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Misclassification In Workplace

Decent Essays

I did my research utilizing the wonderful tool of google. My first article was about a Valley Hotel owner. He violated the FLSA by “failing to pay overtime and record keeping” (January 23, 2017). The hotel owner failed to keep records of the overtime of the workers and paid the workers below the minimum wage. The owner should have kept a record of the overtime sheets of the workers but failed to do so. In 2013, the owner made an agreement to pay $30,816 in back pay which is owed to 11 former employees. (January 23, 2017) The owner did not follow the agreement and pay the workers the earnings due. The article failed to mention the owner also violated the FLSA by not paying their workers minimum wage. I find it shocking that a company would …show more content…

A group of exotic dancers were classified as independent contractors which worked at Magic City. According to Law 360, “They accused Magic City, which is known for hosting rappers and other celebrities and frequently referenced in songs and music videos, of violating the FLSA by misclassifying them and failing to pay them wages.” (Akinnibi, January 13, 2017) The strip club not only violated the FLSA by misclassification but additionally violated the FLSA by failing to the dancers wages for their work. The club and the dancers settled out of court and the article did not mention the settlement they came to. My thoughts on it all is companies need to be careful how they classify workers as independent contractors. Future clubs should review the United State Department of Labor website and review the article “Am I an Employee?” for referral to ensure they are classify their people appropriately. I feel the company could have prevented this lawsuit if they would have done some simple …show more content…

Daniel Miller writes, “Unpaid interns who had worked at Fox Searchlight Pictures filed a lawsuit five years ago alleging the company violated the Fair Labor Standards Act by not paying them for their work.” (July 12, 2016) This lawsuit could be instrumental on how Hollywood handles Interns. The companies need to take note and ensure their intern follows the guidelines of what an intern is. Our textbook lists six defining factors of a trainee for the FLSA on page 27 which should be circulated through all businesses. Furthermore, the former interns were rewarded the amount of $7,500 to $495 depending on the time they worked for the company. I believed company would have saved themselves the headache of a lawsuit by simply reading the guidelines for interns prior to hiring them. In conclusion, all three cases showed the general disregard for the law. All three companies would have benefited by doing some simple research of the Fair Labor Standards Act and what the law entails to avoid violating

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