Earlier this week, in a matter of first impression within the Second Circuit, Judge P. Kevin Castel of the Southern District of New York held that employees who teach English as a second language (“ESL”) at a privately-owned ESL learning center qualify for the professional exemption under the FLSA as “teachers.” Fernandez v. Zoni Language
exemption
Court Finds Commissioned Jewelry Salesman Qualifies For Outside Sales Exemption Based On His Own Complaint’s Allegations
Because most FLSA exemptions are affirmative defenses, their applicability is not often established by the Plaintiff’s Complaint, of which s/he is “master” and can shape to avoid addressing exemption-triggering duties. There are exceptions. In a recent opinion, a Manhattan federal district judge ruled that a commissioned salesman who traveled from his home office to…
On Second Thought, Court Holds Underwriters Qualify For Administrative Exemption
Applicability of the technical FLSA exemptions can sometimes turn on subtle distinctions, a frustrating proposition for FLSA litigants. A new opinion highlights these subtleties, as, on a motion for reconsideration made ahead of a bench trial, a court reversed its earlier ruling denying summary judgment to defendant bank as to the applicability of the administrative…
Michigan Federal Court: Staffing Company’s Account Managers, Assistant Branch Manager, and Staffing Consultants Are Exempt Administrative Employees
In Michigan, a federal judge this week held that certain employees of a staffing company – namely account managers, senior account managers, assistant branch managers, staffing consultants, and senior staffing consultants – were administrative employees under the Fair Labor Standards Act, and therefore not entitled to overtime. Perry v. Randstad Gen. Partner (US) LLC,…
Supreme Court Upholds DOL’s 2010 Interpretive Guidance Reversing Prior Position Regarding FLSA Classification of Loan Officers
Reversing the D.C. Circuit’s 2013 opinion, the Supreme Court today held that the U.S. Department of Labor did not violate the Administrative Procedure Act (APA) when, in 2010, it issued its Administrator’s Interpretation stating that mortgage loan officers generally do not qualify for the administrative exemption without first affording the public the opportunity for…
Second Circuit Finds Audit Associates Are Exempt Professionals
Affirming a highly-publicized 2012 decision from Southern District of New York Judge Colleen McMahon, the Court of Appeals for the Second Circuit ruled last week that audit associates employed by “Big Four” accountancy KPMG qualified for the learned professional exemption from overtime under the FLSA. Pippins v. Kpmg Llp, 2014 U.S. App. LEXIS…
NMB Finds Medical Helicopter Service Subject to Railway Labor Act
The determination of whether an entity is covered by the Railway Labor Act impacts compensation strategy and potential liability as the FLSA exempts from its overtime requirement individuals employed by such air carriers. The coverage determination is made by the National Mediation Board (NMB), which recently issued new opinion re-confirming the applicability of the Railway…
Eighth Circuit Affirms In Part District Court’s Rejection of Jury Finding That Managers Were Properly Classified as Exempt
Reviewing a decision of a trial judge reversing a jury’s finding that several lumber company managers were properly classified as exempt, the Court of Appeals for the Eighth Circuit ruled on the narrow issue of whether testimony that ownership solicited feedback from “all employees” could support a finding that the exempt managers’ recommendations were given…
Supreme Court Affirms Seventh Circuit: Donning of Protective Gear “Changing Clothes” Within the Meaning of FLSA Provision
Building on its prior rulings in so-called “donning and doffing” cases, the Supreme Court affirmed the Seventh Circuit’s 2012 decision holding that the donning of certain protective gear qualifies as “changing clothes” within the meaning of 29 U.S.C. § 203(o), and thus is susceptible to exclusion from the hours worked calculation under the terms…
Eastern District of Virginia Judge Cacheris Expands Upon “Customarily and Regularly Away” Prong Of Outside Salesperson Analysis
Following-up on his decision on January 7th granting summary judgment to Prospect Mortgage regarding the applicability of the outside sales exemption to one loan officer, Judge James C. Cacheris of the Eastern District of Virginia has issued two more decisions on similar motions for summary judgment by the employer, granting a second one and…