Home for abused, neglected children not under FLSA
A nonprofit that provides residential care for child victims of abuse, neglect and abandonment is not subject to the federal Fair Labor Standards Act a federal District Court in Texas has held in dismissing a suit for overtime pay for direct care personnel. The case arises in an unusual manner. The director of human resources for the home attended a payroll seminar in 2012 and became concerned that the organization was not properly paying overtime to its group home workers. After speaking with someone at the Department of Labor who said the home might be covered, the organization began paying overtime and paid retroactively for the prior two years. When the DOL conducted an audit in August...
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