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Portal-to-Portal Act

IBP, Inc. v. Alvarez; Tum v. Barber Foods, Inc.

Issues

Should Employees' walking to and waiting at distribution stations where required safety equipment is distributed to the employees be included as part of either the principal activities for which an employer is employed or integral and indispensable to such principal activities, and therefore compensable under the Portal-to-Portal Act?

 

Under the Fair Labor Standards Act, 29 U.S.C. §§ 201, et seq. ("FLSA"), as amended by the Portal-to-Portal Act, 29 U.S.C. §§ 251-262 ("Portal Act"), an employee must be compensated for the time their employer requires them to spend donning and doffing protective gear. In the combined oral argument for Tum v. Barber Foods, Inc. and IBP, Inc. v. Alvarez, the Supreme Court will consider an important related question—whether an employee is also entitled to compensation for time spent waiting at stations where required safety and health equipment is distributed, donned, and doffed, and traveling to and from these stations to work sites at the beginning and end of each workday.

Under the FLSA, employers must compensate employees for activities performed during the workday. However, the Portal Act, which amended the FLSA, removed employers' obligation to compensate employees for two categories of activities performed outside the workday. These activities include: "(1) walking, riding, or traveling to and from the actual place of performance of the principal activity, and (2) activities which are preliminary or postliminary to said principal activity or activities." Tum and Alvarez ("Employees") contend that walking and waiting at safety stations are inextricably linked to the donning and doffing process, and are principal activities that demark the beginning and end of the workday. The Employees also argue that these activities occur within the workday, and thus, the above Portal Act exceptions are inapplicable. Public policy considerations, such as employee safety, financial welfare, and corporate profitability will figure prominently in the Supreme Court's resolution of these conflicting appellate court rulings. The outcome will also profoundly impact workers' salaries, manufacturing costs, and corporate outsourcing policy.

Questions as Framed for the Court by the Parties

IBP, Inc. v. Alvarez :
Whether walking that occurs between compensable clothes-changing time and the time employees arrive at or depart from their actual work stations constitutes non-compensable "walking . . . to and from the actual place of performance of the principal activity" within the meaning of Section 4(a) of the Portal-to-Portal Act.

Tum v. Barber Foods, Inc. :
1. Is the time employees must spend walking to and from stations where required safety equipment is distributed compensable under the Fair Labor Standards Act, as amended by the Portal-to-Portal Act29 U.S.C. § 216(b)254(a).
2. Do employees have a right to compensation for time they must spend waiting at required safety equipment distribution stations?

Tum v. Barber Foods, Inc. , 360 F.3d 274 (1st Cir. 2004)

Tum, representing current and former employees at Barber Foods' poultry processing plant in Portland, Maine, sued to recover unpaid wages for time spent waiting at and walking to stations where required safety equipment is distributed.

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Integrity Staffing Solutions, Inc., v. Busk et al.

Issues

Must employers compensate employees for the time spent undergoing security screenings at the end of the workday under the Fair Labor Standards Act? 

Jesse Busk and Laurie Castro, employees of Integrity Staffing Solutions, Inc. (“Integrity”), sued Integrity alleging violations of the Fair Labor Standards Act (“FLSA”). Specifically, the employees alleged that Integrity required post-shift security screenings lasting up to 25 minutes, yet failed to compensate their employees for the time spent undergoing the screenings. Integrity claims that it is immune from liability under the Portal-to-Portal Act of 1947, which provides that employers are not required to compensate for activities that are postliminary to an employee’s primary work activities. The Supreme Court will address whether under the FLSA, as amended by the Portal-to-Portal Act, employers must compensate employees for post-shift security screenings.  The Supreme Court’s decision in the case will reflect its view on the correct balance between the interest of employers in preventing employee theft, and the interest of employees in obtaining compensation for time spent undergoing screenings related to theft prevention or similar activities. This decision will affect the range of activities that employers can require employees to perform with and without compensation. 

Questions as Framed for the Court by the Parties

Whether time spent in security screenings is compensable under the FLSA, as amended by the Portal-to-Portal Act?

Integrity Staffing Solutions, Inc. (“Integrity”) is a corporation that “provides warehouse space and staffing to clients such as Amazon.com.” Busk v. Integrity Staffing Solutions, Inc., 713 F.3d 525, 527 (9th Cir.

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Acknowledgments

The authors would like to thank Professor Angela B. Cornell for her assistance in the research for this preview.

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