That’s it. There’s about to be a mutiny in my office. We’ve got an issue of Exempt and Non-Exempt. And I’d like to know the legal ramifications. I am in Georgia, USA. I’m not in on it but I can see it coming. Don’t employers have to classify their employees? So far we’re all treated the same with regards to payment; however since our new manager worked 2 hours today you can imagine the gossip that went on.
As far as I know, sales people and managers are on salary. Therefore they get the same pay no matter what. Even if it’s overtime.
And the rest of us are hourly and get paid for every hour, including overtime.
IIRC to be exempt the employee has to do more than 50% of their time doing manager type shit.
If you give the kid at the fryolater a nickel raise to make sure everybody punches out for lunch that does not make him exempt.
YMMV (and your state’s laws also)
ETA: commission sales people may fall into exempt due to how they are paid.
I don’t get it. You say everyone is treated the same with regards to payment, and then you say some people get an annual salary and some people get paid by the hour. How is that the same?
Are there issues with the number of hours people are actually working? For example, are there people who are supposed to be “full time” but are only working 30 hours a week and claiming that they are entitled to their full paycheck because “I am salaried and the number of hours I actually work in any given day, week, or month is irrelevant, what matters is the work got done.”, or are people working 60-70 hour weeks and claiming that the company’s insistence that they are salaried and thus not entitled to overtime is legally bunk?
It’s a really confusing and unclear OP, but here’s some info that may help you.
The Fair Labor Standards Act (FLSA) sets some rules for employers. They have to pay their workers a minimum hourly wage, they have to pay them time and a half for any hours worked over 40, and they have to keep certain records regarding the hours the employee worked and what they got paid. That’s the gist of it.
However, some classes of employees are exempt from the FLSA–that is, they don’t receive the protections that the FLSA offers. If an employee is exempt, the employer can pay them according to pretty much whatever arrangement they reach. The exempt employee isn’t guaranteed a minimum wage, or overtime pay, or anything else.
The most common issue that comes up is employers treating people as exempt who really aren’t.
That’s it, really. So what is your question, exactly?
The would-be mutineers need to remember that they have standing only to challenge underpayments of their own wages or overtime. If they are resentful because they feel other people are not being made to work hard enough, the DOL has nothing to offer them.