An offshore oil rig employee who earned upwards of $200,000 per year and worked well over 40 hours per week is entitled to receive overtime pay for extra hour worked even though the company classified him as an overtime-exempt executive, the Supreme Court ruled on Feb. 22.
The 6-3 ruling is important because it is expected to have an impact on the energy industry, which tends to rely on daily pay rates instead of salaries to compensate employees, including those who hold high-paying jobs in energy exploration.
The employer, Helix Energy Solutions Group, said the employee, Michael Hewitt, didn’t qualify for overtime pay under the Fair Labor Standards Act (FLSA), even though he routinely put in 84 hours per week on rigs. The company categorized him as an executive, which would preclude the possibility of overtime pay….