This case centered on the Fair Labor Standard Act (FLSA), which clearly states that employers are exempt from paying overtime to “outside salesmen.” Notwithstanding the clear language of the FLSA, the Department of Labor’s Wage and Hour Division sought to re-interpret the law to compel the respondent, GlaxoSmithKline to pay overtime to the petitioners, whom the employer considered “outside salesmen."
NFIB Legal Center filed on behalf of the employer, urging the Supreme Court to hold that the Department of Labor lacked the power re-interpreted the FLSA in this manner. We are proud to report that the Court accepted our arguments. If the Petitioner had been successful, small businesses would have been compelled to pay overtime to outside salesmen, contrary to the FLSA. Moreover, the Department of Labor would have been able to assert broad new powers to make rules by re-simply interpreting statutes without regard to their plain meaning.
For more information, commentary and insight view our June 18, 2012 press release.
Status: Victory - U.S. Supreme Court!