One of the key issues in analyzing an FLSA lawsuit is whether the employer had knowledge that it was violating the law. This determination will affect the amount of damages an employee can recover as well as the statute of limitations, or how far back we can go to recover unpaid wages. The standard typically applied by the courts analyzes whether the employer could have learned of the employee’s activities by making reasonably diligent inquiries. It’s very unusual for a court to find that an employer did not have the requisite knowledge when the activities in question are a vital or an important part of an employee’s job. Unless the employee has deliberately hidden the fact that he or she is performing these duties and working those additional hours.
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