If you’ve read this blog long enough, you know that certain workers are classified as “exempt” from the overtime requirements. The most well-known of these are the white-collar exemptions of executive, administrative and professional personnel.

But state law has several other categories of exemptions you may never have heard about such as a chief engineer of a radio station.  (Conn. Gen. Stat. 31-76i(b).)

The General Assembly, however, recently added a new one in an innocuously titled piece of legislation called “An Act Concerning Commercial Mortgage Loan Originators”.

This is actually not the first time that the legislature tackled this. Back in 2010, courts began to rule that mortgage loan officers were not exempt.   But the legislature in 2011 amended the law to add certain mortgage loan originators as being exempt.

However, the way the language was drafted back then suggested that it may only cover residential mortgage loan originators.  Thus, a fix was proposed this year and passed in Public Act 21-136 (Senate Bill 831).

The new exemption states that the following position is exempt:

any commercial mortgage loan originator who is a highly compensated employee, as described in 29 CFR 541.601. For purposes of this subdivision, (A) “commercial mortgage loan originator” means an individual who for compensation or gain or with the expectation of compensation or gain, either for such individual or for the person employing or retaining such individual, (i) accepts a commercial mortgage loan application, or (ii) offers or negotiates the terms of a commercial mortgage loan, and (B) “commercial mortgage loan” means a mortgage loan not primarily for personal, family or household use.

One other small, but notable change for employment lawyers out there: The cites to each of the exemptions in this section has been relabeled from a letter to a number.  Thus, any cites in legal briefs or presentations should have the updated information.

The law goes into effect October 1, 2021.

Employment law is constantly changing in ways big and small.  This is just another example of the small changes that happen each year that add up over time.