In Jinks v. Credico (USA) LLC (December 13, 2021), the Massachusetts Supreme Judicial Court concluded that the appropriate method for determining whether two companies were “joint employers” for purposes of the Massachusetts wage and hour laws is to evaluate the “totality of the circumstances of the parties’ working relationship.” This is the same test courts apply when analyzing this issue under the federal Fair Labor Standards Act (FLSA). Under this test, a court focuses on whether the alleged employer: (1) had the power to hire and fire the employee, (2) supervised and controlled employee work schedules or conditions of employment, (3) determined the rate and method of payment, and (4) maintained employment records.
Background
In this case, defendant Credico provided its clients with door-to-door sales services. Credico subcontracted that work to other companies, including defendant DFW. DFW engaged the plaintiffs to call on potential customers in person as door-to-door salespeople. The plaintiffs subsequently sued both Credico and DFW, alleging that they were entitled to wages and overtime payments, as well as the mandatory awards of treble damages and attorneys’ fees available under the Massachusetts Minimum Wage Law and Overtime Law.
Credico moved for summary judgment, arguing that the plaintiffs were employed solely by DFW. The trial court analyzed this issue under the common law “right to control” test. After applying that test, the trial court concluded that...
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