On July 1, 2025, the U.S. Court of Appeals for the Ninth Circuit joined the majority of federal appellate courts holding that courts must establish personal jurisdiction over the claims of each member of a collective action under the Fair Labor Standards Act (FLSA).Continue Reading Ninth Circuit Weighs In On Circuit Split Involving FLSA Collective Action Jurisdictional Requirements
On June 2, 2025, the U.S. Department of Labor (DOL) announced the relaunching and expansion of its opinion letter program (Program). The Program is designed to help the public understand their compliance obligations through opinion letters, which are formal, written guidance on how a DOL enforcement agency would apply federal labor law in a specific workplace situation. These letters can be requested by anyone and address various workplace scenarios, such as how to apply existing law to novel or ambiguous legal issues.Continue Reading U.S. Department of Labor Announces Relaunch & Expansion of Its Opinion Letter Program
On May 1, 2025, the U.S. Department of Labor (DOL) published FAB No. 2025-1, providing guidance to its field staff on the analysis to apply when determining whether a worker is an independent contractor or employee for purposes of Fair Labor Standards Act (FLSA) enforcement.
The independent contractor vs. employee analysis under the FLSA has fluctuated for more than a decade. The applicable analysis has always revolved around the economic realities test, but the focus of the test has shifted.Continue Reading U.S. Department of Labor Issues New FLSA Independent Contractor Guidance
On April 1, 2025, the U.S. Court of Appeals for the Sixth Circuit issued an important decision in Pickens v. Hamilton-Ryker IT Solutions, LLC regarding what it means to be paid on a “weekly basis” for purposes of the salary-basis test, a key factor in determining whether an employee is properly classified as “exempt” from the Fair Labor Standards Act’s (FLSA) overtime requirements.Continue Reading Sixth Circuit Clarifies Requirements for a Salaried Employee to Be “Paid on a Weekly Basis” Under the FLSA.
On February 12, 2025, the U.S. District Court for the District of Oregon issued an important decision in Porteous v. Flowers Foods, Inc. regarding the enforceability of class and collective action waivers contained in otherwise unenforceable arbitration agreements.Continue Reading Federal District Court Says Class and Collective Action Waiver Survives Unenforceable Arbitration Agreement
In August 2024, we reported on the highly anticipated opinion in Restaurant Law Center v. U.S. Department of Labor, 115 F.4th 396 (5th Cir. 2024), in which the Fifth Circuit vacated the 2021 Dual Jobs Final Rule as arbitrary, capricious, and contrary to the text of the Fair Labor Standards Act (FLSA). In light of that decision, the U.S. Department of Labor (DOL) recently published a new Final Rule eliminating the 2021 Dual Jobs Final Rule—commonly referred to as the “80/20/30” rule—from the Code of Federal Regulations (CFR). This is a technical amendment that reinstates the DOL’s original dual jobs regulation and restores the CFR to its pre-2021 language based on the 1967 dual jobs regulation.Continue Reading DOL Returns to Prior Dual Jobs Regulation for Tipped Employees
On December 18, 2024, the DOL issued opinion letter FLSA2024-02, reaffirming its position that managers and supervisors are prohibited from participating in tip pools under any circumstances.
Tip pooling is a common practice in the hospitality industry where employees contribute any tips received into a pool at the end of a shift and
On December 10, 2024, the National Labor Relations Board (NLRB or “the Board”) took advantage of its Democratic majority in the waning days of the Biden administration to issue its decision in Endurance Environmental Solutions, LLC, and overturn a Trump-era standard that had strengthened management rights clauses in collective bargaining agreements.Continue Reading NLRB Weakens Ability of Employers to Rely on Management Rights Clauses in Collective Bargaining Agreements . . . For Now
Amendments to the Illinois Wage Payment and Collection Act (IWPCA) setting forth new pay stub requirements for employers take effect on January 1, 2025. Here are the highlights.
What Is a “Pay Stub.”
The IWPCA now specifically defines a “pay stub” as an itemized statement reflecting an employee’s:
• hours worked
• rate of pay
Under the Illinois Wage Payment and Collection Act (IWPCA), an employee may file suit for compensation owed “pursuant to an employment contract or agreement.” 820 ILCS 115/2. Courts have taken different approaches regarding what constitutes an agreement under the IWPCA, and prior to October 2024, the Seventh Circuit had not opined as to