Supreme Court Ruling on Day Rate
Yesterday, the US Supreme Court held that an oil rig worker who was paid a day rate to be non-exempt and thus entitled to overtime wages under the Fair Labor Standards Act. This means that workers who are paid a day rate don’t meet the salary requirement for the executive exemption, regardless of how much they earn. While this worker made a lot of money, the court the court reiterated that one of the underlying goals of the Fair Labor Standards Act is to deter overwork and spread employment. The court stated “[w]orkers are not ‘deprived of the benefits of the Act simply because they are well paid.’” You can read the U.S. Supreme Court’s decision here.