Ninth Circuit Takes Novel Approach to Minimum Wage Compliance
Close
 

Ninth Circuit Takes Novel Approach to Minimum Wage Compliance

Employees who were paid different hourly wages depending on the task and time spent on it filed a nationwide class action against their employer alleging a violation of the minimum-wage provision of the Fair Labor Standards Act (FLSA). The company paid call center workers a per-minute wage that varied depending on their performance when they were handling calls; and they were paid hourly for attending meetings and completing administrative tasks. Setting up a question of first impression, the plaintiffs claimed the FLSA requires the minimum wage to be paid on an hour-by-hour basis. They accused the company of violating the law by paying them less than the minimum wage for some hours, but admitted their employer paid them a subsidy when their weekly pay was below the minimum. The Ninth Circuit held the relevant unit for determining minimum-wage compliance under the FLSA was the workweek as a whole.

Douglas v Xerox Business Services LLC