3rd Circ. Creates Joint Employer Test For FLSA Cases

By Abigail Rubenstein (June 28, 2012, 7:11 PM EDT) -- The Third Circuit on Thursday established a new test for determining a joint employer relationship under the Fair Labor Standards Act and then concluded that Enterprise Holdings Inc. was not an employer of its car rental subsidiaries' assistant managers under the new standard.

The assistant managers, who claim they were improperly classified as exempt from overtime pay, turned to the Third Circuit after the judge overseeing a multidistrict litigation against Enterprise — formerly known as Enterprise Rent-A-Car Co. — and several of its subsidiaries granted summary judgment to Enterprise on the grounds that it was not the plaintiffs' joint employer under...

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