If you’re an employer, there are various rules that govern your relationship with your employees. One category of laws, known as wage and hour, concerns how much employees are paid along with a number of related matters. An experienced Labor & Employment Law attorney can explain what you need to know and defend you in the event of a lawsuit or government investigation. Count on SederLaw’s Labor & Employment Law team to protect your rights.
Wage and Hour Cases We Handle
Our experienced attorneys are well-versed in the state and federal wage and hour laws that affect most Massachusetts employers. We represent clients in cases involving, among other issues:
Minimum wage. Although the federal minimum wage has remained at $7.25/hour for several years, Massachusetts – like many states – has adopted its own, higher rate that covers most hourly workers. Wherever two different minimum wage rates exist, such as state versus federal, the higher rate will always apply. The state’s standard minimum wage is currently $15.00/hour, although there are some caveats such as:
- Tipped employees are allowed to be paid a minimum wage of $6.75/hour as long as their tips bring them up to at least $15.00/hour
- Most agricultural workers must be paid a minimum wage of $8.00/hour
- Both part- and full-time workers must be paid the applicable minimum wage
Employers can run afoul of state or federal minimum wage laws in different ways. They may apply the incorrect rate to the employee, for instance. Another mistake is paying a worker on a non-hourly schedule (e.g. a day rate) that, based on the total number of hours worked, amounts to less than minimum wage. Paycheck deductions can also reduce an employee’s pay to less than minimum wage.
Overtime pay. Employees who work more than 40 hours in a week must be paid overtime, also called time and a half pay, at the rate of 1.5 times their regular hourly rate. Although certain employees are exempt from overtime pay under the federal Fair Labor Standards Act (FLSA), these exemptions are rare and strictly applied.
There are numerous ways employers may violate overtime laws. Improperly applying an exemption is a major and commonly investigated violation that can result in back pay, court costs, and attorney fees. Also, while overtime pay is based on how much an employee works during a given week, some employers average hours across more than one week to try to get around this requirement. Another mistake is failing to include, in the employee’s total number of weekly hours, time that was spent working before or after a shift ends.
FLSA and Massachusetts Wage Act violations. The FLSA doesn’t just regulate overtime and minimum wage. It also addresses the following wage and hour issues, which we can discuss with your company:
- Paycheck deductions
- Employer recordkeeping
- Minimum wage for young workers
- Required break time for nursing mothers
- Illegal retaliation against employees
Additionally, Massachusetts has adopted its own wage and hour statute known as the Massachusetts Wage Act. While it is similar to the FLSA, there are some key differences. We work with employers so they understand their duties under both federal and state law.
Independent contractor misclassification. Companies use independent contractors to perform tasks that are outside their normal scope of business. Independent contractors are not employees and are therefore not entitled to certain wage and hour protections like overtime pay and tax withholding. However, this creates an incentive for employers to improperly classify their employees as independent contractors.
Simply labeling someone as an independent contractor, even if the person signs a contract to that effect, doesn’t automatically mean an employee is a contractor. Courts and the IRS use various factors to determine a worker’s legal status. Many of these involve questions about the degree of control the company exerts over the worker. Businesses should understand these rules to determine whether their workers are employees.
Sick leave. Under Massachusetts law, employers with at least 11 or more employees must grant their employees at least 40 hours of paid sick time per calendar year. Smaller employers must allow at least 40 hours of unpaid sick time per year.
Employment contracts. While many aspects of wage and hour law are the product of state or federal statutes, others are guaranteed by employment contracts. For instance, Massachusetts law does not require employers to offer their employees paid vacation time. But if an employer chooses to provide it under an oral or written agreement, the courts can enforce it. Employment contracts may involve other wage and hour issues such as:
- Beginning and end dates of employment
- Compensation rates
- Employee benefits
- Pension and retirement plans
- Break times and meal break policies
How SederLaw Can Help
Our goal is to minimize the risk of litigation against employers by helping them understand and comply with their obligations under the law. We begin by reviewing the existing practices of a company. If the company is found to be in violation of any wage and hour laws, we get to work correcting the problem. One way we might do so is by helping the company establish written policies and procedures. These are valuable tools for managing employee expectations and protecting employer rights.
If a lawsuit has been threatened against the employer due to an alleged wage and hour violation, or the company is being investigated by a government agency (e.g. the U.S. Department of Labor), we may be able to resolve the matter using alternative dispute resolution methods like mediation. These out-of-court procedures can save the employer considerable time and expense while helping the company and the employee reach a mutually agreeable solution.
In the event a lawsuit is ultimately filed or government action is initiated against the employer, we go to work defending the company’s interests. Mediation may also be an option even after the lawsuit has commenced. If the matter goes to trial we will work to defeat the plaintiff’s case and minimize any damages that may be awarded. SederLaw’s employment and labor law attorneys understand:
- The relevant wage and hour statutes
- The court decisions that interpret these statutes
- The various rules (e.g. civil procedure, discovery, and evidence) that govern these cases
- How to negotiate settlements that save time and money
- How to successfully defend employers before a jury
Contact Our Worcester Wage and Hour Attorney
Wage and hour laws are complicated, but failing to follow them could expose your company to avoidable problems. Whether you’ve already been named as a defendant in litigation or you want to make sure you comply with state and federal rules and regulations, let SederLaw handle this important legal issue so you can focus on keeping your company profitable. Talk to our Labor & Employment Law group today.
