Drug reps fight for overtime pay

Posted on July 16th, 2010 No Comments

The U.S. Department of Labor is fighting for pharmaceutical sales representatives’, or drug reps, rights to overtime pay.  So far, federal courts have dismissed two arguments made by drug companies failing to pay overtime to drug reps.

Federal courts first rejected the argument that drug reps should be classified under the Fair Labor Standard Act’s “Outside Salesman” exemption.   They found that this exemption does not apply to pharmaceutical sales rep because they are not technically selling products, but providing information to physicians about a drug.   In fact, drug reps are prohibited by both state and federal law from actually making sales.

Secondly, courts rejected the argument that drug reps are exempt as “Administrative Employees” because the number of visits to physicians’ offices is set by the drug company, not by the drug rep.

These decisions could be the first step to pharmaceutical sales representatives receiving the overtime pay that they deserve.

If you or someone you know is not receiving the overtime pay they deserve, contact the Washington D.C. overtime lawyers of Tycko & Zavareei at 202-973-0900 to learn more about your rights.

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