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Labor law amendment set to begin in December

Starting December 1, new rules will be implemented concerning the overtime component of the Fair Labor Standards Act, which mandates a 40-hour work week, overtime pay, and the federal minimum wage.

Under current law, businesses are required to pay certain employees 150% of their normal pay for hours worked beyond 40 hours in one week, with some employees exempt from earning this overtime pay. Employees are exempt as long as they earn at least $23,660 annually or $455 each week. The rule change increases that minimum pay to $47,476 annually, or $913 each week. Legal experts are saying that the result of the upcoming presidential elections will not likely impact the implementation of this new rule.

Employers can add non-discretionary bonuses, incentive payments, and commissions toward 10% of that $47,476 threshold, as long as these payments are given quarterly, with bonuses or commissions of up to $4,747.60 counting toward the threshold.

With new overtime rules expected to be implemented this December, it is possible that workers with higher salaries will be improperly paid by their employers. Get in touch with our attorneys at Williams Kherkher in Houston by calling our offices today at (888) 262-9002 if you have a wage claim against your employer.


Oilfield services company WadeCo Specialties ordered to pay $439,000 in back-wages to employees

Following an investigation by the United States Department of Labor (DOL), WadeCo Specialties was ordered to pay more than $439,000 to fifty employees for back wages and other damages. According to the Midland Tribune The investigation found that Wadeco Specialties, a Midland-based oilfield services company, routinely mis-classified employees as exempt from the overtime requirements set by the Fair Labor Standards Act (FLSA). This allowed the company to avoid paying overtime wages to individuals who should have been eligible for such payment.

These employees regularly worked more than 40 hours per week, but were paid a flat salary with no overtime pay. The DOL investigation found that the employees actually belonged in a different classification and were owed damages and overtime pay as a result. It is important to note that although certain employees may be exempt from overtime, the majority of employees in an organization are most likely not exempt from overtime pay.

When companies intentionally or accidentally mis-classify employees, the workers invariably suffer the consequences. The oilfield FLSA attorneys of Williams Kherkher believe that all employees deserve to be paid a fair wage for the number of hours they have worked, and have pushed to hold companies accountable for the wages they owe. For more information, contact an attorney at 800-220-9341.