The Fair Labor Standards Act, enacted in 1938, is an employee friendly
law that sets forth certain standards that apply to nearly every U.S.
employer. Two of its key provisions are the minimum wage and overtime
compensation requirements. Pursuant to the FLSA, all workers must make
at least minimum wage and all non-exempt workers are entitled to overtime
pay at a rate of one and one half their hourly wage. Several exemptions
exists including the executive, administrative and professional exemptions.
In order for your employer to treat you as exempt, your salary cannot
be less than $455 per week and your principal duties must fall into one
these “white collar” classifications.
Because exempt workers are not entitled to overtime pay, determining whether
a particular worker is exempt or non-exempt is a critical issue, and often
leads to overtime pay lawsuits.
If you have questions concerning whether you are getting all the pay you
are entitled to, and whether you should be classified as exempt or non-exempt,
it is a good idea to consult with an experienced
Georgia wage and hour attorney who can evaluate your particular situation and address your concerns.
The $455 salary test was first adopted to exclude upper-level and managerial
employees from the overtime provisions. However, over the years this benchmark
has not increased, and now wage earners who rightly deserve overtime pay
are not getting the compensation they deserve.
President Obama is seeking to amend the white-collar overtime exemption
to address this inequity. As explained by President Obama, the white-collar
exemption’s low salary means “unfortunately, today, millions
of Americans aren’t getting the extra pay they deserve.”
A proposed rule modifying these exemptions will likely be published later
Atlanta wage and hour attorneys, we will be following any changes to this important provision. If you
have any questions about the FLSA, or how changes to the exemption requirements
may affect you, please contact our team of FLSA lawyers at The Buckley
Law Firm, LLC for an immediate consultation.