Margaret White v. Baptist Memorial Health Care Co.
699 F.3d 869
| 6th Cir. | 2012Background
- White, a Baptist emergency department nurse (Aug 2005–Aug 2007), routinely lacked a regular meal break due to job demands; Baptist policy automatically deducts 30 minutes for meals over six hours and provides compensation for missed/interrupted meals via an exception log; White reported missed meals and was compensated when the log captured it; she sometimes was not compensated for missed meals and did not consistently use the reporting or payroll correction procedures; she filed a FLSA suit seeking compensation for time worked during missed meals; the district court granted Baptist summary judgment and decertified the class action; the Sixth Circuit affirming led to this appeal.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether Baptist's automatic meal deduction with an exception log complies with the FLSA | White argues Baptist knew or should have known she worked during missed meals and failed to compensate. | Baptist argues the policy is lawful where employees may report missed time and be compensated; failure to report falls within employer’s reasonable procedures. | Yes, the policy is lawful; compensable time occurs only when the employee reports or the employer has knowledge. |
| Whether White’s failure to report breaks defeats FLSA liability under constructive knowledge | White’s actual knowledge and logs show missed breaks; employer had knowledge. | Liability hinges on actual or constructive knowledge; failure to report can bar recovery if employer had reasonable reporting systems. | No; genuine factual disputes exist on knowledge, so summary judgment on constructive knowledge was improper. |
| Whether decertification of the FLSA class was proper at the second stage | Opt-in plaintiffs are similarly situated to lead plaintiff; certification should proceed. | White cannot represent others if her claim is dismissed; no viable claim to be similarly situated. | Decertification was proper; White cannot represent opt-in plaintiffs given the dismissed FLSA claim. |
| Whether there is evidence that Baptist had actual knowledge of unpaid work by White | Evidence shows White logged missed breaks and was not paid; supervisors knew of unpaid time. | Record shows White could have and did report; lack of consistent reporting defeats knowledge inference. | Summary judgment improper due to disputed facts on actual knowledge; the employer’s knowledge issue must go to trial. |
Key Cases Cited
- Hertz v. Woodbury County, 566 F.3d 775 (8th Cir.2009) (constructive knowledge burden-shift and overtime reporting constraints)
- Newton v. City of Henderson, 47 F.3d 746 (5th Cir.1995) (constructive knowledge depends on reasonable diligence and reporting systems)
- Forrester v. Roth’s I.G.A. Foodliner, Inc., 646 F.2d 413 (9th Cir.1981) (employer must have opportunity to comply; employee failure to report does not absolve employer with knowledge)
- Chao v. Gotham Registry, Inc., 514 F.3d 280 (2d Cir.2008) (employer has duty to pay for overtime when aware, despite employee reporting failures)