Make sure your company understands this important exemption.
The most important, and often most troublesome, exemptions to the minimum wage and overtime requirements under federal and state law are the white-collar exemptions. The FLSA and most state laws provide exemptions for “any employee employed in a bona fide executive, administrative, or professional capacity.” The statutes typically do not define these terms; however, USDOL and many state agencies have issued extensive interpretive materials on the subject. This white paper reviews this exemption and discusses the minimum compensation requirement and the salary basis test.
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