As with many employment
and labor law related cases that are being litigated around the country,
there are always a few that stand out. This is one to keep an eye on.
Lower Court Opinion: http://www2.bloomberglaw.com/public/desktop/document/Busk_v_Integrity_Staffing_Solutions_Inc_713_F3d_525_20_WH_Cases2d
Current Status: On March 3, 2014, the United States Supreme Court granted the petition in this case.
Facts: The Plaintiffs claimed that their employer failed to compensate them for time spent in security screenings at the end of each work shift, in violation of the Fair Labor Standards Act ("FLSA"). The Plaintiffs alleged that employees waited up to twenty five minutes to be searched, with the search including the removal of employees' wallets, belts, and keys and passing through a metal detector. The employer claimed these searches were necessary to minimize "shrinkage" and control the theft of any items by the employees.
Note that the FLSA generally does not provide for compensation for activities that are preliminary or postliminary to the employee's principal activities. Preliminary and postliminary activities that are "integral and indispensable" are compensable under the FLSA, however. To be "integral and indispensable", the activity must be (1) necessary to the principal work performed and (2) done for the benefit of the employer.
On appeal, the Ninth Circuit Court of Appeals reversed the district court and held that the Plaintiffs had sufficiently alleged that the security checks were necessary to their primary work as warehouse workers and done for the employer's benefit. Consequently, the Court of Appeals found this time was compensable under the FLSA.
Looking Back: Two recent cases that have been ruled upon may provide some guidance on how this case will be decided. In the first case handed down by the Supreme Court recently, Sandifer v. United States Steel (Sandifer v. United States Steel blog), the Supreme Court held that time spent changing in and out of protective gear and clothing was not compensable time under the FLSA.
As for the second case, a District Court in California decided the case of Troester v. Starbucks, Corp. (Troester v. Starbucks Corp. blog) and held that the time Starbucks baristas spent closing down the store after clocking out was de minimis time, and therefore not compensable.
The Main Issue: Whether time spent in security screenings at work is compensable time under the FLSA. Note that the FLSA generally does not provide for compensation for activities that are preliminary or postliminary to the employee's principal activities. Preliminary and postliminary activities that are "integral and indispensable" are compensable under the FLSA, however. To be "integral and indispensable", the activity must be (1) necessary to the principal work performed and (2) done for the benefit of the employer.
On appeal, the Ninth Circuit Court of Appeals reversed the district court and held that the Plaintiffs had sufficiently alleged that the security checks were necessary to their primary work as warehouse workers and done for the employer's benefit. Consequently, the Court of Appeals found this time was compensable under the FLSA.
Looking Back: Two recent cases that have been ruled upon may provide some guidance on how this case will be decided. In the first case handed down by the Supreme Court recently, Sandifer v. United States Steel (Sandifer v. United States Steel blog), the Supreme Court held that time spent changing in and out of protective gear and clothing was not compensable time under the FLSA.
As for the second case, a District Court in California decided the case of Troester v. Starbucks, Corp. (Troester v. Starbucks Corp. blog) and held that the time Starbucks baristas spent closing down the store after clocking out was de minimis time, and therefore not compensable.
Lower Court Opinion: http://www2.bloomberglaw.com/public/desktop/document/Busk_v_Integrity_Staffing_Solutions_Inc_713_F3d_525_20_WH_Cases2d
Current Status: On March 3, 2014, the United States Supreme Court granted the petition in this case.
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