Justices side with Labor Department in overtime pay dispute

The U.S. Supreme Court has sided with the Obama administration in upholding a rule making mortgage brokers eligible for overtime pay under federal labor law.

The justices unanimously agreed Monday to throw out a lower court ruling that faulted the administration for trying to change overtime rules without following proper procedures.

The case turned on rules put in place by the Department of Labor that would make the mortgage brokers eligible for overtime pay under federal labor law. The rules were changed twice in a four-year period that spanned the Bush and Obama administrations.

In 2006, the Labor Department said the mortgage brokers were like executives and thus not covered by the overtime provision. In 2010, the department reversed itself.

Please enable JavaScript to view this content.

Story Continues Below

Editor's note: IBJ is now using a new comment system. Your Disqus account will no longer work on the IBJ site. Instead, you can leave a comment on stories by signing in to your IBJ account. If you have not registered, please sign up for a free account now. Past comments are not currently showing up on stories, but they will be added in the coming weeks. Please note our updated comment policy that will govern how comments are moderated.