How Does an Employer prove an Employee is Exempt from the FLSA?

In Fair Labor Standards Act (FLSA) cases, a big and common defense is that the employee who is suing for unpaid wages or overtime is exempt from the law; that is, that the employee is not protected by the FLSA, and thus, the employee cannot sue for the protections provided by the FLSA, which is a law that requires the payment of minimum wage and overtime.

FLSA Exemptions

The FLSA does list a comprehensive list of exemptions. They include job positions like managerial positions, executive positions, IT or computer work, or outside sales. If the employer can prove that the employee fits into one of these exempt categories, the employer will win the FLSA case.

But the law or the government doesn’t give a lot of guidance into the definition of these exempt categories, and that means that many court cases are fought arguing about the nature of someone’s job, and what their job responsibilities are, in order to see if their job is, in fact, “executive” or “managerial” or “supervisor,” or any number of exempt categories.

Showing Exemption:  What’s the Standard?

It is on the employer to show that the employee was exempt. But by what standard; that is, how much evidence does the employer need to show, to demonstrate that an employee is or was, in fact, working in an FLSA exempt job?

As a general rule, there are three legal standards to win any kind of case.

One you may have heard of, beyond a reasonable doubt, which is the toughest standard, but is reserved almost exclusively for criminal cases.

Clear and convincing evidence is a “middle standard,” which is tough, but not as tough as beyond a reasonable doubt.

Then there is preponderance of the evidence, which is just 51% of the evidence; more or stronger or more persuasive evidence than the other side, even just by a little bit. Most civil cases fall under this standard, including employment law cases.

The problem is that some federal circuits were requiring employers to show an employee was exempt by clear and convincing evidence, while others were only requiring the preponderance of the evidence standard, the easier, and thus, more pro-employer standard.

Supreme Court Makes it Easier for Employers

The Supreme Court last year took this matter up, and unfortunately decided that the employer only needs to prove that an employee is exempt, by the preponderance of the evidence standard.

The court held that this was the standard in all civil cases, and that there are very few types of cases that actually require clear and convincing evidence, and so it would make no sense to require FLSA exemption defenses to be proven by this higher, tougher standard.

The court also looked at non-FLSA discrimination and harassment cases, finding them, as well, to only require preponderance of the evidence. Because of that, the court reasoned, it would also make no sense to require a higher standard just to prove an FLSA exemption.

Were you paid what you earned at work? You may not have been. Contact the San Jose employment attorneys at the Costanzo Law Firm today.

Source:

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