UPDATE: New Jersey DOL Proposes to Restore the Accidentally Omitted “Inside Sales” Exemption to State’s Overtime Regulations

Morgan Lewis
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On October 24, we published a LawFlash discussing regulations enacted by the New Jersey Department of Labor and Workforce Development (NJDOL) conforming the executive, administrative, professional, outside salesperson, and highly compensated exemptions under New Jersey's Wage and Hour Law with the same exemptions under the federal Fair Labor Standards Act (FLSA). As noted in the LawFlash, the NJDOL in its new regulations inadvertently eliminated the "inside sales" exemption that exempted from overtime any employee whose primary duty consists of sales activity, who is paid at least $400 per week, and who receives at least 50% of his or her compensation from commissions. However, the NJDOL also announced its intention to rectify this oversight by rulemaking.

The NJDOL now has taken the first step toward restoring the "inside sales" exemption under New Jersey's overtime regulations. In the November 21 issue of the New Jersey Register, the NJDOL proposed to amend N.J.A.C. 12:56-7.2(c) and restore the accidentally omitted "inside sales" exemption.

Please see full publication below for more information.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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