Published On: Mon, Aug 11th, 2014

LinkedIn Agrees to $6 Million Settlement for Overtime Violations

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LinkedIn will pay $6 million to settle an overtime pay lawsuit filed by the Labor Department, reports.

The suit alleged that LinkedIn violated overtime laws in the Fair Labor Standards Act by allowing workers to work unpaid overtime.

The US Department of Labor says LinkedIn will pay $3.3 million in retroactive unpaid overtime, as well as $2.5 million in damages.

The settlement covers about 360 current and former LinkedIn employees in California, Nebraska, Illinois and New York.

The Labor Department found that LinkedIn did not properly record and pay employees for all hours worked, including overtime hours. As part of the settlement, LinkedIn is required to instruct its employees that they may not perform any work off the clock, and to remind the same employees about the company’s policy prohibiting retaliation against employees that complain about workplace issues.

“‘Off the clock’ hours are all too common for the American worker, ” said Susana Blanco, district director for the Wage and Hour Division in San Francisco. “The Practice harms workers, denies them the wages they have rightfully earned and takes away time with families.”

Under the Fair Labor Standards Act, non-exempt employees must be paid one-and-one-half times their regular rate of pay for hours worked beyond 40 hours in week.

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