Reo Contractors, Inc. and two individuals are facing claims that they misclassified their employees as exempt from overtime wages under the Fair Labor Standards Act. A former employee has filed a proposed class action lawsuit against the company after allegedly routinely working more than 40 hours per week for the defendants without receiving overtime compensation. The worker says she was paid a salary, but was not given the authority normally associated with an exempt position, such as the power to make major decisions affecting the business, waive established policies, and advise management. According to the complaint, “[the d]efendants received complaints from Plaintiff or Class Members regarding these excessive hours and the failure to compensate for all hours worked but failed to redress these concerns, necessitating this lawsuit.”
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