PRESS RELEASE

June 4, 2002

Supreme Court Sides with Garfunkel in Labor Ready
Wage Claims Case

CONCORD, NH - Represented by firm president David Garfunkel, Labor Ready, a nationwide supplier of temporary labor, recently won a significant case in the New Hampshire Supreme Court.

Labor Ready was ordered by the NH Department of Labor (DOL) to pay back employees $140,000 in unlawfully deducted transporation fees. Because many employees do not have personal transportation, Labor Ready offered a transportation service at the rate of $4 per day, which they withheld from employee's wages.

After an audit by a DOL inspector, Labor Ready was found to be in violation of state wage and hour laws for deducting the transportation fees from employee paychecks without authorization. Labor Ready paid a fine of $1,600, but appealed the DOL's order that it pay back the transportation fees it deducted. The NH Superior Court upheld the DOL's ruling.

The Supreme Court, however, ruled that the Department of Labor did not have the authority to order Labor Ready to pay back $140,000 where no wage claim had been filed by an employee.

"The court agreed with Labor Ready that the Labor Department could not on its own order a wage adjustment," said Attorney Garfunkel, "where no employee had made such a request."

Attorney Garfunkel is president of Gallagher, Callahan & Gartrell in Concord, and his practice includes commercial litigation, white-collar criminal defense, employment discrimination litigation, representation of professionals charged with misconduct and regulatory matters. Prior to joining Gallagher, Callahan, he served as director of New Hampshire's Public Defender Program for 10 years. In addition, Garfunkel was appointed to the New Hampshire Judicial Council by the Chief Justice of the New Hampshire Supreme Court, and he has been named among the "Best Lawyers in America" in the area of business litigation.

Gallagher, Callahan and Gartrell is a multidisciplinary government and regulatory law firm offering services to clients in New Hampshire and New England.

Source: Foster's Daily Democrat, Dover, NH

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