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September 4, 2014

Interesting News Briefs from the World of HR Law

Filed under: FLSA,Hiring & Jobs,Legal Issues4:36 pm

In an interesting test of the Fair Labor Standards Act (FLSA) exemption regulations, a well-known national retailer has been sued in California by employees alleging that the company improperly classified its store assistant managers as exempt employees.  This lawsuit is a good reminder of how important it is to have updated job descriptions to determine the exempt or nonexempt status of all positions within an organization.  The Department of Labor website provides general information to determine exempt status.  Click here.

A national retail provider of rent-to-own merchandise (appliances, furniture, etc.) has been sued under the federal Fair Credit Reporting Act with the plaintiffs in the case alleging that the company used a third party to run background checks but did not provide copies of the same before taking adverse action against applicants and employees (e.g. denying or terminating employment) based on the background check results. The lawsuit is pending in Georgia.  This is a great example of the importance of knowing the law!  The Equal Employment Opportunity Commission provides excellent guidance to employers and employees on background checks from each perspective.  You can check those out for employers here, and for employees here.

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