British Vs Johnson Case Summary

625 Words3 Pages
SMITH v. JOHNSON AND JOHNSON United States Court of Appeals, Third Circuit, 593 F.3d 280 (2010) FACTS Smith [Patty Lee] is a Senior Professional Sale Representative in Johnson and Johnson (J&J) Company. Smith’s position required her to travel to various doctors’ offices and hospitals (outside sales person) to extol the benefit J&J drug Concerta to the prescribing doctors but not to sell drugs. J&J gave her list of target doctors, required to visit on average of ten visits per day and at least one visit to each doctor per quarter with a budget for entertainment expenses to doctors and staffs. Smith was unsupervised 95% of her work time, not micromanaged and it was up to her to run the territory the way she wanted. Smith was expert in…show more content…
Court of Appeals for the third circuit affirmed the District court’s order. REASON According to FLSA overtime requirement, the secretary of Labor has defined an administrative employee as someone makes not less than $455 per week exclusive of board, lodging or other facilities, whose primary duty is the performance of office or non-manual work directly related to the management or general business operation of the employer or the employer’s customers, and whose primary duty includes the exercise of discretion and independent judgment with respect to matters of significance. Smith’s annual base salary is $66,000 or $1269 per week and this qualifies her for the administrative employee exemption. Smith’s position required her to develop a strategic plan to achieve a higher sales goal and these qualified her as directly related to the management of general business operations of the employer. Smith is not supervised 95% of her job, runs her own territory, make decision independently, and these qualified that she was an exercise of discretion and had an independent judgment with respect to matters of significance. Based on these criteria, the court concluded that smith was subject to the administrative employee

More about British Vs Johnson Case Summary

Open Document