The United States Supreme Court just issued a unanimous decision settling a dispute in the lower courts about what standard of proof applies in cases where an employee’s exemption from the FLSA’s minimum wage and overtime rules is at issue.
The FLSA generally requires that employers pay all employees a minimum wage, and that they pay employees overtime for any hours over forty worked in a week. The law provides for several exemptions based upon employees’ job duties and how they are paid. Employees fitting into one of these exemptions are referred to as “exempt,” and employers need not pay them overtime. When a dispute arises about whether an employee qualifies as exempt under the FLSA, the employer bears the burden of proving that the exemption applies. If the employer fails to meet that burden, the employer could be liable for back pay and other consequences.
To read the rest of this article, click here.