State law provides that employees must be paid overtime at one-and-one-half times their 'regular rate of pay'
Los Angeles, CA (PRWEB) November 09, 2012
On October 25, 2012, the Los Angeles employment attorneys at Blumenthal, Nordrehaug & Bhowmik filed a class action lawsuit against Zaven Tootikian, an indvidual who conducts business under the fictitious business names Payment Systems, Payment Systems Corp., International Payment Systems, and Merchant Processing Solutions ("Payment Systems") alleging Payment Systems miscalculated overtime rates and thus failed to pay its employees the full amount of overtime wages owed to them during their employment.
Founder of Blumenthal, Nordrehaug, & Bhowmik, Norman Blumenthal, stated, “a hurting economy is no excuse for companies to neglect overtime payment to their employees.”
California and federal law requires that all non-exempt employees must be paid overtime at one-and-one-half times their regular rate of pay. Regular rate of pay, however, does not simply mean “hourly rate” for all employees. If non-exempt employees receive non-discretionary bonuses and/or commissions, then these bonuses and/or commissions must be factored into the calculation of their regular rate of pay for purposes of calculating their true overtime rate of pay.
The class action Complaint alleges that Payment Systems has a compensation payment system that pays their employees commissions in addition to their hourly pay. Furthermore, the Complaint alleges that Payment Systems failed to factor in their employees’ commissions when calculating their overtime pay. Dodds, et al. vs. Zaven Tootikian, Case No. BC494402 is currently pending in the Los Angeles County Superior Court for the State of California.
About Blumenthal, Nordrehaug, & Bhowmik-
The employment law firm Blumenthal, Nordrehaug & Bhowmik represents many California workers in class action lawsuits against their current and/or former employers for various wage and hour violations. They have a combined 80 plus years experience in labor and employment litigation. They have offices in San Diego, Los Angeles, and San Francisco.
Feel free to contact an experienced San Francisco employment attorney today for advice by calling (866) 771-7099.