No. 23-1077

Mark Wilson v. Schlumberger Technology Corporation

Lower Court: Tenth Circuit
Docketed: 2024-04-03
Status: Denied
Type: Paid
Tags: administrative-exemption executive-exemption fair-labor-standards-act professional-exemption reasonable-relationship salary-basis
Key Terms:
Arbitration ERISA WageAndHour
Latest Conference: 2024-06-06
Question Presented (AI Summary)

Whether an employer who pays an employee a guaranteed weekly amount that exceeds the salary level test and who is also paid additional compensation on an hourly, daily or per shift basis must meet the 'reasonable relationship' test of 29 C.F.R. § 541.604(b) to be paid on a salary basis for purposes of the executive, administrative, or professional exemptions to the FLSA and its implementing regulations, where that additional compensation's relationship to the guaranteed weekly pay exceeds a ratio of 3:1?

Question Presented (OCR Extract)

QUESTIONS PRESENTED The Fair Labor Standards Act, 29 U.S.C. 201, et seq. (“FLSA”) requires the payment of overtime wages to the vast majority of American workers, unless those workers fall under an applicable exemption. The exemption alleged to apply to Petitioner Wilson requires that he be paid on a “salary basis.” Pursuant to the legislative rulemaking authority delegated to it by Congress, the Department of Labor set forth the very limited circumstances when an employer can pay additional compensation to salaried employees without violating the “salary basis” test. 29 C.F.R. §541.602(a)-(b). Mr. Wilson was paid on a salary plus day rate basis, but the amount of his “salary” is just 28.5% ($28,812.90) of his compensation while the daily pay is 71.5% ($72,150) of his total compensation ($100,962.90) (a ratio of 1 to 3.5). The questions presented are: 1. Whether an employer who pays an employee a guaranteed weekly amount that exceeds the salary level test and who is also paid additional compensation on an hourly, daily or per shift basis must meet the “reasonable relationship” test of 29 C.F.R. § 541.604(b) to be paid on a salary basis for purposes of the executive, administrative, or professional exemptions to the FLSA and _ its implementing regulations, where that additional compensation’s relationship to the guaranteed weekly pay exceeds a ratio of 3:1? ii 2. Whether payment of additional compensation which is based on hours, days, or shifts meets the salary basis test where those payments are for work performed during the employee’s normal workweek and not for work beyond the employee’s normal workweek as required in 29 C.F.R. § 541.604(a)?

Docket Entries

2024-06-10
Petition DENIED.
2024-06-05
Letter from counsel for petitioner regarding Fifth Circuit May 24, 2024 opinion in Gentry v Hamilton-Ryker filed. (Received June 7, 2024)
2024-05-21
DISTRIBUTED for Conference of 6/6/2024.
2024-05-02
Brief of respondent Schlumberger Technology Corporation in opposition filed.
2024-01-25

Attorneys

Mark Wilson
Richard Jennings BurchBruckner Burch PLLC, Petitioner
Schlumberger Technology Corporation
Robert P. LombardiThe Kullman Firm, Respondent