A New York federal district court granted Center for Employment Opportunities, Inc.'s motion to dismiss Fair Labor Standards Act overtime claims brought by transitional employees with criminal convictions who performed janitorial services and other entry-level jobs, but did so without prejudice to filing a second amended complaint, finding that while the employees adequately alleged they worked overtime hours without proper compensation, they failed to specifically plead that the non-profit organization had annual gross revenue of at least $500,000 as required for FLSA enterprise coverage.
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