The Gymboree Corporation recently agreed to pay $463,600 to settle a lawsuit filed by the Massachusetts Attorney General's Office for violating state labor laws.
According to Massachusetts state law, all employees must be able to take a 30-minute meal break for every shift they work lasting longer than six hour, but the break may be unpaid. Employers must compensate employees for the break time if employees agree to waive the paid break and work through their meal period or must remain on the premises during the break per the employers request.
Violations of meal break laws could result in heavy fines. Employers found in violation could be charged between $300 and $600 in penalties. In the Gymboree cases the company was required to pay $130,000 to current and former managers, $320,000 in penalties to Massachusetts and $13,600 to update company
employee attendance policies to reflect labor law policies.
Employers should regularly audit their payroll records for meal break practices, according to Ogletree Deakins. Audits should examine if employers are giving appropriate breaks for every eligible shift, if employees must stay on the premises during breaks, if written waivers are collected for for those who opt out of breaks and if employees are allowed to pray during a meal break, which is guaranteed by the state.
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