The U.S. Supreme court announced on 28 November 2011 that it will review
court ruling that says that pharmaceutical sales representatives can't
bill their employers for overtime pay. The case could affect the pay of
ten of thousands of people. A lower court ruled that the sales reps are not entitled to
overtime pay because they fall under the outside-salesman exception to
overtime pay requirements of the Fair Labor Standards Act (FLSA).
The case was brought by two former sales reps of
GlaxoSmithKline (GSK) who are seeking premium overtime pay on behalf of a
nationwide class of U.S. sales representatives employed by the London
based drug company. In their petition the plaintiffs argued that pharmaceutical-sales reps
promote products, rather than sell them, and therefore are not
salespeople and should be covered by the FLSA.
The case is Christopher v. SmithKline
Beecham, 11-204. The decision is expected by the end of June.