CHICAGO — All of Dominick’s grocery stores in the Chicago area closed at the end of 2013. But Dominick’s remains in Chicago’s federal court after a former store merchandise manager and assistant manager filed a lawsuit for unpaid overtime wages against both Dominick’s and its parent company Safeway, Inc. The lawsuit claims Dominick’s had the merchandise managers and assistant managers regularly work more than 40 hours per week, yet did not pay them overtime. The managers, Janice Balonek and Jana Bready, claim Dominick’s under-reported the number of hours they worked. The lawsuit has not been granted class-action status yet, but 17 other former managers are seeking to join the action. The former managers are seeking unpaid overtime, damages, and legal fees.
Company job titles and hierarchies can occasionally mislead some employers to wrongly classify and deny overtime pay to their employees. In some cases “managers,” “supervisors,” and even some “salaried” individuals are eligible for overtime. In fact, they will be eligible for overtime unless they meet the requirements for “exempt” status.
The tests for “exempt” status under the Fair Labor Standards Act (FLSA) and under state minimum wage and overtime laws are not clear-cut and require consideration of a number of factors. One factor to determine if a manager is a “manager” is if the employee receives a salary and if that salary meets the minimum requirement for the applicable law. If the manager’s weekly pay changes depending on the number of hours the manager works or is less than $455 a week, then the manager likely does not receive a salaried wage that meets the “exempt” requirements. If an employer under-reports an employee’s hours, as Dominick’s managers claim, it could mean that the number of “hours worked” will change the employee’s weekly pay, which means the employee is likely not “salaried” or “exempt.”
However, meeting salary requirements is not enough for employers to deny overtime pay. The manager’s regular activities and authority are also key factors. If a manager spends more time working as a cashier or stocking shelves than managing the business and employees, then the manager may not be “exempt.” Additionally, if a supervisor or manager does not actually manage or have the authority to hire, fire, or take disciplinary actions against other the employees they are managing, then the manager may be eligible for overtime and is not “exempt.”
Determining “exempt” status can be complicated; our experienced overtime pay lawyers can determine if you are eligible for overtime pay. If you or someone you know has an overtime claim, you should call (855) 754-2795 or complete the Free Unpaid Overtime Case Review form on the top right of this page. Our top rated team of overtime pay lawyers will evaluate your situation to determine if you can file a claim in this lawsuit. There are strict time limitations for filing so it is important that you call our experienced and expert law firm today!