Exempt vs Non-Exempt Employees: Understand the Difference and Prepare for Changes

The United States Department of Labor (USDOL) continues to make labor protections and wage requirements a legislative and operational priority.  Governed by the USDOL, the Fair Labor Standards Act (FLSA) regulates the classification of employees who are exempt, or not exempt, from overtime.  These guidelines are specific to work performed and the wages paid.  The USDOL is re-examining salary and duty requirements, with changes expected this year.  In addition to federal compliance, employers must ensure they are current with state and local requirements.  The ramifications of misclassifying employees are far-reaching and often expensive.  Employers should review current roles and wages and prepare for any changes.

WHY SHOULD YOU ATTEND?

The USDOL, as well as individual states and some locals, have specific guidelines for determining if an employee is exempt or not exempt from overtime.  Back wages, penalties, and interest are just some of the ramifications employers face if employee positions are misclassified as exempt.  We will review the distinct requirements at the federal level and highlight some specific state nuances so employers can ensure they are compliant with the guidelines and ready for any changes that may occur.

AREA COVERED

• We will review a checklist to assist employers with determining the exempt status of a position or role
• We will review wage requirements for exempt employee classifications
• We will review the calculation of overtime for salary non-exempt and hourly employees
• We will review the best practices and due diligence required to remain compliant

LEARNING OBJECTIVES

• How to determine the exempt status of an employee 
• The differences between salary, salary non-exempt, and hourly
• The impact of bonuses and other supplemental wages on the calculation of overtime 
• The financial and workforce management impact of misclassifying employees 
• Best practices for remaining compliant 

WHO WILL BENEFIT?

• Human Resource & Payroll staff.
• Owners.
• Accountants.
• Recruiters and Managers.