Employers can use thepayroll compliance checklistto help ensure employees are classified correctly. Exemption status isnotbased on job title alone. For a position to fall under the administrative exemption it must: Be paid a salary not hourly; ...
Although the specific criteria differ by exemption, all exemptions are based on two broad factors: the manner and amount of pay the employee receives ("salary test") and the employee's job duties ("duties test"). An employee must surpass the minimum thresholds for both tests to be exempt ...
The salary threshold test sets the floor on the minimum amount of money that an employee must be paid before the FLSA permits an employer to claim an exemption and therefore NOT have to pay that employee overtime. What is the current Salary Threshold under the FLSA?
The company settled for $8 million after those employees posited the company did not meet the Fair Labor Standards Act duties test to qualify for overtime exemption. They noted that not only did they not have a consistent schedule or advance notice of work hours, but also those management ...
The final requirement for the executive exemption is that the employee have genuine input into personnel matters. This does not require that the employee be the final decision maker on such matters, but rather that the employee's input is given "particular weight." Usually, it will mean that ...
One test that has been applied in some jurisdictions (but rejected in the Ninth Circuit) is the "administration-production dichotomy." Under that test, the exemption depends on whether the employee is engaged in producing the business's product (e.g., widgets, food, loans,...
Reports that state and local governments may have to pay certain middle-management personnel overtime if they do not meet the exemption test as management employees under the Fair Labor Standards Act. Use of the salary test issue to battalion chief and assistant chief ranks in the United States...
To resolve the split among courts on this issue and to bring the terms and spirit of the exemption into alignment, the Secretary of Labor should promulgate new regulations expanding the definition of "making sales" to include the sales activities of PSRs. This Note offers a four-prong test ...
Among other things, the rules state that the salary basis component of the exemption test is not lost if the employer reimburses employees for any improper deductions.LewisJacksonVenulex Legal Summaries
Fifth Circuit Refuses Application of Bright-Line Test in FLSA Seaman Exemption DisputeNicole Eichberger