US workers turn to courts to win overtime payouts

Lawsuits accusing American companies of failing to pay owed overtime to
white-collar workers have tripled since 1997, according to data from the
Administrative Office of the US Courts.

The bureau, which tracks federal litigation cases, said white-collar workers
filed 102 overtime class-action lawsuits in 2003 compared with only 31 in 1997.
Groups that sued included managers with light managerial duties, who were
denied time-and-a-half pay after 40 hours because they were told they were
ineligible.

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Meanwhile, the US Department of Labor has drafted new rules to guarantee
overtime payments for salaried workers earning less than $23,660 (£12,950)
annually.

The reforms, which are expected to be effective from August, will strengthen
overtime rights for 6.7 million American workers, including 1.3 million
low-wage workers who were denied payments under the old regulations.