Overtime Law Blog | FLSA Decisions

Home » Employer » M.D.Tenn.: Contract Cleaners Not Joint Employees of the Restaurants Cleaned, Despite Fact They Exclusively Cleaned Defendant’s Restaurants

M.D.Tenn.: Contract Cleaners Not Joint Employees of the Restaurants Cleaned, Despite Fact They Exclusively Cleaned Defendant’s Restaurants

Submit Your Case - Copy (2)

Wage & Hour News

TwitterGoogle+LinkedInRSSJustia

Enter your email address to subscribe to this blog and receive notifications of new posts by email.

Join 278 other followers

RSS DOL News

  • Eric Biel joins UN forum on partnerships to end forced labor in supply chains
    ILAB's Eric Biel joins UN forum on partnerships to end forced labor in supply chains On Tuesday, July 19 at the United Nations in New York City, Associate Deputy Undersecretary for International Labor Affairs Eric Biel spoke to a multi-stakeholder gathering about “understanding the complexities and vulnerabilities of global supply chains.”  Consumers, p […]
  • Unemployment Insurance Weekly Claims Report
    In the week ending July 16, the advance figure for seasonally adjusted initial claims was 253,000, a decrease of 1,000 from the previous week's unrevised level of 254,000. The 4-week moving average was 257,750, a decrease of 1,250 from the previous week's unrevised average of 259,000. Release Date: 07/21/2016Release Number: 16-1528-NAT Override wit […]
  • Court orders trustees of International Association of Machinists’ national pension fund to restore $200K to plan, pay $40K in penalties
    Court orders trustees of International Association of Machinists’ national pension fund to restore $200K to plan, pay $40K in penaltiesDate of Action: July 19, 2016 Type of Action: Consent judgment and order Names of Defendants: “National Pension Plan,” also known as the International Association of Machinists’ National Pension Fund Gary Allen, Thomas Conner […]

Andrew Frisch

Politron v. Worldwide Domestic Services, LLC

Plaintiffs filed this action for unpaid wages and overtime pursuant to the Fair Labor Standards Act (“FLSA”), 29 U.S.C. § 201, et seq. Plaintiffs’  alleged that they were hired by Defendant Worldwide Domestic Services, Inc. (“Worldwide”) during the time period of October 2010 to December 2010 to clean Chili’s restaurants in the Middle Tennessee area.  The case arose from Plaintiffs’ contention that paychecks issued to the Plaintiffs by Worldwide bounced due to insufficient funds.  Plaintiffs alleged that Defendants’ failure to pay Plaintiffs at least minimum wage for each hour worked is a violation of the FLSA and, as discussed here, that Defendants Worldwide, Elite Commercial Cleaning, LLC and Chili’s, Inc. were “joint employers” under the FLSA.

Acknowledging that the Sixth Circuit had yet to formulate a specific test for the application of joint employment under the FLSA, the court instead discussed law from other courts, who have developed such tests.  Applying the various factors other courts have used, the court determined that the restaurant owner Defendant, was not properly alleged to be a joint employer here.

The court reasoned:

“Here, the Court finds that the agreement between Brinker and Worldwide, as alleged in Plaintiffs’ Amended Complaint, was an outsourcing type of relationship. Worldwide contracted with Brinker to have its restaurants cleaned after hours. Plaintiffs admit that they worked at the direction of Worldwide. Plaintiffs’ work was dependent upon Worldwide’s ability to get and keep contracts for cleaning. Plaintiffs agree that no one from Brinker supervised, trained or directed them; no Brinker employees were even present when Plaintiffs worked. Brinker had no control over their wages, no authority to hire, fire or discipline them, and kept no employment records for Plaintiffs. Plaintiffs received their relevant income tax information from Worldwide or from Defendant Elite Commercial Cleaning. There is no allegation that Brinker knew which employees worked or how many hours they worked.

Although Plaintiffs contend that every hour they worked was at Chili’s and they used some equipment from the restaurants (they also used equipment from Worldwide), the Court finds that the factors indicating a joint employer are outweighed by those which indicate no such relationship between Plaintiffs and Brinker.”

Although the case is not groundbreaking, it does demonstrate the flaws in allowing such “outsourcing” to abrogate a company’s responsibilities to those who provide its essential services under the FLSA.

Click Politron v. Worldwide Domestic Services, Inc. to read the entire Memorandum Decision.


Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

Follow

Get every new post delivered to your Inbox.

Join 278 other followers

%d bloggers like this: