New Standard for FLSA Collective Actions in Sixth Circuit
The Fair Labor Standards Act (FLSA) requires employers to pay minimum and overtime wages and allows a plaintiff to bring a “collective action” on behalf of “similarly situated” employees. Before proceeding as a collective action, the court determines whether the employees in the collective action are similarly situated. If so, the employees receive notice of the litigation and must then opt-in to participate.
Many courts apply a lenient standard, which typically results in notice being sent to employees. The Sixth Circuit, which covers Kentucky, Michigan, Ohio, and Tennessee, recently rejected a lenient standard and adopted a new standard under which the plaintiff must show a “strong likelihood” that the employees are similarly situated to each other.
The Sixth Circuit’s recent decision is a step toward leveling the playing field and provides employers a more realistic chance of defeating notice to opt-in plaintiffs.
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News from Scopelitis is intended as a report to our clients and friends on developments affecting the transportation industry. The published material does not constitute an exhaustive legal study and should not be regarded or relied upon as individual legal advice or opinion.
New Standard for FLSA Collective Actions in Sixth Circuit
The Fair Labor Standards Act (FLSA) requires employers to pay minimum and overtime wages and allows a plaintiff to bring a “collective action” on behalf of “similarly situated” employees. Before proceeding as a collective action, the court determines whether the employees in the collective action are similarly situated. If so, the employees receive notice of the litigation and must then opt-in to participate.
Many courts apply a lenient standard, which typically results in notice being sent to employees. The Sixth Circuit, which covers Kentucky, Michigan, Ohio, and Tennessee, recently rejected a lenient standard and adopted a new standard under which the plaintiff must show a “strong likelihood” that the employees are similarly situated to each other.
The Sixth Circuit’s recent decision is a step toward leveling the playing field and provides employers a more realistic chance of defeating notice to opt-in plaintiffs.
News from Scopelitis is intended as a report to our clients and friends on developments affecting the transportation industry. The published material does not constitute an exhaustive legal study and should not be regarded or relied upon as individual legal advice or opinion.