How To Explain Salaried Vs. Exempt In 5 Minutes Flat

Law360, New York (September 30, 2010, 12:21 PM EDT) -- The plethora of Fair Labor Standards Act cases reveals, at least anecdotally, that employers may not appreciate the distinction between “salary” and “exempt” from the obligation to pay overtime.

Regularly, I find that otherwise-sophisticated, educated “professionals” (in the vernacular) and business owners do not recognize that the requirement to pay overtime is the norm, and whether an employee is paid a salary is not determinative of much.

Over the years, I have developed a “spiel” (five-minute summary) that I use to explain the rule of law....
To view the full article, register now.