All former and current employees of Weatherford International, LCC.
Why Is Weatherford Getting Sued?
Weatherford is accused of failing to properly pay overtime wages to its employees as required by the Fair Labor Standards Act.
What Is the Fair Labor Standards Act?
The FLSA governs the proper way for companies to pay their workers overtime – defined as any time worked over 40 hours in a week. Overtime must be paid at a rate of at least time-and-a-half a workers' regular pay, and although exemptions apply (for managerial positions, for example), most employees are entitled to overtime pay.
Type of Lawsuit
Class and Collective Action
Weatherford International, LLC is facing a class and collective action alleging that some employees were not properly paid overtime wages. In light of this information, attorneys want to hear from other current and former employees to determine whether additional lawsuits can be filed against the company.
Why Are Weatherford Employees Suing for Overtime Wages?
The suit claims that Weatherford violated a federal law known as the Fair Labor Standards Act (FLSA) when it failed to pay overtime wages to certain employees. These workers are paid a fixed weekly salary, regardless of the number of hours worked, as well as a lump sum for each day worked in the field. (This lump sum may also be referred to as a “day rate” or “field bonus.”) For example, a worker may receive a salary of $50,000 per year in addition to a set amount of $200 for every day worked.
How Did Weatherford Allegedly Violate the FLSA?
The FLSA requires that employees must receive at least time-and-a-half pay for every hour of overtime. Because Weatherford is counting a day as a single unit, the actual hours worked by the company’s employees are not recorded and are not a factor in determining how much workers earn, according to the lawsuit. The suit claims that Weatherford’s alleged practice of paying a lump sum for work performed during overtime hours (that did not take into account the number of hours the employee works) does not qualify as an overtime premium and violates the FLSA.
The Fair Labor Standards Act (FLSA) governs how employees must be paid and its definition of overtime pay is very clear: it is hours worked that matter, not days.