AFSA Extra Credit Podcast: Auto Remote Sales Compliance
Representing Commission Salespeople
The U.S. Supreme Court next term will address the standard of proof that employers must meet to show an employee is exempt from the minimum wage and overtime requirements of the Fair Labor Standards Act (FLSA). E.M.D. Sales,...more
Until recently, employers had the luxury of interpreting the outside salesperson exemption to minimum wage, overtime and meal and rest period requirements at face value. This is because the definition of an “outside...more
A Federal Appeals Court recently ruled that marketers who hand out samples and promote products qualify as outside salespeople under the Fair Labor Standards Act (“FLSA”), and are thus exempt from the overtime provisions of...more
Who doesn’t like free samples when shopping? But are the representatives providing those samples actually “selling” them so that they are exempt from overtime under the Fair Labor Standards Act (FLSA) as outside salespersons?...more
Two recent opinion letters from the U.S Department of Labor (USDOL) examine the contours of the federal Fair Labor Standards Act’s (FLSA) “outside salesman” exemption, which exempts covered employees from the FLSA’s minimum...more
On May 19, 2020, the United States Department of Labor’s Wage and Hour Division (WHD) implemented a final rule withdrawing partial lists of establishments that it previously interpreted as either having “no retail concept” or...more
On May 18, 2020, the Wage and Hour Division of the U.S. Department of Labor (DOL) announced a new final rule to govern the determination of whether an employer qualifies as a “retail or service” establishment for purposes of...more
In early May, the Massachusetts Supreme Judicial Court held that 100% commission-based inside salespersons are entitled to separate, additional overtime pay and premium pay for Sunday work. The decision, Sullivan v. Sleepy’s...more
Massachusetts law permits employers to pay inside salespeople on a commission only basis, provided that the employer guarantees at least the minimum wage for all regular hours worked. However, according to a recent decision...more
In a blow to employers, the Massachusetts Supreme Judicial Court (SJC) recently clarified the overtime and Sunday premium pay rights of non-exempt inside sales employees paid solely by commissions or advances on commissions,...more
On May 8, 2019, the Massachusetts Supreme Judicial Court (SJC) issued a unanimous opinion holding that salespeople who are paid solely on draws and commissions are entitled to separate and additional overtime and Sunday pay...more
On May 8, 2019, Massachusetts’ highest court held that retail salespersons who are paid entirely on a commission or draw basis, may nevertheless be entitled to additional overtime or pay for work on Sundays. The Supreme...more
Adhering to the “plain and ordinary” language of the state’s overtime statute and related regulations, the Massachusetts Supreme Judicial Court has held that inside sales employees paid on a 100% commission basis are...more
While certain sales employees are exempt from minimum wage and overtime requirements under federal and state laws, others are not. Getting it wrong can be a costly mistake, so employers are well advised to ensure their...more
While not binding nationwide, a recent federal court decision should put to rest any legitimate argument that dealership parts counterpeople are not overtime exempt under federal law. Based on the concept that Fair Labor...more
For the first time, a federal appellate court has acknowledged its obligation to give a “fair reading” to all Fair Labor Standards Act (FLSA) overtime exemptions, as the U.S. Supreme Court stated in Encino Motorcars, LLC v....more
In two decisions issued on September 19, the Second Circuit relied on the Supreme Court’s instruction in Encino Motorcars, LLC v. Navarro, 138 S. Ct. 1134, 1140 (April 2, 2018) that FLSA exemptions are not to be construed...more
WARNING: If you are a regular recipient of the Dealership Update or a Fisher Phillips client, chances are that you will not necessarily learn anything new by reading this article. When you hear that a dealership settled a...more
With minimum wage increasing at federal, state, and local levels and with wage and hour cases on the rise, we receive many questions about exemptions to overtime laws. One such exemption that does not get as much coverage as...more
The U.S. Supreme Court recently gave relief to automotive, tractor, and aircraft dealerships, clarifying that service advisors are – like salesmen, partsmen, and mechanics – exempt from payment of overtime under the Fair...more
We are almost half way through 2018, and this year has been filled with fast and furious changes at USDOL. Proposed tip credit changes (Check, including a reaction from Congress and more tip credit changes on the horizon)....more
If you’re not an auto dealer and you missed last month’s Supreme Court decision in Encino Motorcars, LLC v. Navarro, we forgive you. After all, a ruling on the correct application of the “salesman” exemption to service...more
No doubt last month’s Navarro ruling in the Supreme Court was a big win for retail automotive. That decision affirmed that the same federal overtime exemption that applies to a “salesman, partsman, and mechanic” also applies...more
We are about midway through the 2017-18 term of the U.S. Supreme Court. One case the Court has already decided and another it refused to take up provide some insight on how the Court has handled employment cases it has been...more
In this podcast, David Lindsay discusses the Supreme Court's recent decision in Encino Motor Cars v. Navarro et al., finding that auto service advisers are exempt employees and not covered by the overtime pay requirements of...more