DENVER (CN) - The 10th Circuit ruled that Army recruiters hired by military contractor Serco Inc. are entitled to overtime pay.
The judges rejected Serco's claim that civilian military recruiters Gary Clements and David Gerber fall under the "outside salesmen" exemption to the Fair Labor Standards Act.
Judge Murphy said the recruiters never engaged in sales because they did not obtain commitments from recruits, so they are not exempt from labor laws.
The court affirmed back-pay awards of $3,006 to Clements and $3,651 to Gerber.
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