From the October 2017 Independent Contractor Misclassification and Compliance News Update, Richard Reibstein reports that New Orleans security guards settled their claims alleging they were misclassified as independent contractors. Richard writes:
SECURITY COMPANY SETTLES IC MISCLASSIFICATION CLASS ACTION LAWSUIT FILED BY NEW ORLEANS SECURITY GUARDS. A Louisiana federal district court has granted a motion approving a confidential settlement in a collective action by New Orleans security guards under the federal Fair Labor Standards Act. The guards suedCrescent City Consulting, LLC for unpaid overtime wages arising from their alleged misclassification as independent contractors and not employees. The guards alleged that “dozens, if not hundreds, of members of the FLSA Collective Plaintiffs” were affected by the company’s “improper policies and practices.” They claimed that the company had complete control over how, when and where the guards performed their work; set the guards’ work schedules; and required the guards to wear uniforms with the company’s logo. The court concluded that the settlement was “fair and reasonable,” although no details were available regarding the terms of the settlement, which is an unusual occurrence. Koviach v. Crescent City Consulting, LLC, No. 14-2874 SECTION “E” (E.D. La. October 2, 2017).
