Why Employers Should Adhere To The Fair Labor Standards Act Exemptions

By Marissa Velazquez


Employers should observe the stipulations laid down in the Fair Labor Standards Act in order to ensure workers receive their pay as prescribed in the law. Understanding applications of fair labor standards act exemptions can avert conflicts in workplace. According to Fair Labor Standards Act-FLSA, exempt workers are paid their salaries as stipulated, and they are not subjected to reductions in pay due to variations in the quality and quantity of work they perform.

Their salaries cannot be reduced even if one performs less amount of work or works less hours in a day. Workplace conflicts can arise where employees they are being subjected to unlawful deduction in their pay. This can lead to serious consequences including strikes and legal prosecutions.

In the third test, which is job duties, the workers are required to meet all the criteria that are outlined in exemptions such as administrative duties, executive job, education establishments, computer related jobs, and learned as well as artistic professionals. Some of the positions, which qualify for the exemptions under the computer test, are such as computer programmers and software engineers.

If an exempt worker absents from work for a day or more on grounds that are not clearly understood by the company, reductions can be made on their salaries. If an employee absents from work on personal reasons, which do not qualify for vacation time or sick leave, then the act allows permission on reductions to be made on the salary of such employees.

Executives who regularly direct work to specific number of full time employees or those that have authority of hiring and firing employees are also categorized under executive test. In the administrative test, an employee qualifies for the exemption by passing the salary thresholds. In addition, this administrative test applies to workers who perform non-manual or office work that is directly related with the business operations.

Employees who feel that their pay has been improperly reduced with no apparent reason as per the regulations should launch complaints to pursue compensations for the lost salary. The employee should submit the complaint in writing through e-mail or memo. This complaint is send to the representatives who deal with Compensation and Organizational Services.

The provisions under this act include prohibiting child labor, setting minimum wage, requirement for overtime pay, requirement for equal pay, prohibition of sex based wage differences, as well as requirement for record keeping. In the entitlement to overtime pay, there are some exempts, which include administrative, executive, computer employees, and professionals. For overtime pay, employees should be paid at one and half time their normal rate of pay unless they are in the category of exempt workers.

Overtime is perceived as the time an employee works more than 40 hours during one workweek. Employees and employers alike are required to keep record of the working schedules and time in order to remain compliant. With proper understanding and adherence to regulations governed by the fair labor standards act exemptions, employers and employees are able to come into common agreements and avert conflicts.




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