Quicken Loans said the Supreme Court rule on mortgage bankers overtime pay [1] had no effect on their company because it already offers overtime pay to workers, according to an article by the Detroit Free Press.
[2]
"This ruling will have no effect on how Quicken Loans pays its mortgage bankers," company spokesman Aaron Emerson said in an email to the newspaper. Adding later that, "Quicken Loans offers its mortgage banking professionals a salary, overtime and bonus pay."
Quicken has been involved in several lawsuits involving overtime pay for its mortgage workers, including a class-action federal suit brought by 400 former employees that the company won in 2011. In that case, a federal jury ruled that the Quicken employees did not qualify for overtime pay because the federal rules in effect during their time at the company didn't require it, according to the Detroit Free Press.
However, Quicken isn’t the only organization with lawsuits regarding overtime pay for employees. Principal Financial, Bank of Blue Valley, NovaStar, First Franklin, Premier Bank, Open Door Lending, Texas Capital, and National City Mortgage have all settled cases involving lack of overtime pay for loan mortgage originators. A suit brought against Wells Fargo in 2006 sought three years of overtime pay for loan originators and processors at the bank. According to the suit, mortgage bankers typically work an excess of 40 hours a week and rack up a substantial amount of overtime pay.
The Supreme Court case decision on the case brought by the Mortgage Bankers Association (MBA) overturned a previous decision by the Federal District Court that held mortgage loan officers under administrative exemption under the Fair Labor Standards Act of 1938, making them ineligible for overtime pay.