Justices’ Look at Overtime Exemption Proof Raises Legal Risk (1)

The US Supreme Court’s upcoming review of the burden of proof for showing that workers are exempt from federal overtime requirements threatens to reshape the way wage-and-hour litigation plays out and alter how companies approach the issue.

The justices agreed earlier this week to examine a US Court of Appeals for the Fourth Circuit ruling requiring employers to present “clear and convincing evidence” that certain workers aren’t covered by the Fair Labor Standards Act’s overtime protections.

The decision is an outlier that deviates from the majority of federal appeals courts that have addressed the issue. The Eleventh, Tenth, Ninth, Seventh, ...