Non-exempt employee refers to a category of employees entitled to overtime pay and minimum wage as described in the Fair Labor Standards Act (FLSA). Non-exempt employees must be paid for each hour that they work and 1.5x their hourly wage for any hours worked over 40. Employees who earn less than $455/week and those who do not use personal discretion and independent judgment at least 50% of the time are considered non-exempt. Blue-collar, construction, semi-skilled and maintenance workers are non-exempt. Non-exempt employees earn a wage equal to or higher than the federal minimum wage set by the government. This group of workers are covered by the rules and regulations of the Fair Labor Standards Act where exempt employees are not. However, …show more content…
At $525/week, he passes the salary test (his income is greater than $455/week) but, as he cannot exercise discretion or independent judgment and is directly supervised, he is classified as a non-exempt employee. If he works 50 hours one week, he will be paid for the first 40 hours at his regular rate: $15. The additional 10 hours will be paid at 1.5x his regular wage: $22.5. In this example, an exempt employee would earn $525/week regardless of having worked 50 hours. The non-exempt worker, on the other hand, has earned $825. Pros and Cons of Non-Exempt Employees The benefits and drawbacks of operating as a non-exempt employee depends on the person. Some people enjoy receiving a wage for each hour they worked where others prefer the stability of a salary. In most cases, exempt employees earn more than a wage workers because they are expected to complete tasks regardless of how long it takes. That could mean working 60 hours one week and as little as 35 in another. A non-exempt employee, on the other hand, only works a fixed amount of time. They are often held to stricter standards about breaks and total hours worked each week. Since non-exempt employees only earn wages for working, they often do not receive paid time off for vacation or
According to the established FLSA, non-exempt employees working on an hourly basis should make a living wage working the forty hour work week. Currently,minimum wage is not equal to the living wage. An action needs to be taken now, before the middle class completely disappears. One percent of the populations owns more of the wealth than the other ninety-nine percent.If the working class is not able to improve its current situation only two social classes will exist. America will be divided by a high well paid class and a low class with a minimum wage
citizens and residents if the wages are effectively connected with the conduct of a U.S. trade or business. This also includes an employee working for an organization organized in the U.S. or an estate. “Under IRC section 864(b), with certain exceptions, the term "trade or business within the United States" includes the performance of personal services within the United States” (IRS.gov, 2016) (p. 1). Any wages paid to a nonresident alien individual for personal services performed as an employee for an employer are generally exempt from the 30% "NRA withholding" if the wages are subject to graduated withholding (IRS.gov,
Because of a 75 year old section of the Fair Labor Standards Act of 1938, companies that use sheltered workshops to train workers with disabilities, such as Goodwill Industries, can legally pay their employees just pennies an hour. The section of the Fair Labor Standards Act that legalizes this behavior needs to be repealed in order to ensure fair pay and treatment of every employee in today’s workforce. To begin, I will explain the use of sheltered workshops and the timed tests used to determine subminimum wages for employees with disabilities. I will then go on to discuss the history of the Fair Labor Standards Act of 1938 and how companies use a section of the legislation to get away with paying their employees with disabilities so little. And finally I will discuss the ethics behind the use of this piece of legislation and also provide a counter argument which supports subminimum wages.
The most common type of exemption to the FLSA minimum wage and overtime regulations is called White Collar Exemptions. White collar exemptions include executive employees, administrative employees, professional employees, outside sales employees, and computer employees. To determine if an employee is exempt from minimum wage and overtime regulation the FLSA has designed three specific test, including: salary level, salary basis and job duties.
Veterans are viewed as the strongest people in the United States. They constantly deal with daily struggles such as disability and unemployment after their services. After serving in a branch of the United States military, many veterans have trouble finding work. While there are, at times, things that need to be overcome for veterans to be able to work, they are often skilled workers and deserve the opportunity to succeed in the civilian workplace.
In the legal profession there are lawyers who, out of kindness, use their legal skills to help those who really need it; this is known as “pro bono” work. Pro bono comes from “pro bono publico”, a Latin phrase meaning “for the public good” [1], and concerns the provision of legal services for free to those requiring legal advice and/or representation who cannot afford to pay for it and where alternative means of legal aid are unavailable [2]. But what is in there for law students? This essay will explain what benefits they could gain from pro bono work, and the range of opportunities available to them.
When the term “salary” comes to mind, people reference employee wages and the taxes paid by both the employee and the employer. However, the term has a slightly different meaning when it comes to payment of business owners. There are many options on how business owners are compensated, but the options are based on the business entity election. Business owners of sole proprietorships and partnerships are not entitled to a real salary; instead they receive profit distributions from business operations. Profits from a partnership are then divvied up based on the ownership percentage of each partner. They are not responsible for paying the FICA tax, but they do need to pay self-employment taxes and quarterly estimated taxes. Business owners of C and S corporations are waged in one of two ways: salaries if they are involved in daily activity or dividends as a shareholder. In addition to receiving a reasonable salary, payment of Social Security and Medicare taxes are anticipatory.
(8) U.S. Dept. of Labor, Family and Medical Leave Act – Wage and Hour Division (WHD) (http://www.dol.gov/whd/fmla/), 2013, Website
Change, while unavoidable in companies, is not always a welcomed thing. As the U.S. Department of Labor (DOL) is revising their overtime exemption rules under the Fair Labor Standards Act (FLSA) for 2016, many companies are panicking at the response this will yield from their employees. The adjustment of what qualifies employees for exempt status, where their overtime hours working are not paid for, will lead many in workplace to punch time cards whom have never done so before. Personally, the thought of being paid for the work I do after hours would be gladly received as an increased salary. However, many employees interpret their transition from exempt to nonexempt as a degradation of their professional status.
long as they meet the act's criteria. The employee is also protected from employer retaliation.
If the worker does not earn a certain amount then how would
I joined the U.S. Army as a private, during basic training and my first duty station would influence my thoughts and shape my mind of the knowledge a Noncommissioned Officer should possess. As a Noncommissioned Officer you will place the needs of your soldiers above your own, just as it is stated in the Noncommissioned Officer’s Creed. Some junior leaders are incompetent by not knowing how to take care of their soldiers and do not live by the very creed that should help define and shape us as competent and trustworthy Noncommissioned Officers. Regardless of the rank, from command sergeant major to a corporal, they should all strive to know their soldiers, place their soldier needs before their own, and lead from the front.
If you exceed the maximum number of hours, overtime is triggered. Exempt employees, by contrast, aren’t paid by the hour. Instead, they’re paid a salary. Usually, the employer and the employee have an understanding of how much time an employee will work within a given period.
As defined by the Fair Labor Standards Act (FLSA) who governs most job employees. These employees are considered “Exempt or Nonexempt”. Nonexempt employees are typically paid by the hour and are entitled to overtime pay if they work more than 40 hours per week. “The term hourly wage” describes the rate or amount an employer agrees to pay its employee or worker per hour labored (HR Hero Website, 2017). The “average” or “mean” is the estimated hourly rate calculated by using the varying hourly rates of a group of workers in a specific occupation (Massachusetts Institute of Technology, 2017).
What exactly is workplace discrimination? (Statistic) It can be defined as a less favorable treatment towards an individual or a group of individuals at work, usually based on their nationality, skin color, sex, marital status, age, sexual orientation, or other defining attributes. It can appear as a denial of certain rights, negligent treatment, deliberate harassment or work results and achievements, and so on. A person can be discriminated by their coworkers or by the employer. Thesis: Gender inequality in the workplace is an ethically historic and significant issue which requires adequate solutions because it leads to unethical discrimination of women, minorities, and those who are members of the LGBT community. As a rule, discrimination