The U.S. Supreme Court is scheduled to hear argument on Dec. 3, in Genesis Healthcare Corp. v. Symczyk, No. 11-1059, on what appears to be a narrow issue about offers of judgment, but the case could have a very broad impact on collective action lawsuits under the Fair Labor Standards Act (FLSA), 29 U.S.C. §§ 201 et seq.
FLSA lawsuits have been a steadily increasing burden on the federal court system. They are the fastest growing type of employment litigation, according to Federal Judicial Caseload Statistics. In 2011, over 7,000 such cases were filed, a 15 percent increase from 2010. Their impact is even greater because they are commonly filed as collective actions (sometimes referred to as “opt-in class actions”), brought on behalf of others “similarly situated” under 29 U.S.C. § 216(b), and they are often combined with Rule 23 class actions under state wage laws.
