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Managers Can Be Held Personally Liable in Wage Lawsuits

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It’s a little known fact that the Fair Labor Standards Act has a broad definition of the term “employer” as which it includes “any person acting directly or indirectly in the interest of an employer,” leaving managers, supervisors, and human resource professionals potentially and personally liable in wage and overtime lawsuits.

As an explanation of the law, Business Management Daily gave the following recent case as an example. Apartment maintenance worker Victor filed a lawsuit saying he was not paid for many of the hours he worked. He named his employer in the lawsuit, of course, but also named his supervisor Jennifer. Jennifer tried to have the charges against her dismissed but the court found that because Jennifer handled time sheets, had control over Victor’s schedule, and disciplined employees, she was liable under FLSA guidelines for any employee wage and overtime violations.

Furthermore, managers, supervisors, and HR professional should keep in mind that wage and overtime lawsuits can look back three years, and often employees that win their cases can be awarded twice the amount originally owed. The employer, and any manager or supervisor named in the lawsuit can also be held responsible for court and attorney costs and fees. disclaimer: This article: Managers Can Be Held Personally Liable in Wage Lawsuits was posted on Friday, July 6th, 2012 at 7:57 pm at and is filed under Employment Lawsuits.

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