Supreme Court unanimously agrees with U.S. Chamber that state wage-and-hour laws don’t apply to drilling rigs on the outer continental shelf

Monday, June 10, 2019 - 5:30pm

In Parker Drilling Management Services, Inc. v. Newton, the Supreme Court unanimously reversed the Ninth Circuit’s determination that California’s wage-and-hour laws applied to offshore oil-and-gas drilling on the outer continental shelf.  The decision provides certainty for all offshore oil-and-gas operations on the outer continental shelf that state wage-and-hour law will not apply to those operations.  This is particularly significant for offshore oil-and-gas operations in the Pacific Ocean, as California wage-and-hour law is particularly favorable for the plaintiffs’ bar.  The Chamber filed an amicus brief at the cert. stage, urging the Court to take up this case and filed an amicus brief at the merits supporting this outcome.