For example, the night manager at a fast food restaurant may in reality spend most of the shift preparing food and serving customers. Additional info for today's workers There's a lot to know when you're a member of the workforce. These positions create, interpret, and apply policy, decide what the organization will do, and exercise discretion about significant matters. This is because your job and corresponding salary aren't dependent on working a certain amount of hours weekly; moreover, your positions requires a marketable skill set, experience and commitment to getting a certain job done which can, at times, mean more than 40 hours in a week. Explain the basics of exempt and non-exempt employees with this visual guide. A state cannot exclude people from overtime who get it under federal law, but they can require more people—people who would not be paid under federal law—to receive overtime, too.
Rather, for all the most common types of exemptions, being paid on a salaried basis as opposed to an hourly basis is the starting point for the analysis, not the end point. In the past few years you may have heard the terms exempt and non-exempt being used more frequently. As a supervisor, you can require your exempt employees to keep a regular schedule, and you need to let them know that at times it may be necessary for them to work outside their regular schedules. Itï¿½s important to remember that the intent of the law is to protect the worker from abuse by the employer. Please , or assistance from State, Federal, or International governmental resources, to make certain your legal interpretation and decisions are correct for your location.
What is an exempt employee? The key consideration of an exempt employee is that your salary is what it is because sometimes there may be more work and sometimes, there will be less to do during a given workweek. The Court in a comprehensive and straight forward written opinion in the case of Dynamex Operations West, Inc. The final requirement for the executive exemption is that the employee have genuine input into personnel matters. Another type of exclusion is for jobs which are governed by some other specific federal labor law. California Presumption that A Worker Is An Employee California law presumes an employer-employee relationship once evidence has been presented showing that a worker provided services for an employer.
See other fact sheets in this series for more information on the exemptions for , , , and employees, and for more information on the requirement. The majority of employees covered by the act fall under the non-exempt category. It involves the exercise of a good deal of important judgment and discretion, since it is up to the buyer to select items which will sell in sufficient quantity and at sufficient margins to be profitable. Overtime implications Exempt employees are generally expected to devote the number of hours necessary to complete their respective tasks, regardless of whether that requires 35 hours per week or 55 hours per week. Workers' rights and benefits implications? It is not promised or guaranteed to be correct, complete or up-to-date.
The act applies only to employees employed by an employer, not to or volunteers. If staying late or coming in early is required to do the job, exempt employees are frequently expected to do just that. Supervision means what it implies. In other words, a fast food restaurant manager who spends 90% of her day running a cash register and making hamburgers does not qualify as an exempt employee. Please click to accept Send Email. However, most employers treat their exempt and nonexempt employees in a similar manner.
The contents of this website should not be relied upon as legal advice. An employee who meets some or most of the criteria to be exempt but not all of them is non-exempt. Even drivers who solely drive intrastate may be exempt if their deliveries are a continuation of an interstate journey or if they reasonably could be expected to be called on to make interstate runs. Professional Exemption:To qualify as an exempt professional, the employee must perform work that is primarily intellectual in nature and which allows for the exercise of independent judgment and discretion. For example, if a non-exempt employee works more than 8 hours in a day, California gives him or her overtime. An if the employee has a guaranteed minimum amount of money that he can count on receiving for any workweek in which the employee performs any work. There are rules regarding what qualifies a person as exempt.
Many are likely to do the latter. Their compensation doesn't change based on actual hours expended. This Web site is a source of advertising for the Panahi Law Group. Employees That Are Exempt Only From Overtime Employees Receiving Sales Commission: Certain individuals are exempt if they: 1. It is also important to note that some exemptions only exempt the employee from specific Labor Code provisions for example, the inside sales exemption only exempts the employee from overtime pay requirements, but the employer is still required to provide meal and rest breaks.
Also, remember that your employer cannot arbitrarily decide to pay you less on a given week or pay period because you are doing less work or working less hours. The fact-finder judge or jury depending on the case uses this multi-factor test and assigns weight to each factor using the nature of the work and the totality of the evidence presented. Merely clerical work may be administrative, but it is not exempt. Answering yes a particular factor would tend to show an employment relationship existed, while answering no would show the individual was more likely an independent contractor. Job titles do not determine exempt status. This article is the first in a series of articles to help employers tread through this technical area, hopefully in a manner that makes it at least somewhat easier for employers to understand.