Engineers denied overtime in Washington What happened next

Many employees in Washington find themselves working overtime without proper compensation due to misclassification. Understanding the law is crucial for addressing these issues. This article highlights a landmark case, Drinkwitz v. Alliant Techsystems Inc., showcasing how Washington courts uphold employees’ rights under the Minimum Wage Act. Read on to discover how this case can guide you in securing owed overtime pay.

Situation

Situation Example

In the state of Washington, there was an interesting situation involving a group of engineers. These engineers worked for a company that was heavily involved in the military defense industry. They decided to file a lawsuit against their former employer, which was a foreign corporation operating in Washington. The main issue here was how these engineers were classified in terms of their job status. They were labeled as “exempt” employees, which means they were not supposed to receive overtime pay according to the company’s classification. However, these engineers believed that the way their employer handled payroll actually meant they should not be classified as exempt. In their view, the company’s policies made them eligible for overtime pay under Washington’s Minimum Wage Act. These engineers argued that because of the way they were paid, with strict work quotas and penalties for not meeting these quotas, they should have been paid for overtime work.

Judgment

The court decided in favor of the engineers. It found that the company’s payroll practices indeed violated the “salary basis” test under the Washington Minimum Wage Act (MWA). As a result, the engineers were not truly “exempt” and were entitled to overtime wages. The court ruled that the case should continue to address other issues like class certification and damages. The court decided that the engineers were also entitled to reasonable attorney fees, which the court would determine. The case is officially cited as Washington No. 67019-6.

Solution

Immediate Actions

If you find yourself in a situation similar to the engineers in Washington, the first step is to gather all relevant documents related to your employment. This includes pay stubs, employment contracts, and any communications regarding your job classification and pay. Document any instances where you worked overtime without receiving the appropriate pay. It’s important to have this information organized, as it will be crucial if you decide to pursue legal action.

Filing a Lawsuit

To file a lawsuit for overtime pay, you should first consult with a labor attorney who specializes in wage and hour laws. They can help assess whether you have been misclassified as an exempt employee and if you are eligible for overtime pay. Your attorney will guide you through the process of filing a lawsuit, which involves drafting a complaint, submitting it to the appropriate court, and serving it to your employer. The complaint should clearly outline your claims regarding misclassification and unpaid overtime wages.

Negotiation and Settlement

Before going to trial, there may be opportunities to negotiate a settlement with your employer. Your attorney can help facilitate these discussions, aiming to reach a fair agreement without the need for a lengthy court battle. If a settlement cannot be reached, your case may proceed to court, where both parties will present their arguments. In some cases, mediation or arbitration might be suggested as alternative dispute resolution methods. These can be less formal and quicker than going through a full trial.

FAQ

What is the MWA?

The MWA, or Minimum Wage Act, is a law in Washington State that sets the rules for minimum wage and overtime pay. It ensures that employees receive fair compensation for their work, especially when they work more than 40 hours in a week.

What is the FLSA?

The FLSA, or Fair Labor Standards Act, is a federal law that applies across the United States. It sets the minimum wage and outlines who is eligible for overtime pay. The FLSA serves as a baseline, and states like Washington can build on these standards with their own laws.

What does exempt status mean?

Exempt status refers to employees who are not entitled to overtime pay under certain conditions. This typically applies to employees who perform specific job duties and meet certain salary criteria. If classified as exempt, an employee does not earn overtime pay for hours worked over 40 in a week.

What is a salary basis?

Being paid on a salary basis means that an employee receives a fixed amount of money regularly. This pay should not change based on how many hours or the quality of work performed. It’s a key factor in determining whether an employee is exempt from overtime pay.

What is a window of correction?

A window of correction is a situation where an employer can fix mistakes in how they have paid employees without losing the exempt status for those employees. This is important because it allows employers to correct errors without automatically having to pay overtime.

Are deductions allowed for exempt employees?

Generally, deductions from an exempt employee’s salary are not allowed if they affect the salary basis. However, there are specific, legally defined circumstances where deductions might be permissible without affecting the exempt status.

How is overtime calculated?

Overtime is usually calculated as one and a half times an employee’s regular hourly rate for any hours worked over 40 in a week. This calculation applies unless the employee is classified as exempt.

What is a bona fide professional?

A bona fide professional is an employee who meets specific criteria, such as job duties and salary level, under the law. This classification can make them exempt from overtime pay requirements.

What are compensatory time banks?

Compensatory time banks allow employees to earn time off instead of receiving overtime pay. This is more common in public sector jobs, where employees can accrue extra hours worked as time off to be used later.

What is a summary judgment?

A summary judgment is a legal decision made by a court without a full trial. It occurs when the court determines there are no significant facts in dispute and can decide the case based on the law.