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Orton v. Johnny's Lunch Franchies, LLC. (6th Cir. 2012)

Articles Discussing Case:

Paying On a "Salary Basis" Requires Actual Payments

Franczek Radelet P.C • April 27, 2012
As we have discussed before, to be considered an exempt executive, administrative, or professional employee, most employees must be paid on a "salary basis," meaning that they receive a fixed salary for each workweek regardless of the number of hours worked or the quality or quantity of work performed. In a ruling that at first blush seems fairly obvious, the Sixth Circuit Court of Appeals ruled earlier this year that actually paying an employee's salary is a necessary condition to meeting this standard. Orton v. Johnny's Lunch Franchies, LLC.