• Third Circuit Clarifies What It Means to be a “Joint Employer” Under the Fair Labor Standards Act
  • July 7, 2012 | Author: Emily J. Bordens
  • Law Firm: Bressler, Amery & Ross A Professional Corporation - New York Office
  • In a win for employers, on June 28, 2012, the Third Circuit issued an important decision on “joint employer” liability in In re Enterprise Rent-A-Car Wage & Hour Empl. Practices Litig., No. 11-2883, 2012 U.S. App. LEXIS 13229 (3d Cir. 2012) (“Enterprise”). In Enterprise, the Third Circuit held that a parent corporation could not be held liable for the FLSA violations of a subsidiary unless a court found (under a totality of the circumstances) that the parent corporation had the authority to hire and fire the relevant employees; promulgate work rules and assignments and set the employees’ conditions of employment (compensation, benefits, and work schedules, including the rate and method of payment); provide day-today employee supervision, including employee discipline; and it had actual control of employee records, such as payroll, insurance or taxes.