Connecticut Employment Law Blog Insight on Labor & Employment Developments for Connecticut Businesses

Tag Archives: unpaid wages

Who’s a “Successor” for FLSA Purposes? District Court Outlines Three Tests…And Punts

By Daniel Schwartz on Posted in Wage & Hour

When faced with an unpaid wage claim (such as one brought under the Fair Labor Standards Act — FLSA, for short), an employer has one option that is often off the table, an option nicknamed the "nuclear option".   What is it? It is to close the business, either through a bankruptcy or just an… Continue Reading

Settlement Reached in MLN Bankruptcy Matter; Workers to Collect $2.7M in Unpaid Wages

By Daniel Schwartz on Posted in Human Resources (HR) Compliance, Litigation, Wage & Hour

A quick update on the Mortgage Lenders Network matter I’ve covered a few times before (here and here.)  Earlier this month, a Delaware bankruptcy court approved of a $2.7 million settlement of a class-action lawsuit filed on behalf of more than 1600 employees, many of whom worked in Connecticut. The settlement, first reported by the… Continue Reading

As State Holds AIG Hearing, A Look at How Connnecticut Has Attempted to Prosecute An Employer Who Allegedly Failed to Pay Wages

By Daniel Schwartz on Posted in Litigation, Wage & Hour

As state legislators go forward with a hearing today on the AIG issues (you can view the hearing on CT-N, here), one of the recurring themes suggested in various newspapers articles and by state leaders is that there were lots of ways that the employer could have avoided paying these retention payments. Perhaps. But suppose you were… Continue Reading

Lender and State Settle Banking Claim; Unpaid Wage Claim Still Ongoing

By Daniel Schwartz on Posted in Litigation

A few months ago, I posted on the unpaid wage prosecution claim of Mortgage Lenders Network.  The Hartford Courant reports today on a partial settlement between MLN and the state banking authorities. Mortgage Lenders Network, which filed for bankruptcy in February and laid off 1,800 workers, has reached settlements with banking regulators in Connecticut and… Continue Reading

What happened to….the unpaid wage prosecution of Mortgage Lenders Network

By Daniel Schwartz on Posted in Wage & Hour

The Hartford Courant has a lengthy piece today about the rise and fall of the Mortgage Lenders Network.  From an employment perspective, the piece recounts how the Connecticut Department of Labor came across one of the largest cases in the state of a company failing to pay wages, at least $1.5 million.  Gary Pechie, the… Continue Reading