The U.S. Department of Labor (USDOL) just released a Wage and Hour Opinion Letter today addressing the fluctuating workweek, reiterating its position that an employee’s work hours do not need to fluctuate above and below 40 hours for an employer to rely upon the fluctuating workweek method of calculating overtime. However, there remain some unanswered questions that should cause employers to tread cautiously when implementing this system.
Federal courts across the country have been split on the issue of whether a court can exercise personal jurisdiction over out-of-state plaintiffs who want to opt-in into a Fair Labor Standards Act (FLSA) collective action. The Eastern District of Pennsylvania just issued a ruling siding with those courts that have minimized the number of members in a collective action, ruling that it lacked specific jurisdiction over FLSA claims of out-of-state opt-in plaintiffs who were not harmed in Pennsylvania. The August 12 decision in Weirbach v. The Cellecular Connection, LLC, is an important one, as it provides added support to employers looking to break up a putative collective and reduce their potential legal exposure.