Insurance Regulatory

On April 1, 2025, in Lynwood Pickens v. Hamilton-Ryker IT Solutions, LLC, the Sixth Circuit Court of Appeals clarified what it means to pay a salary on a “weekly basis” under federal regulation 29 C.F.R. § 541.602(a) for purposes of classifying an employee as exempt from overtime under the Fair Labor Standards Act (FLSA). In a divided opinion, the Sixth Circuit held that to be paid on a “weekly basis” means that an employee is paid for “a regular week’s worth of work.” As a result, the court held that an employer did not pay an employee on a “weekly basis”—and therefore owed the employee overtime—when the weekly guaranteed pay to the employee was only the equivalent of one day’s pay and the employee was paid an hourly rate for every hour worked beyond the first eight hours in the week.

On March 19, 2025, the Equal Employment Opportunity Commission and the Department of Justice issued two technical assistance documents regarding “diversity, equity, and inclusion” (“DEI”) programs in the workplace. Consistent with the Trump Administration’s Executive Orders regarding DEI, these technical assistance documents warn of the potential illegality of certain employment policies or initiatives under Title VII of the Civil Rights Act of 1964. Robin McGuffin takes a look at the guidance recommended in this Stites & Harbison Client Alert.