LinkedIn, U.S. Labor Department Settle Overtime Case for $6M

LinkedIn Corp. will pay approximately $6 million in back overtime and damages to 359 current and former employees, according to Chicago Tribune. Workers in California, Illinois, Nebraska and New York will receive payment.

According to David Weil, a Labor Department administrator, LinkedIn has kept up their part of the deal. “[LinkedIn] has shown a great deal of integrity by fully cooperating with investigators and stepping up to the plate without hesitation to help make workers whole.”

The Labor Department’s investigation revealed that LinkedIn, based in Mountain View, California, did not properly record hours and compensate workers for all hours worked, which violates provisions of the Fair Labor Standards Act (FLSA). Shannon Stubo, vice presidents of communications, took a relatively positive approach to the settlement. She said, “This was a function of not having the right tools in place for a small subset of our sales force to track hours properly.”

The FLSA requires that non-exempt workers (outside of salaried managers) be paid at least the federal minimum of $7.25 plus overtime pay at the minimum rate of 1.5 times the regular hourly rate for hours worked past 40 hours in a given work week.

LinkedIn reaches 200 countries, and career profiles are available in 20 different languages. More than 300 million people use the professional career application. Moreover, users spend an average of 17 minutes on LinkedIn per month.

 

Image Credit: via REUTERS/ROBERT GALBRAITH

About Blaine Martin

I enjoy taking in the world around me and facing the challenge of conveying news and information that is clear, timely and professional. Please like and share our articles!

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