SB 45: "An Act relating to settlement and payment of claims for minimum wage and overtime compensation claims and to liquidated damages and attorney fees for minimum wage and overtime compensation claims."
00SENATE BILL NO. 45 01 "An Act relating to settlement and payment of claims for minimum wage and 02 overtime compensation claims and to liquidated damages and attorney fees for 03 minimum wage and overtime compensation claims." 04 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 05 * Section 1. AS 23.10.110(a) is amended to read: 06 (a) An employer who violates a provision of AS 23.10.060 or 23.10.065 is 07 liable to an employee affected in the amount of unpaid minimum wages, or unpaid 08 overtime compensation, as the case may be, and, except as provided in (d) - (f) of 09 this section, in an additional equal amount as liquidated damages. 10 * Sec. 2. AS 23.10.110(c) is amended to read: 11 (c) The court in an action brought under this section shall, in addition to a 12 judgment awarded to the prevailing party [PLAINTIFF], allow costs of the action and 13 reasonable attorney fees to be determined according to court rule. When the 14 commissioner is the prevailing party in an action brought under this section, the
01 commissioner shall remit the recovered attorney fees [PAID BY THE 02 DEFENDANT. THE ATTORNEY FEES IN THE CASE OF ACTIONS BROUGHT 03 UNDER THIS SECTION BY THE COMMISSIONER SHALL BE REMITTED BY 04 THE COMMISSIONER] to the Department of Revenue. The commissioner may not 05 be required to pay the filing fee or other costs. The commissioner in case of suit has 06 power to join various claimants against the same employer in one cause of action. 07 * Sec. 3. AS 23.10.110 is amended by adding new subsections to read: 08 (d) In an action under (a) of this section to recover unpaid minimum wages, 09 unpaid overtime compensation, or liquidated damages, if the employer shows to the 10 satisfaction of the court that the act or omission giving rise to the action was made in 11 good faith and that the employer had reasonable grounds for believing that the act or 12 omission was not in violation of AS 23.10.050 - 23.10.150, the court may decline to 13 award liquidated damages or may award an amount of liquidated damages less than 14 the amount set out in (a) of this section. The court shall, in a manner consistent with 15 applicable federal and state law, determine whether good faith has been established. 16 This subsection does not apply to an action brought under this section by the 17 commissioner. 18 (e) The commissioner may supervise the payment of the unpaid minimum 19 wages or unpaid overtime compensation owing to an employee under AS 23.10.060 20 or 23.10.065. Payment in full in accordance with an agreement by an employee to 21 settle a claim for unpaid minimum wages, unpaid overtime compensation, or liquidated 22 damages constitutes a waiver of any right the employee may have under (a) of this 23 section to unpaid minimum wages, unpaid overtime compensation, or liquidated 24 damages. 25 (f) In a settlement that is not supervised by the department or the court, an 26 employee is entitled to liquidated damages under (a) of this section unless the 27 employee and the employer enter into a written settlement agreement in which the 28 employee expressly waives the right to receive liquidated damages. The waiver must 29 be knowing and voluntary. A waiver may not be considered to be knowing and 30 voluntary unless the settlement agreement 31 (1) is written in a manner calculated to be understood by the employee;
01 (2) specifically waives rights or claims arising under (a) of this section; 02 (3) advises the employee to consult with an attorney or with the 03 department before entering into the agreement; 04 (4) allows the employee at least seven calendar days to consider 05 whether to accept the offer of settlement; and 06 (5) provides for a period of at least five days after the employee enters 07 into the agreement in which the employee may revoke the agreement; the settlement 08 agreement may not become effective or enforceable until the revocation period has 09 expired. 10 * Sec. 4. APPLICATION OF ACT. (a) AS 23.10.110(e), added by sec. 3 of this Act, 11 applies to agreements entered into on or after the effective date of this Act. 12 (b) AS 23.10.110(f), added by sec. 3 of this Act, applies to written agreements entered 13 into on or after the effective date of this Act. 14 (c) Except as provided in (a) and (b) of this section, to the extent constitutionally 15 permitted, this Act applies to actions commenced on or after the effective date of this Act.