Oct. 25, 2004 - 15:54 MDT

THE WONDERING JEW

Sly Slickers

On October 21 in the Rocky Mountain News is an article by Rachel Brand of the Rocky Mountain News -- in part:

Two claims adjusters sue American Family

Ex-workers say firm improperly denied them overtime pay

"Two former auto claims adjusters for American Family Insurance filed a civil lawsuit Wednesday, accusing the insurance company of improperly classifying claims adjusters as salaried workers to avoid paying overtime wages."

"Their suit, filed in Denver federal court, alleges that the company violated the Colorado labor code and the federal Fair Labor Standards Act."

"AmFam generated over $321 million in profit in 2003," said plaintiff attorney Jim Finbert. "Much of these profits are attributable to the long hours and weekends worked by claim adjusters denied overtime pay."

"The suit seeks class-action status on behalf of "hundreds of claims adjusters in 17 states. The plaintiffs, who earn abut 30,000 a year as claims adjusters, are seeking back pay and attorney's fees."

"American Family has not received official notice of the purported court filing," said spokesman Steve Witmer. "However, based on the information in the purported filing, we believe these allegations are false and without merit." He referred to a Department of Labor Web page that says claims adjusters aren't entitled to overtime pay if they are legitimate salaried administrative employees. To meet that criteria, the employees must earn more than $455 a week; mainly perform office work; and their central job duty must be exercising judgment and discretion."

"One set of the plaintiff attorneys, Rudy, Exelrod & Zieff, successfully prosecuted asimilar overtime pay case against Farmers Insurance in 2001."

"On Sept. 3, Los Angeles-based insurer Farmers Insurance Exchange agreed to pay $206 million for failing to pay overtime to 2,400 claims adjusters, settling what some said was the nation's largest white-collar overtime case.

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My opinions. Now that is a pat on the back for bosses to tell a man he is an administrative employee. But, there goes the overtime for that working stiff, white collar or not, as well as any other rights he might have as a straight hourly employee.

Or are they flat told that this is how they will be classified and given the choice to accept or walk ?

It appears to me that many companies and corporations will begin to use this ploy on hardworking folks. Despite all the studies that have shown that any hours worked over eight per day or over forty hours a week cause efficency to nose dive, error rate go up and accidents to happen and of course work a hardship on the worker. That is why overtime pay came into being. They still seem to want to play games with the people who make money for them.

It appears that we are in the land of "push comes to shove" and guess who gets shoved ?

Companies are going whole hog now on doing away with pensions, cutting off paid health care and juggling the books to classify working folks as administrative salaried employees. Those things promised by companies after being obtained by union negotiations in many cases.

Whatever the bean counters figure will save a buck for their employers, goes as far as they are concerned - regardless of who is hurt. And some how judges and the federal government go along with pushing the average working man down further and further.

Copanies making such a big point "it will not be profitable if we don't cut . . . . . . whatever it is they wish to discontinue. Never admitting that we are in an actual depression, telling us the economy is on the upswing, ignoring the number of unemployed people in our country, nor is there the slightest mention of just how many people are employed but making far lower wages than they did before they were laid off.

The thinking and planning contiues by the giants and little big guys against the working man. Ain't they a big bunch of Sly Slickers . . . . . . . . . . .

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