To be exempt from overtime under state and federal law, an employee has to: 1) be paid a fixed salary rather than an hourly wage (the “Salary Basis Test”), 2) be paid at or above a specified salary threshold (the “Salary Level Test”), and 3) primarily perform duties that fall into the executive, administrative, or professional categories or a few other exempt categorizations (the “Duties Test”).
Under the federal Fair Labor Standards Act (FLSA), an employee can satisfy the Salary Basis Test and Salary Level Test if they earn at least $684 per week, meaning an employee who earns at least $35,568 per year and meets the Duties Test can be exempt from overtime payment. Since most states’ overtime laws mirror the FLSA, it would be easy for employers to assume that their employees were exempt from overtime if they earned this much annually. But this assumption would be incorrect in six states.
Alaska, California, Colorado, Maine, New York, and Washington have set their Salary Level Tests at a higher rate than the federal government:
- Alaska: $952.80 per week ($49,545.60 per year)
- California: $1,320.00 per week ($68,640 per year)
- Colorado: $1,006.25 per week ($52,325 per year)
- Maine: $845.21 per week ($43,950.92 per year)
- New York (New York City and surrounding counties): $1,237.50 per week ($64,350 per year)
- New York (outside the New York City metro area): $1,161.65 per week ($60,405.80 per year)
- Washington: $1,499.40 per week ($77,968.80 per year)
As such, an employee who...
Read Full Story:
https://news.google.com/rss/articles/CBMinwFBVV95cUxQdmFDX0lQWWRlaFFyUThIWC1Q...