Oil Spill Claims Adjusters Sue to Recover Overtime Pay

Claims adjusters working for BP and Worley Catastrophe Response in the wake of the Deepwater Horizon oil spill have filed a lawsuit claiming that they are owed overtime pay under the Fair Labor Standards Act. The adjusters claim that they were paid a day rate for working a 12 hour day.
Numerous lawsuits have been filed attacking employers’ use of a day-rate method of paying their employees, including several in the oil and gas industry on behalf of a variety of drilling services company workers such as Pipeline Inspectors, Top Drive Technicians, Service Supervisors, Field Coordinators, Field Engineers and water Truck Drivers. In other cases, courts have determined that companies did not have a valid day-rate plan, and that their failure to pay their employees overtime compensation pay for time worked beyond 40 hours per week violated hour and wage laws, when employees’ wages were reduced when they worked less than a full day and where they failed to pay workers for two fifteen-minute breaks per day. The day-rate plan was not valid because they reduced employees’ pay for hours they did not work and the company was held liable for the amounts deducted from their employees’ break periods.
In still other cases, insurance adjusters have claimed that they were misclassified as administrative employees, and thus treated as exempt from laws on overtime. These cases often turn on whether the adjusters exercise “discretion and independent judgment with respect to matters of significance,” as required by the Department of Labor definition of an administrative employee.
The lead plaintiff in the BP lawsuit claims that there are over 1,000 adjusters in the potential class and says he complained to management about not being paid overtime but they refused to pay him.
If you believe that you may have a claim or would like to get more information, please call us at 1-866-559-0400, email us at mlore@overtime-flsa.com or submit your information using our convenient Case Evaluation form for a FREE and CONFIDENTIAL review of your circumstances.

Michael Lore is the founder of The Lore Law Firm. For over 25 years, his law practice and experience extend from representing individuals in all aspects of labor & employment law, with a concentration in class and collective actions seeking to recover unpaid back overtime wages, to matters involving executive severance negotiations, non-compete provisions and serious personal injury (work and non-work related). He has handled matters both in the state and federal courts nationwide as well as via related administrative agencies. If you have any questions about this article, you can contact Michael by using our chat functionality.