Court: Worker’s salary and duties clearly exempted him from receiving OT pay
Employers can get into a lot of trouble when they require
employees to do extra work and not compensate them for it.
But in order for it to be an FLSA violation, the employee
has to be eligible for overtime.
No detailed analysis required
Daniel Smith worked as an organ procurement coordinator for Ochsner Health System. He sued his employer, claiming it violated the FLSA and he was owed unpaid overtime.
But after taking a closer look at both his salary and job
duties, a district court ruled that Smith was exempt from overtime, and on
appeal, the 5th Circuit agreed.
First, the court explained Smith’s job included procurement,
which is a duty listed under the FLSA’s administrative exemption – something
which made him ineligible for overtime pay.
The 5th Circuit went on to say a detailed analysis of Smith’s job duties wasn’t necessary due to his salary: $120,000 a year. Smith earned well above the FLSA overtime threshold, making him exempt from OT pay.
Misclassification can be a costly mistake for employers, so
it’s a good idea to double-check all your workers’ pay and duties to ensure
they’re being properly compensated.
Cite: Smith v. Ochsner Health System, 4/17/20.
The post Court: Worker’s salary and duties clearly exempted him from receiving OT pay appeared first on HR Morning.
