Friday, February 29, 2008

7th Circuit Upholds Dismissal of FLSA Claim On Basis of Ministerial Exception

In Schleicher v. Salvation Army, (7th Cir., Feb. 28, 2008), the U.S. 7th Circuit Court of Appeals, in an opinion by Judge Posner, applied the "ministerial exception" doctrine to dismiss a suit brought under the Fair Labor Standards Act by two ordained Salvation Army ministers. Plaintiffs, who administered one of the Salvation Army's Adult Rehabilitation Centers, were provided basic needs allowances less than the FLSA's prescribed minimum wage. While the FLSA applies to religious organizations when they engage in ordinary commercial activities, the court held that here clergy were engaged in ecclesiastical administration of a church. They were not merely commercial employees of thrift shops which were a part of the Rehabilitation Center program. The court held that plaintiffs' claim should be dismissed not for lack of jurisdiction (as the lower court had held), but because defendants were entitled to summary judgment on the merits. [Thanks to How Appealing for the lead.]