High Court Deems GSK Drug Sales Reps OT-Exempt

Law360, New York (June 18, 2012, 12:29 PM EDT) -- The U.S. Supreme Court ruled Monday that a proposed class of GlaxoSmithKline PLC sales representatives are outside employees exempt from federal overtime pay requirements, rejecting the U.S. Department of Labor's position and handing a major victory to the pharmaceutical industry.

In a 5-4 decision, the high court found that drug representatives — who are legally prohibited from closing sales — are outside sales workers and are therefore exempt from the Fair Labor Standards Acts overtime requirements. The justices ruled that the DOL's stance that the pharmaceutical...
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