Alaska Employment Law

U. S. District Judge Ralph Beistline has granted summary judgment to several former employees at group homes for challenged children operated by a Fairbanks non-profit.  The ex-employees are suing for unpaid overtime compensation under the federal Fair Labor Standards Act.  The non-profit had classified the employees as exempt and paid them salaries.

Beistline found that Family Centered Services of Alaska, Inc. was “engaged in the operation of . . . an institution primarily engaged in the care of the . . . mentally ill or defective who reside on the premises of such institution.” 29 U.S.C. §203(r).”  The employees, thus, proved “enterprise” coverage under the FLSA.  The other form of FLSA coverage is depends on each individual employee’s tasks.  

Beistline had earlier denied summary judgment to the ex-employees on the same coverage issue, but changed his mind after re-examining the record and, especially, after examining the non-profit’s self-description on its website.

Probert v. Family Centered Services of Alaska, Inc., Case No. 4:07-cv-0030-RRB (D.Alaska Order of Jan. 22, 2009)

Ken Covell and Don Logan represent the ex-employees.  Foster Wallace of McConahy, Zimmerman & Wallace represents the employer.  All counsel practice in Fairbanks.