Theemployeesmadeadealwiththeirmanagerthatiftheytooka10-minutelunchperiodtheywouldbeabletoquit20minutesearlyand stillworkeighthoursperday.(Theyalsohadtworestperiods.)Aftera3-yearperiod,oneemployeeevidentlygotindigestionoranervous stomachandcomplainedtotheWageandHourDivision.

Thedivisiontookthepositionthatunderitsregulations,CFRSect.785.18,thismustbeapaidperiodbecauseitwaslessthan20minutes.Investigationrevealedthatemployeeslefttheirmachinesandwenttothelunchroomfor10minutes(oneevenstatedthathewenthome forlunch).Whenthebellrang,theyallreturnedtotheirmachines.TheWageandHourDivisiondemandedtwoyears'backpay(the maximumamountallowableunderstatestatute)becauseemployeesworked40hoursand50minutesperweekundertheirinterpretation.Thisamountedtoover$12,000forabout60employees.Theemployertookthepositionthatemployeeswereserving theirowninterestfor the10-minutemealperiod,thusthebreakwasnotworktimeandthereforenotcompensable,refusingtopay.WageandHourthreatened litigation.

• valuate which compensation and benefit laws best apply to the scenario.
• Provide a rationale for each of your decisions. For your rationale,
• Explain how the situation meets each element that needs to be proven or satisfied under the specific law