Exemptions

Overview of Exemptions

Some employees are exempt from the overtime pay provisions or both the minimum wage and overtime pay provisions.

Because exemptions are generally narrowly defined under FLSA, an employee should carefully check the exact terms and conditions for each to be sure they are receiving all of their required wages.

Following are examples of exemptions which are illustrative, but not all-inclusive. These examples do not define the conditions for each exemption.

Exemptions from Both Minimum Wage and Overtime Pay

1. Executive, administrative, and professional employees (including teachers and academic administrative personnel in elementary and secondary schools), outside sales employees, and certain computer employees (as defined by Department of Labor regulations). To qualify, most white-collar employees must be paid on a salary basis and meet the duties test. As of July 1, 2024, they must earn at least $844 per week, increasing to $1,128 per week on January 1, 2025. Computer employees may alternatively be paid hourly at a rate not less than $27.63 per hour.
2. Employees of certain seasonal amusement or recreational establishments, employees of certain small newspapers, seamen employed on foreign vessels, employees engaged in fishing operations, and employees engaged in newspaper delivery;
3. Farm workers employed by an employer who used no more than 500 worker-days of agricultural labor in any calendar quarter of the preceding calendar year. A ‘worker-day’ means a day during which an employee performs agricultural work for at least one hour.
4. Casual babysitters and persons employed as companions to the elderly or infirm.

Exemptions from Overtime Pay Only

1. Certain commissioned employees of retail or service establishments; auto, truck, trailer, farm implement, boat, or aircraft sales-workers, or parts-clerks and mechanics servicing autos, trucks, or farm implements, who are employed by non-manufacturing establishments primarily engaged in selling these items to ultimate purchasers;
2. Employees of railroads and air carriers, taxi drivers, certain employees of motor carriers, seamen on American vessels, and local delivery employees paid on approved trip rate plans;
3. Announcers, news editors, and chief engineers of certain nonmetropolitan broadcasting stations;
4. Domestic service workers living in the em-ployer’s residence;
5. Employees of motion picture theaters; and
6. Farmworkers

Partial Exemptions from Overtime Pay

1. Partial overtime pay exemptions apply to employees engaged in certain operations on agricultural commodities and to employees of certain bulk petroleum distributors.
2. Hospitals and residential care establishments may adopt, by agreement with their employees, a 14-day work period instead of the usual 7-day workweek if the employees are paid at least time and one-half their regular rates for hours worked over 8 in a day or 80 in a 14-day work period, whichever is the greater number of overtime hours.
3. Employees who lack a high school diploma or have not completed the 8th grade may be required to spend up to 10 hours in a workweek in remedial reading or other basic skill training without receiving overtime pay. However, they must be paid their regular wages for this time, and the training must not be specific to their current job or position. The purpose must be genuinely remedial in nature, such as improving literacy or general math skills.

The information provided above is for general informational purposes only and does not constitute legal advice. The Fair Labor Standards Act and related employment laws can be complex, and how they apply may vary based on the specific facts of your situation. If you believe your workplace rights have been violated, you should consult with an experienced employment attorney to obtain advice tailored to your individual circumstances.