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Strippers’ Lawsuit Challenges Independent Contractor Status, Boston Globe Reports

As reported in yesterday’s Boston Globe:

“When Noel Van Wagner began working as a stripper in New England clubs about 15 years ago, she typically got a modest wage or no salary at all. But she said she made so much in tips – $300 to $800 per shift – that she didn’t care and didn’t even mind paying club owners $10 or $20 for the right to perform each night.

Like other forms of entertainment, however, strip clubs have lost customers because of the bad economy, and Van Wagner said the place where she works, Ten’s Show Club in Salisbury, has responded by wringing as much money as it can out of each dancer. The club, she says, pays no salary, charges each stripper $40 to $60 per shift to perform, and imposes other fees for lateness or failing to participate in every dance routine – all at a time when tips have plunged.

Yesterday, she and another dancer at the club, along with one who left in March, sued the business in Essex Superior Court for allegedly misclassifying them as “independent contractors,” depriving them of wages and tips. The strippers were emboldened by a recent state court ruling that about 70 strippers who worked at King Arthur’s Lounge in Chelsea were entitled to recover thousands of dollars in damages in a class-action lawsuit that made similar allegations. That complaint was believed to be the first of its kind in Massachusetts.”

To read the entire article go to the Boston Globe’s website.

Although it is a widespread practice nationwide, for adult entertainment nightclubs to treat their performers as independent contractors vs employees, most courts to have considered the issue have found such performers to be employees.  Nonetheless the rampant misclassification of strippers and other adult entertainers continues all over the country.

$7.6 Million Judgment For Louisville Firefighters Upheld On Appeal, Courier-Journal Reports

Friday’s Courier-Journal reports that Louisville “[f]irefighters came another step closer in their quest to get back pay from Louisville Metro Government for 15 years in which they claim their overtime was miscalculated.

On Friday, the Kentucky Court of Appeals upheld a Jefferson Circuit Court ruling that says Louisville violated the firefighters’ contract by not including incentive and longevity pay in calculations for overtime pay. The ruling entitles more than 800 firefighters to pay going back 15 years from when the claim was filed in 2000.

The ruling could cost the city $7.6 million plus interest.”

To read the entire article go to the Courier-Journal website.

While Salary Increases Were Lowest in 33 Years, Variable Pay Awards Reached an All Time High in 2009, Hewitt Study Finds

While the economic downturn prompted U.S. companies in 2009 to grant employees the lowest base salary increases in 33 years, funding for variable pay was at an all time high, according to a recent survey by Hewitt Associates, a global human resources consulting and outsourcing company. For 2010, employees can expect to see a similar mix of compensation payouts, with variable pay budgets projected to remain stable and base salary increases rising only slightly.

To read the entire press release go to Hewitt Associates’ website.