NOTICE: The U.S. Department of Labor final rule, Defining and Delimiting the Exemptions for Executive, Administrative, Professional, Outside Sales, and Computer Employees, takes effect on July 1, 2024. The final rule updates and revises the regulations issued under section 13(a)(1) of the Fair Labor Standards Act implementing the exemption from minimum wage and overtime pay requirements for executive, administrative, and professional (EAP) employees. The U.S. Department of Labor has increased the salary threshold for the FLSA to $844 per week or $43,888 per year for a full-time employee.  The new rule went into effect July 1, 2024.

What is the difference between non-exempt and exempt?
Non-exempt positions are considered hourly positions and must receive overtime pay or compensatory time for hours worked over 40 in a workweek. Exempt positions are considered salaried positions and do not normally receive additional compensation for overtime work.
Overtime Exemptions Under the FLSA

To be exempt from overtime, a position must meet the following three criteria:

  • A minimum salary threshold (some exceptions apply).
    • Faculty and Coaches are exempt from overtime regardless of salary via a “teacher” exemption as long as their primary duty is teaching, tutoring, instructing, or lecturing. Coaches who primarily recruit, break down film, etc., do not qualify under the teacher exemption.
  • Payment on a salary basis as defined by the regulations (some exceptions apply).
  • A primary duty test that is specific to each exemption.
Does the term non-exempt mean non-professional?

No.  The term “non-exempt” simply means that the position is eligible for overtime and hours must be tracked to ensure proper payment.  There are many non-exempt jobs that have important responsibilities at UWA.  The designation of exempt or non-exempt is a legal designation and does not impact the type or importance of an employee’s work.

Can one employee be exempt and another employee doing the same job be non-exempt?

Yes.  FLSA status is determined by BOTH the duties test and the salary threshold.  Two employees with the same job title can have different statuses.

How will employees know if their FLSA status changes?

Human Resources will communicate changes to current employee statuses to leadership within each department.  Employees whose FLSA status changes will receive written notification from their supervisor and/or Human Resources.

What counts towards overtime for FLSA non-exempt employees?

Only time worked is counted toward the 40+ hours per week required for overtime pay.  Time on leave such as annual, sick, holiday, administrative leave, etc., does not count toward the 40 hours per week of time worked that is required to begin earning overtime pay.  See below for more information on when travel time counts towards overtime.

Can employees work additional hours without asking and without expecting payment?

No.  Employees may not work any hours beyond their required work schedule without supervisory approval prior to working the hours. If an employee works additional hours, compensation must be provided.  Working additional hours without supervisor approval may result in disciplinary action.

Does leave time count as work time?

No.  Hours not physically worked and hours covered by paid or unpaid leave are not counted as “hours worked” for pay computation.

How can supervisors be sure of the time employees are working?

Supervisors must review employee time and leave records and approve them regularly.  Delays in timesheet approvals can result in interruptions in employees pay and/or leave balances.  Supervisors must also monitor employee work efforts.  If a supervisor sees an employee working during a lunch period, receives emails during “off” hours, etc., he/she must address this with the employee and let them know that working outside of required hours is prohibited unless approved in advance.

Are breaks and meal periods compensable under FLSA?

The FLSA does not require meal periods.  However, meal periods and breaks should be used to promote a healthy and productive workforce.  Meal periods, one hour in length, are not work time and are not compensable.  During meal periods, non-exempt employees should be relieved of all work duties and responsibilities.

When is travel time compensable for non-exempt employees?

Under the Fair Labor Standards Act (FLSA), the compensation for travel time depends on the type of travel and when it occurs:

  1. Time spent by an employee in travel as part of his/her main duties during the workday.
  2. Time spent traveling during regular working hours, whether or not it occurs on a regular working day, less the normal home to work travel time, is compensable work time.
  3. For day travel, as a driver or passenger, all time spent, less the normal home to work travel, is compensable work time.
  4. For overnight travel, as a driver, all time spent while driving, less the normal home to work travel, is compensable work time.  As a passenger, not all time spent is considered compensable work time.

For specific details, please contact Human Resources.

When is travel time not compensable for non-exempt employees?

Time spent traveling is not compensable for the following:

  • Travel from home to work or designated starting location.
  • Travel from worksite or designated end location to home.
  • Travel as a passenger outside of normal working hours when traveling out of town overnight.
  • Unusually long or extended waiting periods that occur prior to an employee’s initial departure time or between actual periods of travel if the employee is free to rest, sleep, or otherwise use the time for his/her own purposes.
Is time spent in training considered work time?

Required attendance at training sessions, workshops and other meetings, whether before, during or after the employee’s regular work schedule, is considered work time.  Voluntary attendance at training sessions, workshops, and other meetings is not considered work time.  Attendance is voluntary only if the employee is not led to believe that working conditions continue employment would be adversely affected by nonattendance.