F.Y.E. Manager Claims Stores Understaffed, Workers Uncompensated

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A former store manager has filed suit against Trans World Entertainment Corporation and Record Town, Inc., claiming they improperly classified her as exempt from overtime requirements under the Fair Labor Standards Act and failed to properly compensate her as a result. The defendants allegedly understaff their F.Y.E. stores and avoid scheduling non-exempt hourly employees for more than 40 hours per week. According to the complaint, the defendants instead require store managers to work overtime hours to “compensate for this deliberate understaffing.” The suit argues that these managers should not be classified as exempt from overtime wage requirements because they perform many of the same tasks as non-exempt employees. It further claims that the defendants misclassify them in order to avoid paying the extra cost of overtime wages. The plaintiff is seeking unpaid overtime wages for all the hours she worked above 40 each week.