Workers Eligible for TREBLE Damages for Minimum Wage & Overtime Violations

New Mexico Governor Bill Richardson recently signed a wage enforcement bill (H 489) to allow underpaid workers to collect their back wages plus twice that amount in damages. These workers are suing for under-compensation due to either minimum wage or overtime violations, or both. New Mexico is the 8th state to recently enact this type of legislation. We previously noted that federal priorities under the Obama administration are moving towards increased wage and hour enforcement.

Nannies and other household workers (domestics) are covered by the Fair Labor Standards Act. The FLSA mandates that the nanny or housekeeper be paid at least the minimum wage, and the nanny or housekeeper who does not live with their employer is entitled to overtime (time and one half, calculated as 150% of the regular hourly wage) for hours worked over 40 in a week. Families can protect themselves by stating the nanny's hourly wage in a written work agreement, maintaining accurate and contemporaneous time tracking records, and always paying the overtime rate for hours worked in excess of 40 in a week.

Legislatures in California, Iowa, Maryland and North Carolina have similar legislation under consideration.