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The U.S. Department of Labor has announced that Wal-Mart Stores, Inc. will pay over $33 million in back wages to resolve errors in calculating overtime for 86,680 employees nationwide. According to the DOL, Wal-Mart brought the problem to the agency’s attention after an internal audit raised concerns regarding overtime computations, particularly with respect to incentives […]
Siebel Systems Inc. has agreed to shell out up to $27.5 million to settle a class action lawsuit charging that the company violated the California Labor Code and Wage Orders by classifying software engineers as exempt from overtime and failing to pay for overtime hours worked. The suit also alleged that the company illegally prohibited […]
Under California wage and hour law, computer software professionals can qualify for overtime exemption if they meet certain duties requirements and are paid a specified hourly rate, set annually based on inflation rates by the state Department of Industrial Relations. On Jan. 1, 2007, the minimum hourly rate for exempt computer software professionals will be […]
IBM has agreed to pay $65 million to settle a class action lawsuit charging the computer firm with misclassifying employees as exempt from overtime. In particular, the suit alleges, IBM incorrectly classified technical services professionals and information technology specialists as exempt, even though those positions don’t qualify for exemption under California or federal wage and […]
Do I have to notify an employee before I change her status from exempt to nonexempt? For various legal and practical reasons, you should give notice in this circumstance. Two of those reasons: 1) Employers are required to keep records of a nonexempt employee’s hours worked each day, which typically means that nonexempt […]
Wells Fargo & Co. has agreed to pay $12.8 million to settle a class action lawsuit charging that the bank improperly classified certain business-systems employees in California and other states as exempt from overtime, in violation of the federal Fair Labor Standards Act. The suit, filed in federal court in San Francisco, alleged that Wells […]
During the holiday season, many employers shut down their operations for a few days over Thanksgiving, Christmas, or New Year’s. If you’re thinking of closing up shop for the holidays this year, first make sure you’re up on special pay rules for employees who qualify as exempt from overtime. If an exempt employee performs any […]
The U.S. Ninth Circuit Court of Appeals, which covers California, has ruled that insurance adjusters for Farmers Insurance Exchange qualified for the administrative exemption from overtime, according to the standards under the federal Fair Labor Standards Act. In so ruling, the appeals court threw out a $52.5 million judgment awarded by a federal trial court […]