California Supreme Court Depublishes Unfavorable Administrative Exemption Decision
As readers of the blog may recall, the California Supreme Court issued a decision last year on the administrative exemption in Harris v. Liberty Mutual. The Supreme Court's decision was a positive one for California employers in that it curtailed the importance of the "administrative-production worker" dichotomy that had at times been relied on by California courts to find the administrative exemption inapplicable to classes of workers. The Supreme Court did not decide whether the classes of employees involved in the Harris case--claims adjusters--were administratively exempt or not, but instead remanded the issue to the lower court to decide. Well, on remand a California court of appeal issued a terrible decision, finding that several categories of claims adjusters did not qualify for the administrative exemption as a matter of law. As predicted, Liberty Mutual again petitioned for review before the California Supreme Court. Last week, the Court denied the petition for review but issued an order depublishing the case. (See here.) Great news for California employers. The unfavorable Harris decision is no longer citable and no longer precedent.