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School Districts, Municipalities, Counties, States, and Other Public Institutions
School districts, municipalities, counties, state agencies, and public institutions often encounter circumstances that cause them to have inadvertent but expensive compliance failures. Common FLSA difficulties concern "white collar" and computer specialist exemption classification, correct application of §§ 7(k) and 13(b)(20) exemptions, employment relationship, joint employment, dual jobs, hours worked determinations, overtime compensation computation, and compensatory-time practices.
Since 1999, hundreds of school districts have been sued, in U. S. District Courts, by thousands of employee plaintiffs alleging FLSA violations. The expenses of judgments and settlements (back wages and legal costs) have burdened the taxpayers of these districts. Even some small rural school districts have settled cases by paying more than a half-million dollars (per district) in back wages and plaintiffs' attorneys' fees. Some of the districts that went to court have sustained even more devastating losses (back wage judgments, liquidated damages, and other expenses).
Collective-action suits against other types of public agencies are also common, especially involving fire protection, law enforcement, and emergency medical services.
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