News & Analysis as of

Appeals Exempt-Employees

Jackson Lewis P.C.

Fifth Circuit Decision Clarifies Application of Highly Compensated Employee Overtime Exemption

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A recent decision by the U.S. Court of Appeals for the Fifth Circuit clarifies how courts should apply the Fair Labor Standards Act’s (FLSA’s) highly compensated employee (HCE) exemption and distinguishes the exemption from...more

Ballard Spahr LLP

Department of Labor to Reconsider Rule Increasing Overtime Salary Thresholds for White Collar and Highly Compensated Workers

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During the Biden administration, the U.S. Department of Labor (DOL) issued a final regulation (the “2024 Rule”) seeking to increase the salary threshold for overtime eligibility for the “white-collar” exemption (also referred...more

Jackson Lewis P.C.

Reprieve Extended? DOL to Halt Efforts to Restore 2024 Minimum Salary Rule for Exempt Employees

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Employers were granted a reprieve last fall when a federal court invalidated the U.S. Department of Labor’s (DOL’s) final rule increasing the minimum salary requirements for the “white collar” or “EAP” exemptions (executive,...more

Vedder Price

Sixth Circuit Clarifies Requirements for a Salaried Employee to Be “Paid on a Weekly Basis” Under the FLSA.

Vedder Price on

On April 1, 2025, the U.S. Court of Appeals for the Sixth Circuit issued an important decision in Pickens v. Hamilton-Ryker IT Solutions, LLC regarding what it means to be paid on a “weekly basis” for purposes of the...more

Foley & Lardner LLP

Supreme Court’s E.M.D. Sales v. Carrera Decision: A Victory for Employers Navigating FLSA Exemptions

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A January 15, 2025, U.S. Supreme Court opinion brought welcome news for employers defending claims of worker exempt status misclassification under the Fair Labor Standards Act (FLSA). In the case at issue, E.M.D. Sales, Inc....more

Rumberger | Kirk

No Extra Hurdles for Employers Claiming Overtime Exemptions: High Court Rules FLSA Does Not Require Stricter Evidence Standards

Rumberger | Kirk on

In a unanimous opinion decided January 15, 2025, E.M.D. Sales, Inc., v. Carrerra et al., the U.S. Supreme Court ruled that the less stringent preponderance of evidence standard, instead of the clear and convincing evidence...more

Fisher Phillips

4 Tips for Employers After Appeals Court Says Highly Compensated Employee is Entitled to OT Pay

Fisher Phillips on

An appeals court just ruled that a pipe inspector who earned more than $270,000 a year was entitled to overtime pay because he was not paid on a “salary basis.” In its April 1 decision, the 6th Circuit joined the 5th Circuit...more

Constangy, Brooks, Smith & Prophete, LLP

Paid $270,400 per year and still owed overtime? Another court says yes.

On April 1, a U.S. appeals court showed that the salary basis requirement is alive and well, regardless of how highly compensated an employee might be. The decision is a reminder to businesses that simply paying a guaranteed...more

ArentFox Schiff

Arzate v. ACE American Insurance Company: Employer Not Required to Initiate Arbitration in Defense of Itself

ArentFox Schiff on

On June 18, 2021, a group of ACE American Insurance Company employees filed a class action suit alleging that ACE misclassified them as exempt employees....more

Butler Snow LLP

SCOTUS Confirms Lower Standard of Proof for Employers Claiming FLSA Exemptions

Butler Snow LLP on

Last month the United States Supreme Court (“SCOTUS”) delivered a pro-employer ruling on the standard of proof required under certain provisions of the Fair Labor Standards Act (FLSA). In E.M.D. Sales, Inc. v. Carrera, the...more

Tucker Arensberg, P.C.

U.S. Supreme Court Clarifies Lower Burden for Employer to Prove FLSA Overtime Exemption

Tucker Arensberg, P.C. on

The Supreme Court recently clarified that an employer seeking to prove an exemption from overtime requirements under the Fair Labor Standards Act (“FLSA”) must meet the “preponderance of the evidence” standard, and not the...more

Mintz - Employment Viewpoints

Employer Win on FLSA Exemption Issue – Heightened Pleading Standard Rejected by High Court

The United States Supreme Court recently held in E.M.D. Sales, Inc. v. Carrera that the “preponderance of the evidence” burden of proof applies in determining whether an employee is exempt under the federal Fair Labor...more

Constangy, Brooks, Smith & Prophete, LLP

Supreme Court unanimously rejects heightened burden for employer to prove overtime exemption under FLSA

In overtime litigation under the Fair Labor Standards Act, the employer has the burden of proving that an employee is exempt. However, the degree of proof required was not decided until the Supreme Court spoke last week....more

Perkins Coie

The US Supreme Court Addresses the Standard of Proof for Exemptions Under the FLSA

Perkins Coie on

The Supreme Court of the United States rejected a higher standard of proof for employers to demonstrate that an employee is exempt under the Fair Labor Standards Act (FLSA), providing clarity for FLSA disputes across the...more

Jackson Walker

Supreme Court Lowers Burden of Proof for FLSA Overtime Exemptions

Jackson Walker on

On January 15, 2025, the Supreme Court for the United States issued an opinion interpreting the standard of proof employers must meet to establish the applicability of an exemption to the overtime requirements of the Fair...more

Harris Beach Murtha PLLC

U.S. Supreme Court Unanimously Rejects Heightened Standard of Proof for FLSA Overtime Exemptions

A recent decision by the U.S. Supreme Court solidified the evidentiary standard of proof for federal wage law disputes where employers seek to establish their employees are appropriately classified as exempt under the Fair...more

Morgan, Brown & Joy, LLP

U.S. Supreme Court Clarifies That Employers Are Not Required to Meet Heightened Standard of Proof to Establish an FLSA Exemption...

Employers do not need to meet a heightened standard of proof to establish an exemption from the minimum wage and overtime requirements under the Fair Labor Standards Act (FLSA), the U.S. Supreme Court ruled in E.M.D Sales,...more

Sands Anderson PC

The Supreme Court Holds That Employers Need Not Prove Wage & Hour Exemptions Under a Heightened Standard of Proof

Sands Anderson PC on

In E.M.D. Sales, Inc. v. Carrera, the Supreme Court decided the burden of proof an employer must meet to prove that an employee is exempt from the overtime and minimum wage requirements of the Fair Labor Standards Act. The...more

Ballard Spahr LLP

The Supreme Court Clarifies That the Preponderance Standard Applies to FLSA Exemption Cases

Ballard Spahr LLP on

Employers confronted with individual or class action lawsuits or government investigations under the federal Fair Labor Standards Act (“FLSA”) have the burden to prove that employees are exempt from the law’s minimum wage and...more

Cole Schotz

U.S. Supreme Court Issues Key Decision on FLSA Burden of Proof

Cole Schotz on

On January 15, 2025, the United States Supreme Court ruled in E.M.D. Sales, Inc., et al. v. Carrera et al., that the Fair Labor Standards Act’s (the “FLSA”) exemptions do not require a heightened burden of proof. The decision...more

Vedder Price

Supreme Court Clarifies Burden of Proof Standard for FLSA Claims

Vedder Price on

Last week, in a highly anticipated ruling, the U.S. Supreme Court issued its decision in EMD Sales Inc. v. Carrera, Case No. 23-217, concluding that a preponderance-of-the-evidence standard applies when an employer seeks to...more

Morgan Lewis

US Supreme Court Rejects Heightened Standard for Proving FLSA Exemptions

Morgan Lewis on

The US Supreme Court issued a unanimous decision on January 15, 2025 in EMD Sales Inc. v. Carrera clarifying the evidentiary standard employers must meet to show that an employee is exempt from overtime and minimum wage...more

Pullman & Comley - Labor, Employment and...

U.S. Supreme Court Confirms that Employers Are Not Subject to Heightened Standard in Proving Compliance with Federal Overtime and...

The Fair Labor Standards Act (FLSA) has been a source of stress for employers since its passage in 1938.  It establishes minimum wage, overtime pay, recordkeeping and youth employment standards affecting employees in the...more

Benesch

US Supreme Court Clarifies That FLSA Worker Exemption Disputes Should Be Determined on a Preponderance-of-the-Evidence Evidentiary...

Benesch on

On January 15, 2025, the U.S. Supreme Court rejected the Fourth Circuit’s attempt to require an employer to meet a higher evidentiary standard to establish that its workers fell under one of the Fair Labor Standards Act...more

Lowndes

U.S. Supreme Court Rejects Higher Standard of Proof for Overtime Exemptions

Lowndes on

In a win for employers, the U.S. Supreme Court ruled this week in E.M.D. Sales, Inc. v. Carrera that employers need only prove an exemption from overtime under the Fair Labor Standards Act (FLSA) by a “preponderance of the...more

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