February 14, 2012

Santa Ana Wage Violation Costs Company $99 Million

A pharmaceutical company was recently slapped with a $99 million settlement for not paying sales representatives overtime pay, Bloomberg Businessweek is reporting.

Orange County employment lawyers have seen many types of companies that try to twist rules and cut corners to maximize their profits. Sadly, executives -- making six or seven figures a year, plus stock options -- view low-level employees solely as a means to make this money.
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In some cases, businesses will look at wages or overtime as a way to save money. Often, though, this leads to a wage or hour dispute in Santa Ana. If companies are directing supervisors to falsify time sheets or deny money for work done, it can lead to complaints and lawsuits. Sometimes, these matters require the skills of an experienced lawyer to ensure the employee doesn't get shorted.

In this case, according to the news article, the company found itself as a defendant in a lawsuit involving 7,000 former and current employees. A judge recently agreed to a $99 million settlement in the case, which goes back to 2006.

Workers settled the case before the U.S. Supreme Court was ready to decide if drug makers must pay overtime to up to 90,000 sales representatives. A drug company is challenging whether federal wage-and-hour laws protect sales employees.

According to court records in the case, sales representatives say they were denied overtime pay, in violation of federal wage laws. This federal law deals with most public and private employment and includes laws and rules for different types of industries.

A lower court has ruled that sales representatives should be allowed to receive overtime pay and now the nation's high court is set to hear arguments on the matter. These workers may be entitled to back pay and lost wages.

Businesses will try to save money any way they can and doing it through the hard work of their employees is certainly an option they consider. Sadly, this can lead to major financial problems for an employee who is working more than 40 hours a week and not being paid for it.

In cases like this, it's necessary to hire an experienced Orange County employment lawyer before you discuss the matter with your employer. If companies admit to fault, it can open up a wave of problems for them, so often when they don't pay a worker overtime, they will continue to deny it and defend themselves in court, if necessary. Don't let the company break the law and win.

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January 5, 2012

New Irvine Wage Theft Law Goes Into Effect in January

In the business world, companies strive to make the most amount of money they can on a given product or in whatever service the business offers and sometimes that profit comes in the form of attempts to cut back on employees' wages.

Wage disputes in Irvine and throughout Southern California must be treated seriously because they are serious offenses. In this economy, with unemployment high and many people struggling to make ends meet, any time a company tries to cut back wages unlawfully, the worker must stand up for their rights.
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Our Irvine employment lawyers understand that employees want to keep their jobs. They need to work and they don't want to rock the boat. At the same time, employees mustn't be scared of their employers, but rather they should fight for their rights and stand up for what is right.

Wage disputes come in many different forms and California's employment laws provide various forms of protections for employees who may have problems being paid for work.

Starting at the beginning of 2012, California lawmakers added new protections for workers so they don't have to deal with companies attempting to rip them off through their pay. One specific law, called the Wage Theft Protection Act, means that all newly hired employees must be provided with specific information regarding their work:

-Rate of pay
-Applicable overtime rates
-Food, lodging or other allowances used against minimum wage
-Regular paydays
-Business address and mailing address of company's main office
-Company phone number
-Contact information for company's workers' compensation insurer
-Other needed information

This is designed to provide employees with as much information as possible so that they aren't taken by surprise when the company tries to make sudden changes or to try to show the employee they can't earn what they should. Because of deceptive practices in the past, lawmakers have created this new law so that everything is put in writing when a person is hired so there is no confusion if bosses attempt to make changes.

Our Irvine employment lawyers believe this will be a good step toward ending some common wage disputes in our area. By making sure all the facts are put on paper up front, the employer shouldn't be able to find any loopholes to try to make changes to pay or to try to short the worker for money that was earned on the job.

There are many more ways, however, that a company and employee can run into disputes regarding their pay. One of the biggest is whether an employee can earn overtime. One of the most common ways companies try to profit off their workers are when they classify a person as a "manager" just so they can't earn overtime, yet they still get an hourly wage or don't receive "management-level" benefits. Time and time again, companies try this trick until a group of workers fight back.

Illegal deductions from a paycheck or issues with bonuses are also problems that workers sometimes have with their bosses. And the only way to get a resolution is to bring it to the company's attention. Simply allowing the problem to persist will allow it to happen over and over.

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August 29, 2011

Celebrities Sued Over Allegations of Labor Conditions at Los Angeles Restaurant

A group of celebrity investors have been named in a lawsuit by two men who worked for a restaurant and allege they weren't paid proper wages and were refused legal break times.

Wage and hour violations in Orange County can make work downright awful. How much an employee was owed for working last week or companies trying to trade overtime for comp. time against California law can make for some of the most contentious and bitter disputes in employment law.
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An Orange County Employment Lawyer who has spent years in the courtroom battling corporations over these issues must be considered if this is the case in your workplace. Going 'round and 'round with a boss or up the ladder with a company can be exhausting and unproductive. Get serious.

According to the Los Angeles Times account, two ex-employees claim they were shorted for overtime and weren't allowed to take breaks for food and break as mandated by law. The former cook alleges he didn't get more than $28,000 in overtime and a dishwasher suing with him says he was shorted about $5,800 in pay.

The lawsuit comes as the newspaper reported on a study by the Restaurant Opportunities Center in Los Angeles, that found in February that 82 percent of the city's restaurant workers earn less than a living wage. Most don't get paid sick days, health insurance or have any way to advance in the company.

The study was based on 562 surveys of workers and 60 interviews with both workers and employers about the conditions of restaurant employment. The study focused on the plight of the restaurant industry's immigrant population, in particular. The lawsuit was filed by two Hispanic men, though their immigration status isn't known.

The study makes some interesting, and disturbing, findings about working conditions for those in the restaurant industry in Los Angeles. Every company wants to maximize profits, but it shouldn't come at the expense of its employees, who make the company what it is.

Sadly, another effect of the Great Recession and poor national economy has been the position it has put companies. In years past, there were fewer eligible workers on the market and companies were forced to treat their workers well in order to keep the best. But as unemployment numbers have risen nationwide -- unemployment sat at 9.2 percent in Orange County this June, according to the U.S. Department of Labor's Bureau of Labor Statistics -- businesses can use that economic pressure to keep workers quiet.

Thankfully, not all businesses act this way, but with fewer jobs available and more people seeking work, companies have the pick of the litter. But a worker must be treated fairly and must be paid what they should under the law.

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March 31, 2011

Eglin Baylor Continues Fight Against Clippers in California Discrimination Lawsuit

Former General Manager of the Los Angeles Clippers continues his fight against the team in a Los Angeles race and age-discrimination lawsuit. Baylor claims he was "positioned to take responsibility for the [team's] losses," according to the Los Angeles Times.

With the recent downfall in the economy companies continue to downsize veteran help in favor of cheaper labor and look for other ways to save money -- which may include paying a woman less for the same job. Our San Bernardino employment lawyers are seeing an increase in cases involving age, race and sex discrimination in Los Angeles and the surrounding areas. Consulting an attorney is highly recommended when an employee believes he or she is facing discrimination in the workplace. Too often, employees ignore these actions and suffer without seeking justice and proper compensation.
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Clippers officials claim that Baylor resigned in 2008 after being their GM for 22 years. But Baylor claims that he was unjustly cut from the team because of his race and age, as we reported in our previous California Employment Blog about the case. In addition to his age discrimination suit against the Clippers, Baylor is also seeking compensation for his claim of being underpaid as a general manager of an NBA team.

"The Clippers already had a reputation as a horrible franchise" when Baylor, a former Lakers star, took over the Clippers player-personnel duties in 1986, Alvin J. Pittman said, Baylor's attorney. "Whereas the Lakers had ownership showing an interest in winning, Mr. Baylor accepted a position that was challenging, a team that has a tradition of losing and unwilling to pay or re-sign key players," said the LA Times.

Former GM Baylor, 76, is still claiming he was a victim of age discrimination, while the Clippers continue to deny the allegations. During a hearing, a memo was shown to the jury of seven men and five women. The memo, written by current team President Andy Roeser, stating, "Elgin's not getting any younger."

Baylor was named NBA Executive of the Year in 2005-06 when the team reached the semifinals for the first time since the 1975-76 season. The NBA is also named in the lawsuit, as it alleges the league condoned the discrimination by virtue of knowing the general manager salaries of other teams in the league. Baylor claims he was underpaid, making roughly $350,000 a year which is much less than other GM's.

Discrimination in the workplace is a serious offense with consequences that affect all parties. It is important to consult an experienced attorney when it comes to fighting for your rights in the workplace and protecting the financial well-being of you and your family.

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