Definitions of exempt and nonexempt employees


Assignment:

1. Assess the main features of the Fair Labor Standards Act (FLSA).

Compare the definitions of exempt and nonexempt employees.

Evaluate at least three criteria that differentiate an exempt and nonexempt employee.

In spring 2014, President Obama sent a memo to the US Department of Labor (DOL) Secretary directing reform of FLSA to address white collar exemptions and, effectively, increase the number of employees entitled to overtime pay. Some changes have been approved and became effective as of December 2016. Research some of the revisions the DOL adopted such as an increase in minimum salary requirements and changes to the current "primary duty" test.

2. Analyze how the modifications differ from the 1938 law and how the status of exempt and nonexempt employees might be altered by the changes.

Analyze some of the controversies and objections associated with these modifications, and justify your view whether these changes benefit employees or the employer and whether you prefer the previous FLSA law or the changes.

 

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Business Law and Ethics: Definitions of exempt and nonexempt employees
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