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The Third Circuit has ruled that Pennsylvania’s Lackawanna County didn’t willfully violate the Fair Labor Standards Act when it failed to pay overtime to workers who performed multiple part-time jobs.
Souryavong and Rolon were among a group of employees who worked in two separate part-time capacities for Lackawanna County. The county purportedly tracked and paid these employees for each of their individual jobs. However, in 2011, it became aware that it had failed to aggregate the hours in both jobs, which resulted in a failure to pay the overtime rate for hours they worked beyond the 40 hour pay period.
Complaints were filed by Souryavong, Rolon and Velez in Pennsylvania federal court, alleging in part that the county violated FLSA’s overtime provisions. After about two years of litigation, it was undisputed that the county had violated the FLSA’s overtime provisions at various times, but the parties still disputed whether that violation was willful.
During the trial, the plaintiffs presented evidence that included documents showing the county’s failure to pay proper overtime. In addition, testimony from Lackawanna County’s chief financial officer indicated that the county was generally “aware” of its obligations under the FLSA “from 2007 onward.” Plaintiffs also proffered an email from Nancy Pearson, the county’s human resources director, to two other county officials that discussed certain county employees who were working “second jobs.”
At the close of trial, however, the county asked the court to enter judgment as a matter of law, arguing the employees’ evidence was insufficient to create a jury question on willfulness. U.S. District Judge A. Richard Caputo entered judgment in the county’s favor on the willfulness question, holding that the workers’ evidence did not “measure up.”
A three-judge panel found that the evidence didn’t suggest that the county was specifically aware of the two-job FLSA overtime problem, particularly as it related to Souryavong and Rolon, prior to the dates of the violations. In addition, the panel found that evidence, including testimony from both the county’s human resources director and chief financial officer that the county was generally aware of its FLSA obligations, wasn’t enough to show that the county willfully didn’t pay overtime to Souryavong and Rolon. Accordingly, the panel upheld the decision by Judge Caputo, holding that the county didn’t willfully commit the alleged violations.
If you have any questions or would like further information, please contact Barry S. Brownstein at [email protected].