High-earning employees are eligible for overtime pay if they are paid daily, the US Supreme Court has found in a decision that clarifies federal overtime exemptions under the Fair Labor Standards Act (FLSA).

The 6-3 ruling, published on 22 February, is seen as having significant and potentially costly implications for the offshore oil and gas industry which pays high day rates to attract workers with specialised skills, although other labour-intensive sectors could also be impacted.