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Friday, December 10, 2010

In re UPS Wage and Hour Cases: Court of Appeal Affirms Summary Judgment on Exemption Defenses

In In re United Parcel Service Wage and Hour Cases (December 9, 2010) --- Cal.App.3d ----, 2010 WL 4983586, the California Court of Appeal affirmed a trial court order granting summary judgment to the employer on the executive and administrative exemption defenses. The plaintiff had been employed as "an air hub full-time supervisor (Hub Supervisor)," an "on-road supervisor (ORS)," and a "Center Manager" or "business manager." Slip op. at 4.
In all three job positions, Taylor has regularly worked in excess of eight hours a day, often as many as 10 to 12 hours. He also has often felt compelled, due to the press of business, to skip breaks and take a “working lunch,” eating a sandwich at his desk and continuing to work. All three job positions have been salaried positions paying more than double the state minimum wage, starting at approximately $4800 per month as a Hub Supervisor up to his current salary as Center Manager of approximately $7115 per month. Since 1999, Taylor has received Management Incentive Program awards consisting of stock. His annual stock “awards” ranged in value from $9385.59 to $18,506. During that same time period, Taylor has also received annual monetary bonuses equal to a half-month's salary. Nonexempt hourly employees at UPS are not eligible to receive stock awards through the Management Incentive Program. Taylor has supervised numerous hourly employees and lower-level full- and part-time supervisors while holding each of the three job positions.

Considering these facts and others, the Court affirmed the order granting summary judgment. The opinion is available here.

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