US court denies overtime for KPMG audit associates

A US court has ruled that entry-level audit associates employed by KPMG are not entitled to overtime pay at the firm, as they meet the legal criteria for professional exemption from the rules regulating payment for additional hours of work.

The US Court of Appeals for the Second Circuit handed down the judgement in a case brought by around 1,000 KPMG audit associates who sought to argue that their employment arrangements fell within the Fair Labor Standards Act (FLSA) and so they should be paid for any extra work outside their contracted hours.