Wages / 7.06.2014

Employers Can’t Shorten Time Limitations For Federal Wage Claims

In an important decision for employees, the Court in Boaz v. FedEx Cust. Info. Serv. held that an employer cannot shorten the limitations period for a worker to sue under the Fair Labor Standards Act 
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    In an important decision for employees, the Court in Boaz v. FedEx Cust. Info. Serv. held that an employer cannot shorten the limitations period for a worker to sue under the Fair Labor Standards Act (“FLSA”) for owed overtime and/or the minimum wage.

    In Boaz, the employee brought suit against FedEx for unpaid overtime wages. While employed with FedEx, Ms. Boaz signed an employment agreement that stated: “To the extent the law allows an employee to bring legal action against Federal Express Corporation, I agree to bring that complaint within the time prescribed by law or 6 months from the date of the event forming the basis of my lawsuit, whichever expires first.”

    Under the FLSA, an individual has up to three years to file a complaint in court for violations of the statute. If FedEx’s employment agreement had been upheld, employers could unilaterally limit that time period to any time period they chose.

    The Court determined that FedEx’s limiting provision was not enforceable, upholding the rule that neither employers nor employees can limit wage rights under the FLSA.

    Individuals are not always aware that their rights have been violated. Statutes have extended limitations periods, in part, to provide workers a reasonable amount of time to file a complaint.

    If you think you are owed unpaid wages, the attorneys at Lebau & Neuworth, LLC, may be able to help. We are experienced at handling wage and hour claims. For more information contact us at http://lebauneuworth.com/.

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