Three Wage And Hour Predictions For 2022: Pay Incentive Class Actions, Cryptocurrency Pay, And Multistate Class Actions

With the calendar having turned to 2022, it is time to look into the crystal ball and make a few predictions for the year ahead related to the wage and hour world.

Class and Collective Actions Concerning Hiring and Retention Incentives Will Increase

In 2021, many employers across the country experienced starkly increased competition for workforce talent. Whether it was convincing existing employees not to participate in the "Great Resignation" or persuading candidates with multiple job options to join the home team, companies often relied on financial bonuses to curry employment favor. The increased use of these financial incentives may lead to increased class and collective action lawsuits regarding these payments. Specifically, increased wage and hour litigation activity may address whether such enticements were nondiscretionary bonuses that needed to be included in the overtime rate calculations for nonexempt employees. Employers may want to consider auditing