Moritz Erhardt, a University of Michigan student from Germany, collapsed at his London home in Bethnal Green on Thursday, after allegedly working until 6 a.m. for three days in a row at Bank of America Merrill Lynch’s investment banking division.
The cause of his death is unknown but several sources have claimed, credibly, that Erhardt was working exceedingly long hours in an attempt to secure a full-time offer. An intern who worked with him told the Guardian that Erhardt “worked very hard and was very focused. We typically work 15 hours a day or more and you would not find a harder worker than him.”
After news of Erhardt’s death rocketed around Wall Street, most young banker sources were shocked but not surprised. “This was only a matter of time, given how many people go through similar stretches,” one banker said. “The human body is not meant for such abuse.”
What can be done to ensure this does not happen again?
In California, the general overtime provisions are that an employee shall not be employed more than eight hours in any workday or more than 40 hours in any workweek unless he or she receives one and one-half times his or her regular rate of pay for all hours worked over eight hours in any workday and over 40 hours in the workweek Eight hours of labor constitutes a day’s work, and employment beyond eight hours in any workday or more than six days in any workweek is permissible provided the employee is compensated for the overtime at not less than:
- One and one-half times the employee’s regular rate of pay for all hours worked in excess of eight hours up to and including 12 hours in any workday, and for the first eight hours worked on the seventh consecutive day of work in a workweek; and
- Double the employee’s regular rate of pay for all hours worked in excess of 12 hours in any workday and for all hours worked in excess of eight on the seventh consecutive day of work in a workweek.
So if Erhardt lived and worked in California, would he have been paid an obscene amount of overtime? No, generally, executive, administrative or professional employees are exempt from the Fair Labor Standards Act’s overtime and minimum wage protection. As an investment banker, Erhardt would have been exempt under the “professional employee” exemption.
However, should Erhardt been protected? We are currently in one of the toughest job market experienced in recent times and the competition is high. Entry level jobs and “internships” has become a sort of initiation process of low pay, tortuous hours and tasks designed to push the young person to their limits, even of health.
If you feel you have an employment claim, contact an attorney today.