Hewitt v. Helix Energy Solutions Group, Inc., No. 19-20023 (5th Cir. 2020)Annotate this Case
The Fifth Circuit held, consistent with the dissent in Faludi v. U.S. Shale Sols., 950 F.3d 269, 271 (5th Cir. 2020), that an employee who is paid a daily rate is not paid on a "salary basis" under 29 C.F.R. 541.602(a).
In this case, plaintiff filed suit against his employer, Helix, under the Fair Labor Standards Act (FLSA), alleging that Helix did not pay him on a "salary basis" because it calculated his pay based on a daily, rather than weekly, rate. Helix countered that plaintiff's daily rate was greater than the weekly salary requirement under Labor Department regulations. Helix argued that, so long as plaintiff worked at least a single day during any particular week, he would receive more than the weekly salary requirement, and was therefore paid on a "salary basis" under Labor Department regulations.
The court reversed the district court's grant of summary judgment to Helix and remanded for further proceedings. The court explained that plaintiff was paid on a daily rate—so he was paid "with" (not "without") "regard to the number of days or hours worked," in direct conflict with the plain language of section 541.602(a)(1). Therefore, plaintiff was not paid on a salary basis.
The court issued a subsequent related opinion or order on December 21, 2020.
The court issued a subsequent related opinion or order on March 9, 2021.
The court issued a subsequent related opinion or order on September 9, 2021.