The 1,424 employees were regularly required to work more than 60 hours a week, and to perform duties not usually associated with store management such as mopping floors, unloading trucks, stocking shelves and running cash registers. The jury awarded $17.8 million in back overtime pay and an equal amount in damages.

Family Dollar, based in Matthews, N.C., appealed the verdict, but the 11th U.S. Circuit Court of Appeals determined on Tuesday that the judge and jury were correct in their original assessment of the case and upheld the 2006 verdict.

According to the opinion written by Judge Frank M. Hull and joined by Judges Joel F. Dubina and Peter T. Fay, the jury “reasonably determined that Family Dollar failed to meet its burden of proving that Plaintiff store managers’ primary duty was management.”

According to Beasley Allen attorney Roman Shaul, who is evaluating similar FLSA cases, in this case there was never any dispute that the store managers worked these exorbitant hours each week. The only question was should the store managers be paid for the time they worked, or was everything worked beyond 40 hours each week truly “free labor.” He says that although the opinion was in favor of employees, it is widely seen as a conservative opinion that closely followed the Congressional intent and remedial purpose behind the FLSA.

“The crux of the case was that the store managers believed they were ‘managers’ in name only, and that their district manager really made most of the important decisions,” Shaul says. “Under the Family Dollar scheme, store managers performed essentially the same duties as the hourly employees, but received no overtime compensation. This case was an important victory for these hard working store managers.”

Shaul says the Family Dollar opinion is very useful and provides clear guidelines on how to evaluate the Department of Labor regulations interpreting the “Bona Fide Executive Exemption.” The new opinion clarifies the concerns and questions many people in the retail and service industry have had for years regarding how to comply with Department of Labor rules in an ever-changing business environment.

“At the end of the day, the Appeals Court would not accept Family Dollar’s scheme of simply labeling everyone a ‘manager,’ regardless of what duties they actually perform,” Shaul said.
Family Dollar (NYSE:FDO) operates 6,600 stores in 44 states, including Alabama. The discount chain offers low-cost products primarily to rural and small-town customers.

If you or a loved one feel you have been a victim of unfair wage practices, we want to know. Contact us today for a free legal consultation.

SOURCE: Fair Labor Standards Act › Federal Appeals Court renders important decision against Family Dollar in FLSA case

When working in retail, it is expected that long hours will be logged during the holiday season. But how much is too much? And are employees getting fully compensated when working overtime?

Many times, especially during this time of year, retail workers are working long hours yet aren’t getting the pay they deserve. The people working as “managers” are required to perform what would normally be hourly-paid duties to cover shifts that cannot be filled, leaving them working overtime yet still being paid on salary.

The Fair Labor Standards Act (FLSA) protects these “managers” who work overtime and are not being compensated. If a person is promoted to a “manager” position and is still working hours as early as 4 a.m. or as late as midnight, fair compensation must be enforced.

With Christmas music being played at every store and shoppers running amok, the holiday season is officially in full swing. The shoppers are more frantic and the store hours become longer with each passing day.  If working in retail, know that you have the right to be paid for the crazy hours that are being worked.  If you are labeled a “manager” but are still performing hourly-paid duties, you have the right to be compensated for the amount of time worked.  Do not be afraid to talk to your boss.  You have rights too.

SOURCE: Fair Labor Standards Act › Holiday chaos brings long hours for retail workers

Ramales is one of many who are suing companies over unfair compensation of the amount overtime worked. The Fair Labor Standards Act (FLSA) requires overtime to be paid to employees who work over the amount of hours prescribed in a week, which is usually 40 hours. Once an employee works more than his or her prescribed hours in a week, they should be compensated at time and one-half.

The FLSA was designed to help and protect employees from exploitation from their employers. However, employees are still being exploited by companies finding ways to get around paying overtime. Everybody is being hit hard by the failing economy, from big business to small businesses, but there is no excuse for companies to not compensate work that is earned.

One of the ways companies are getting around the rules of the FLSA is by giving employees the title of “manager.” The employees promoted to the title of “manager” are performing the same duties as hourly-paid workers and putting in the same amount of hours, yet on salary. At the end of the day, the salary that these “managers” are making is less than what they would be making at an hourly wage with time and a half overtime.

Beasley Allen has seen numerous cases in retail stores dealing with misclassifying of the “management” positions. But that is not the only industry that employes this tactic. Others include auto repair stores, service industry jobs, convenient stores and restaurant chains.

If you have been promoted to a “management” position and feel that you are still doing the same job and hours as just an employee, you might be an employee that has been wronged by your company. Research and get more detailed information at www.fairlabor-legal.com. You have rights and the privilege to get the pay you deserve.

SOURCE: Fair Labor Standards Act › Timberlake employee among growing number of FLSA abuses