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Number of Wage and Hour Claim Soar High in 2013

overtimeAs compared to the 2012 statistics, the number of wage and hour claims in 2013 has reached an alarming record high. This is despite the existing labor laws concerning wage, hours, compensation and other related aspects.

According to reports, cases of wage and hour claims filed under the Fair Labor Standards Act (FLSA) have constantly soared high despite the reported moderation in the past twelve months.

Based on a recent data gathered by the Federal Judicial Center, a significant increase of 10 percent in the 2013 statistic was seen. The agency reported that there were only 7,064 wage and hour complaints in 2012, while in 2013, the said number jumped to 7,764.

Giving employees with a salary lower than the federal’s and state’s standard minimum wage, not giving them with overtime pay, misclassifying employees as exempt and independent contractor in order to prevent them from receiving the rightful compensation they deserve is a clear wage and hour violation.

Subsequently, an employment law attorney based in Los Angeles, where wage and hour violation is a common employment malpractice, believes that the following factors may have significantly contributed for the increased filings of lawsuits last year:

Growing economy

While the economy improves, the country’s financial position improves as well. In such event that new companies are able to cope with the improving economy, they become a more attractive target for plaintiffs and their counsels.

Increase in employment demands

Due to the economic improvement, the increase in employment demands for both exempt and non-exempt employees has made employees to question their employer’s pay practices.

Huge case settlements in the past

More lawyers now consider filing wage and hour lawsuits after being motivated by huge chunks of settlements in previous cases.

Awareness

Due to the increased access to social media, employees have become more aware and sensitive to wage and hour issues.

 

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