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More overtime hours, less overtime pay?

Federal lawsuits over wage and hour violations are up since the start of the recession.

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Kai Ryssdal: An interesting item crossed our desks here this morning in the 'how much people work and how much they get paid for it?' department. A memo from a union president telling his members, "You have to file for every dime the contract says the company owes you." Basically, don't work a minute over 40 hours without getting paid for it.

We asked Mitchell Hartman to find out whether people not getting paid for overtime is a trend in this post-recession economy.


Mitchell Hartman: There definitely is a trend. More federal lawsuits filed over alleged wage and hour violations -- 30 percent more since 2008, almost four times as many since 2000.

Barry Miller is a partner at the law firm Seyfarth Shaw that crunched the numbers. They represent employers.

Barry Miller: And certainly the economy plays into that. Because you have a lot more people who are out of work. And the longer it takes somebody to find a new job, the more likely they are to sue.

Cathy Ruckelshaus is legal director at the National Employment Law Project, which advocates for employees. She thinks there are more violations now -- managers pressuring workers to put in extra time off the clock to finish up jobs and increase productivity.

Cathy Ruckelshaus: Workers sort of grinning and bearing it. It’s always hard for workers who are still working at an employer to come forward and complain or even to ask about pay discrepancies or long hours, because they fear losing their jobs.

Southern California warehouse worker David Acosta is a plaintiff in a class-action lawsuit alleging wage theft and failure to pay overtime. He says he and fellow workers were paid at minimum wage or below, and never got overtime -- even when the warehouse was busy and they worked from 6 a.m. to 9 o'clock or 10 o'clock at night. We reached him at home on his day off.

David Acosta: I mostly did it because of my family. We also we had this fear where if we complained we would often see the repercussions where our paychecks would actually be short.

We did not receive a response to the allegations in this lawsuit from the warehouse companies, by our deadline.

Employment lawyer Barry Miller notes that wage and hour lawsuits are up in both federal and state courts, especially in California, New York and Massachusetts.

I’m Mitchell Hartman for Marketplace.

About the author

Mitchell Hartman is the senior reporter for Marketplace’s Entrepreneurship Desk and also covers employment.
Lulaine@RDLegalFunding's picture
Lulaine@RDLegal... - Jul 24, 2012

This is one of the big fights employees and employers have. Many of the biggest employers use this tactic against contract employees as a way of getting more for less which is illegal. That is why criminal charges are good but civil charges are effective because the purden of proof is different and many times strenuous than criminal evidence standards.

http://www.legalfunding.com/solutions/fee_acceleration.cfm

TimSmith's picture
TimSmith - Jul 12, 2012

Want a great deal? Why not try working for Chrysler? I have to buy my own equipment, I have to do all sorts of online correspondence for Chrysler off the clock, I get chiselled on my compensation, no health insurance, and I risk physical injury every day. Why today somebody got their arm dislocated. I also have to acquire professional designations at my own expense. Yet there are people who come in and drink on the job, smoke cigarettes all day, and spit on the floor. They are treated like gold, while the skilled people are treated like dirt. It works out to less than five dollars and hour. I'd go work at McDonalds, but the kids have those jobs sewn up.

SKIP780's picture
SKIP780 - Jul 12, 2012

Oh cry me a river! All of those Truck Drivers out there operating the big rigs are regulated under Federal law and can, and are dispatched close to, work 14 hr/day, driving 11 hrs. We can work 70 hrs in an 8 day period. Thats with no overtime. Us drivers are out here day and night delivering everything that you have and consume. We work long, hard, boring hours, a lot of them. So when I a story of how long someone has to sit in an office before they get to go home, I think what a wuss! Go on the road for just a week and then cry about your job.
Frank