let filterOptions = { Not all aspects of the three job duties described below need to be performed by the employee in order for them to become exempt, but they must fall under and be able to be proven for at least one of them. In order for an exemption to apply, an employees specific job duties and salary must meet all the requirements of the Departments regulations. The 2024 salary . effective Oct. 3, 2022. . The UCs will retain the higher FLSA salary threshold of $913 per week for staff positions, as implemented in December 2016. For more information on the penalty adjustments, go, 29 CFR 570.140(b)(1) and 29 CFR 579.1(a)(1)(i)(A). What are the requirements to participate in the H-1B1 program? The employees primary duty must be making sales (as defined in the FLSA), or obtaining orders or contracts for services or for the use of facilities for which a consideration will be paid by the client or customer; and. However, there are certain reasons for which pay can be deducted to an extent. -1) { Rather, it repealsthe entire regulatory frameworkfor defining the EAP exemptions under the PMWAregulations that have been in place since 1977. window.onclick = function (event) { At that time, DOL proposed upping the minimum salary threshold from $23,660 a year to $50,440 a year, an increase of 113%, with additional increases in subsequent . That means they are FLSA exempt. 0) { A common misconception is that it is up to the employer to choose whether or not someone is exempt from FLSA. } var dropdowns = document.getElementsByClassName("drupal-dropdown expanded"); if (!event.target.matches('.drupal-drop-button')) { Please log in as a SHRM member. $875 per week ($45,500 annually) effective Oct. 3, 2022. temp_style.textContent = '.ms-rtestate-field > p:first-child.is-empty.d-none, .ms-rtestate-field > .fltter .is-empty.d-none, .ZWSC-cleaned.is-empty.d-none {display:block !important;}'; Besides the research and analysis you do to classify a position as exempt or not, after that decision is made, youll need to administer pay and benefits a bit differently and set expectations around those policies and procedures. The Fair Labor Standards Act (FLSA) establishes minimum wage, overtime pay, recordkeeping, and youth employment standards affecting employees in the private sector and in Federal, State, and local governments. ol{list-style-type: decimal;} Consider the following: There are certain qualifications an employee must meet in order to correctly receive the exempt classification. Going forward, Pennsylvania employers will need to consider the exempt status of their EAP employees under contemporary FLSA regulations as well as the version of those regulations in effect more than 50 years ago. The employees primary duty must be the performance of office or non-manual work directly related to the management or general business operations of the employer or the employers customers; and. The contents of this document do not have the force and effect of law and are not meant to bind the public in any way. The current minimum salary threshold sits at $35,568 annually, which was put into place at the start of 2020 following a lengthy process that began during the Obama administration. To qualify for the exemption, employees must meet certain tests regarding their job duties and be paid on a salary basis of not less than $684 per week ($35,568 annually). @media (max-width: 992px){.usa-js-mobile-nav--active, .usa-mobile_nav-active {overflow: auto!important;}} Spanish ; Employment Relationship, Independent Contractors, Misclassification: 14: . The .gov means its official. } Fact Sheet #17E:Exemption for Employees in Computer-Related Occupations Under the Fair Labor Standards Act (FLSA) Revised September 2019 *Note: The Department of Labor revised the regulations located at 29 C.F.R. The FLSA (Fair Labor Standards Act) employment law requires all employers to give eligible (or "non-exempt") workers at least the minimum wage for hours worked. Find more information from the DOLs Wage and Hour Division,which includes exempt salary information on: This Employment Law News blog is intended for market awareness only, it is not to be used for legal advice or counsel. As of January 1, 2022, the minimum salary amount is $735.59 per week for exempting a worker from overtime. Be a part of a free community with other people just like you. #views-exposed-form-manual-cloud-search-manual-cloud-search-results .form-actions{display:block;flex:1;} #tfa-entry-form .form-actions {justify-content:flex-start;} #node-agency-pages-layout-builder-form .form-actions {display:block;} #tfa-entry-form input {height:55px;} if (vTopic != null){ What are the limitations on displacement of U.S. workers by H-1B workers? If an employee meets all the qualifications to be exempt, employers can choose to leave them as non-exempt. These exemption tests are called FLSA exempt job duties. (4) Repeated or willful violation of section 206 or 207. div#block-eoguidanceviewheader .dol-alerts p {padding: 0;margin: 0;} The FLSA provides minimum standards that may be exceeded, but cannot be waived or reduced. A professional position involves work requiring advanced knowledge, often gained through specialized training or a degree beyond college. .manual-search ul.usa-list li {max-width:100%;} ol{list-style-type: decimal;}