Wage and Hour

The Department of Labor (DOL) is reporting that a company, California Cartage Company LLC, which is based in Long Beach, California, will pay $3,573,074 to 1,416 employees after the DOL found the company violated federal contract provisions of the McNamara-O’Hara Service Contract Act (SCA).

Bloomberg News is reporting that Wells Fargo & Co. must pay $97 million to home mortgage consultants and private mortgage bankers in California who didn’t get the breaks they were entitled to under the state’s stringent labor laws.

In a long anticipated decision, the California Supreme Court in  Dynamex Operations West, Inc. v. Superior Court of Los Angeles, No. S222732 (Cal. Sup. Ct. Apr. 30, 2018), has adopted a new test, known as the “ABC” test for determining whether an individual is an employee versus an independent contractor under the Wage Orders.

The U.S. Supreme Court has ruled that service advisers are salesmen and therefore exempt from overtime requirements, pursuant to federal law (the Fair Labor Standards Act).

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