Loading
The reputation of Florida being a heavily litigious state is apparently well earned.
Consider this factoid: Nearly 30% of the 1,870 wage and hour claims filed under the national Fair Labor Standards Act occurred in Florida this year, according to Thomson Reuters data. That's more than California, New York or Texas. Roughly one in 10 of those claims were filed in the U.S. District Court for the Middle District, which covers the bulk of the Gulf Coast, says Tampa attorney Christine Howard.
The figures, further, aren't merely a one-year blip. Florida averaged 34% of all claims over a five-year period. Most of the claims arise when employees, many times through high-powered plaintiff class-action firms, accuse a business of unfair pay practices or unseen overtime pay. The cases could cost businesses thousands of dollars in fees and penalties.
Howard, managing partner at Fisher & Phillips LLP in Tampa, says several elements have led to Florida's lofty position in wage and hour claims. For one, the Fair Labor Standards Act was modified in 2004, and that opened more avenues to bring claims. Also, tourism and hospitality jobs are magnets for these claims, given the industry is both large and filled with many hourly employees. “Certainly Florida has the type of jobs that can be susceptible to misconduct,” Howard tells Coffee Talk.
Florida business owners and executives can nonetheless fight back against wage and hour claims. One key, says Howard, is on the prevention side. “You want to be as proactive as possible about this,” says Howard. “There are steps you could take to protect your business.”
That includes training managers and having written policies in place about employee classification and overtime rules. Howard, whose firm handles defense work in employment law, also says it's critical to update the training and policies, so managers don't get complacent.
Your free article limit has been reached this month.
Subscribe now for unlimited digital access to our award-winning business news.
Join thousands of executives who rely on us for insights spanning Tampa Bay to Naples.
