Total Articles: 6
Insurance Company Special Investigators are Exempt Under Federal and State Laws, Ohio District Court Rules
After a trial to the court in September 2011, the United States District Court for the Southern District of Ohio entered judgment on January 5, 2012 in favor of Defendant Nationwide Mutual Insurance Company, on all claims alleged against it by a nationwide class of Special Investigators who claimed they were misclassified as exempt from the overtime requirements of the FLSA and New York and California state wage laws.
Does Lady Gaga Owe Assistant OT?
Imagine you are the personal assistant for the world’s most famous artist, Lady Gaga. You have the opportunity to travel the world, meet famous people and watch your boss hit the button to drop the “ball” in Times Square on New Years Eve. What could be better? Well, apparently, being paid overtime.
First Circuit Holds that Banquet Sales Managers Qualify for the Administrative Exemption
The First Circuit Court of Appeals recently held that banquet sales managers qualified for the administrative exemption to the Fair Labor Standards Act (FLSA). The court reached this holding in the case of Hines v. State Room, Inc. even though the banquet sales managers were bound by a price schedule established by their employer and therefore had virtually no authority to make financial decisions.
Decision Against Novartis Has Implications Beyond Pharmaceutical Industry.
In a major decision with possible relevance outside of the pharmaceutical industry, the Second Circuit U.S. Court of Appeals (Connecticut, New York, and Vermont) gave strong deference to a U.S. Labor Department legal brief and overruled a lower court in deciding that Novartis's pharmaceutical sales reps were not exempt from overtime as outside salespersons or as administrative employees under the federal Fair Labor Standards Act or applicable state laws. On the same day, the Second Circuit also summarily ruled against Schering in a similar case.
Sales Rep Falls Within FLSAs Administrative Exemption Because of Independent Strategic Planning Responsibilities.
Under the Fair Labor Standards Act (FLSA), employees who work more than 40 hours a week are entitled to overtime pay unless they fall under one of the Acts enumerated exemptions. The 3d U.S. Circuit Court of Appeal found that a Johnson & Johnson sales representative fell within the administrative exemption, based upon that persons high level of planning and foresight, along with her exercise of discretion and independent judgment with respect to matters of significance and, therefore, was not entitled to overtime pay.
Sales rep falls within FLSA's "administrative" exemption because of independent strategic planning responsibilities.
Under the Fair Labor Standards Act (FLSA), employees who work more than 40 hours a week are entitled to overtime pay unless they fall under one of the Acts enumerated exemptions. The 3d U.S. Circuit Court of Appeal found that a Johnson & Johnson sales representative fell within the administrative exemption, based upon that persons high level of planning and foresight, along with her exercise of discretion and independent judgment with respect to matters of significance and, therefore, was not entitled to overtime pay. Smith v. Johnson & Johnson, 3d Cir., No. 09-1223, February 2, 2010.
