A class action lawsuit has been filed against the accounting firm for allegedly failing to pay associate accountants overtime pay. The lawsuit claims BDO Seidman improperly classified its unlicensed associate accountants as "exempt" from receiving overtime pay and other benefits. Specifically, the lawsuit claims that under California law, accountants must be licensed in order to be properly classified as exempt. The class action was filed the Central District of California, Case Number SACV07 1252, on behalf of current and former employees.
The complaint also alleges work duties of young associate accountants often consist of performing a wide variety of menial tasks that are highly supervised and controlled by accountants who are licensed. As such, the associates are not able to exercise independent discretion and judgment; a requirement under California law to be considered exempt.