Business Services Industry

Labor Law Update.

Mondaq Business Briefing, October, 2003

CLASS ACTION UPDATE: LARGE FAIR LABOR STANDARDS ACT COLLECTIVE ACTION MAY PROCEEDIn Perez v. RadioShack Corp., WL: 21372467, 8 Wage and Hour cases 2d BNA 1409 (N.D. Ill. 2003), United States District Judge Rebecca R. Pallmeyer of the Northern District of Illinois held that the named plaintiffs in a Fair Labor Standards Act ("FLSA" or "Act") lawsuit could send notice of the suit to more than 10,000 RadioShack store managers, informing them that they may "opt-in" (i.e., join) the lawsuit. The named plaintiffs claim that by erroneously classifying store managers as "exempt" under the FLSA, RadioShack has denied the managers overtime pay of more than $100 million for hours worked in excess of forty per week. Specifically, the managers argue that they should not have been...

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