Harvey. The client, a Texas insurance agency, contracted with a staffing firm to provide adjusters. The adjusters’ contracts with the staffing firm labeled them as “independent contractors.”

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With extreme winter weather striking many parts of the country (and soon to bear down on this area), employers must consider the possibility of short-term closures. Whether an employer closes for a day or a few days, the closure affects all employees, including those on Family and Medical Leave Act (FMLA) leave. As with all aspects of FMLA leave calculation, if you have questions, make sure you get reliable answers by speaking to a knowledgeable Atlanta FMLA leave lawyer.

These issues are of keen importance to both employers and employees alike. An employer who deducts time from an employee’s total FMLA leave entitlement risks exposing itself to civil liability for FMLA interference. For employees, these issues are vitally important given the limited FMLA leave the statute provides (a maximum of 12 workweeks in a 12-month period).

Recently, the U.S. Department of Labor’s Wage and Hour Division fielded a question about short-term business closures and FMLA leave. The entity seeking clarification in this case was a school employer dealing with a closure of less than one week.

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Many non-exempt employees may receive total compensation that includes various forms of pay. An employee, for example, might earn, in addition to their base pay, bonuses. Depending on the nature of these bonuses, earning a bonus may impact an employee’s “regular rate of pay” and, therefore, their rate of overtime compensation required by the Fair Labor Standards Act. If you have questions about bonus pay and how a particular bonus should (or should not) impact regular rate of pay and overtime calculations, you should speak to a knowledgeable Atlanta overtime compensation lawyer.

The U.S. Department of Labor recently published an opinion letter that examines in depth the issue of bonuses, regular rates of pay, and overtime compensation.

The employer in the letter was a waste management company, and the employees in question were its drivers. The driver earned a base salary of $12 per hour. In addition to their base pay, drivers could earn up to $9.50 per hour under the employer’s “Safety, Job Duties, and Performance” bonus plan. The bonus rewarded behaviors such as “punctuality, attendance, consistency in completing daily safety tasks, driving safety, compliance with traffic laws, proper attire, and performance efficiency.” If a driver met their performance targets during a particular pay period, then the bonus applied to all hours the driver worked during that period.

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The circumstances surrounding employees who need Family and Medical Leave Act leave are not necessarily black-and-white. An employee in need of FMLA leave may also have a history of attendance problems at work. Even if the employee’s absenteeism is extensive and has the employee on the edge of termination — perhaps especially in these scenarios — a wise employer will proceed with extreme caution to ensure the employee’s absence is not covered by the FMLA before taking punitive disciplinary action. As with any matter, part of “proceeding with caution” means getting knowledgeable legal advice from an experienced Atlanta FMLA retaliation lawyer.

The FMLA case of a public bus driver clearly highlights this issue.

The driver, I.W., had sickle cell anemia. The employer knew about the condition as the driver had disclosed it when the employer hired him in 2018 and discussed the disease with several of his supervisors.

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A Georgia deputy sheriff recently won a renewed opportunity to pursue his retaliation case after the 11th Circuit Court of Appeals reversed a trial court’s summary judgment in favor of the deputy’s employer. The employee’s success is a reminder that employees have multiple avenues for making out a retaliation or discrimination claim. If you have questions about federal retaliation or discrimination claims, be sure to contact an experienced Atlanta employment retaliation lawyer.

The deputy, A.I., began working for the Richmond County Sheriff’s Office in 2020. Shortly thereafter, the deputy started working a special assignment at a local park. One of the other officers assigned to the detail was E.J., a lieutenant and the commander of the SWAT team, which A.I. hoped to join.

According to the deputy and others, the lieutenant frequently made racist remarks related to the deputy’s ethnicity (Arabic) and national origin (Iraqi), including crude comments about terrorism, bombs, sand, and A.I.’s English language proficiency.

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Many employees in the restaurant industry rely on tips for a significant portion of their earnings. Many of these workers are also familiar with the process of pooling (or sharing) tips among all the tipped workers at their restaurant. Employers cannot simply construct tip pools however they want; federal law contains several restrictions on how employers pool tips. Whether you are an employer or an employee, if you have questions about the legality of your tip pool, contact a knowledgeable Atlanta tip-pooling lawyer for reliable answers.

According to a recent news release from the federal Wage and Hour Division, a Southern California restaurant was operating an illegal tip pool.

As background, the Fair Labor Standards Act does not set a limit on the percentage or amount of each employee’s contribution in valid mandatory tip pools. Instead, a tip pool’s validity depends on whether or not the employer takes the tip credit.

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Family and Medical Leave Act cases can be complex and nuanced matters. Even issues that might seem black-and-white can actually be filled with gray areas. If you have questions about an FMLA issue, ensure you are proceeding with knowledgeable advice from a skilled Atlanta FMLA lawyer.

An FMLA interference case from outside Georgia illustrates one such area: the FMLA medical certification.

The employee in this case, D.D., became ill while employed at a state-run assisted living center. A visit to an urgent care clinic revealed that she was pregnant and her symptoms were morning sickness.

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Action taken earlier this year by federal regulators has cost two related companies several hundred thousand dollars due to misclassifying dozens of workers as independent contractors when they were employees. The government’s action against the companies is a reminder of how costly misclassification can be for both workers and employers. If you have questions about whether a worker (or a group of workers) should be classified as employees or independent contractors, do not guess, assume, or take the easy way out and simply classify them all as independent contractors. Instead, get reliable legal advice by speaking with an experienced Atlanta worker classification lawyer.

The federal Wage and Hour Division’s action against two interconnected Louisiana companies, detailed in a news release, highlighted a critical problem in that state and across the country: the misclassification of home care industry workers as independent contractors.

The division’s investigation revealed that a pair of connected companies misclassified more than 150 home care workers as independent contractors when they really were employees. The workers “typically worked long hours” but received only “straight time” for all hours they worked rather than straight time for the first 40 hours and time-and-a-half for all hours in excess of 40.

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In Fair Labor Standards Act lawsuits, there is no such thing as a class action. Instead, the FLSA allows similarly situated workers who have been harmed by FLSA violations to pursue something known as a “collective action.” FLSA collective actions often can be complex and nuanced. That is why, whether you are a worker seeking to pursue a collective action or an employer facing a potential collective action, it is wise to consult an experienced Atlanta collective action lawyer to discuss your situation and your options.

Any group of workers’ success in a collective action involves correctly identifying (and pleading) all the elements the law requires, and then meeting those elements’ standards.

A misclassification case from South Georgia provides valuable insights into these elements and standards. The defendant was a chain of retail stores. The lead plaintiff was an “inside” salesperson whose job was to sell John Deere equipment and machinery.

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Employers need to be vigilant to ensure they are not overlooking employee circumstances that potentially implicate the Family and Medical Leave Act. Employers’ failure to recognize that an employee has a qualifying need for intermittent FMLA leave is a common pitfall that can entrap unwary employers. Whether you are an employer or an employee, you should consult an experienced FMLA interference lawyer if you have questions about whether a scenario implicates a need for intermittent leave.

An FMLA case that recently went before the 11th Circuit Court of Appeals puts this issue of correctly identifying FMLA-qualifying needs in the spotlight.

The employee, T.J., worked as a freight handler for a shipping and transportation company. His job duties included loading and unloading trucks. His employer demanded that freight handlers like T.J. check with a supervisor before clocking out each day to see if other trucks needed loading or unloading. If so, the employer expected the handlers to work overtime until all trucks were loaded/unloaded.

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