A class action lawsuit has been filed against the music label alleging information technology workers were wrongfully denied overtime pay. The lawsuit was filed in Los Angeles County Superior Court and claims computer and network support employees were improperly categorized as exempt from overtime entitlement to avoid paying them proper overtime wages and meal breaks.
Under the Fair Labor Standards Act, employers must pay at least 1.5 times regular pay if their employees work more than 40 hours in a work week. Under California regulations, an exempt IT employee must primarily perform work that is intellectual or creative and requires the exercise of discretion and independent judgment and the employee must earn over $41 per hour. The employees are seeking back wages and civil penalties.