This short article first starred in the July 2015 problem of the Minnesota Bankers Association’s month-to-month publication.
The U.S. Supreme Court has decided that the federal Department of Labor’s (DOL’s) March 24, 2010, Administrator’s Interpretation that home mortgage officers typically must certanly be paid as nonexempt employees under the federal Fair work guidelines Act (FLSA) is enforceable. (Perez v. Mortgage Bankers Ass’n). Which means, unless an exclusion is applicable, home loan (as well as other) loan officers must, like all nonexempt employees, keep a period record of them all worked, receive at least minimal wage for almost any hour worked, and be paid overtime for several hours worked over 40 in a work week. The 2010 Administrator’s Interpretation withdrew and reversed the DOL’s earlier in the day 2006 Opinion Letter developing the DOL’s position during those times that mortgage (as well as other) loan officers typically had been correctly compensated as “administrative exempt” workers, maybe perhaps not at the mercy of the timekeeping, minimal wage and overtime requirements of nonexempt workers. Continue reading