A high-earning employee is not compensated on a “salary basis” when their paycheck is based solely on a daily rate calculated by the number of days worked, the Supreme Court held in Helix Energy Solutions Grp., Inc. v. Hewitt Feb. 22, 2023. Because the employee is not paid on a salary basis, the Court ruled, the employee cannot satisfy the highly compensated employee (HCE) exemption (or any of the white-collar exemptions) and thus is nonexempt and entitled to overtime pay.

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