Salary Level Testing

Amy should consider the salary level test, salary basis test, and job duties test as her three factors when it comes to determining if shift leaders are exempt or nonexempt. The reason why is because the Fair Labor Standards Act say’s that an employee must meet all three of these criteria’s to be considered exempt. Therefore, if an employer plans on classifying his or her employee as an exempt, then the salary level for that “employee must be paid at least $455 per week, or $910 biweekly, or $1971.66 monthly, or $23,660 annually,” (n.d., pg.1).

The Fair Labor Standards Act states, “an employee is paid on a salary basis if he or she has a guaranteed minimum amount of money he or she can count on receiving for any work week, in which he or she performs” (n.d., para. 7). That means in order for Amy to consider her shift leaders to be exempt, she needs to make she’s following the FLSA that say’s all exempt employees must meet both the salary level test and salary basis test.

11). The exempt job duties include regularly supervising two or more other employees, has management as their primary job position, and has some genuine input into the job status of other employees, such as hiring, firing, assignments, or promotions (FLSA, n.d.). According to FLSA, “supervision means what it implies. The supervision must be a regular part of the employee’s job, and must be of other employees. Supervision of non-employees does not meet the standard. The two employee’s requirement may be met by supervising two full-time employees or the equivalent number of part-time employees, such as two half-time employees equals one full-time employee” (n.d., para.