ARTICLE
8 October 2024

White-Collar Overtime Exemptions Under The FLSA

In New York, most employees are entitled to overtime pay if they work more than 40 hours in a week. However, if your employer claims you are exempt under the FLSA...
United States New York Employment and HR

Are you familiar with the white-collar overtime exemptions under the Fair Labor Standards Act (FLSA)? The New York employment lawyers at Mizrahi Kroub, LLP, are here to help you understand your rights as an employee.

Understanding Overtime Rules in New York

In New York, most employees are entitled to overtime pay if they work more than 40 hours in a week. However, if your employer claims you are exempt under the FLSA, you might not receive that extra pay. Talking to an experienced New York employment lawyer can help clarify if your classification is accurate and legal.

What Are White-Collar Overtime Exemptions?

Under the FLSA, certain employees don't qualify for overtime pay if they meet specific criteria based on their job duties and salary. These exemptions usually fall into three categories:

Executive Exemption

Employees in this category manage the business or a department and supervise at least two other employees. They also have the authority to make important decisions regarding hiring or firing.

Administrative Exemption

These employees perform office or non-manual work directly related to the company's management or general operations and make decisions of significance independently.

Professional Exemption

This applies to employees whose job requires advanced knowledge in a specialized field or artistic work. The role often requires a degree or extensive training.

Common Reasons for Misclassification

Unfortunately, employers sometimes wrongly classify employees as exempt to avoid paying overtime. Here are some common ways this can happen:

Wrong Job Classification

Employers may incorrectly classify a position as executive, administrative, or professional even when the employee's duties don't match the exemption's requirements.

Misunderstanding the Salary Requirement

For a worker to be exempt, their salary must meet a specific minimum threshold. If your employer pays you less than the required amount, you may be entitled to overtime pay, even if you fall into one of the exempt job categories.

Lack of Independent Judgment

If an employee does not regularly make significant decisions affecting the company's operations, they may not qualify for the administrative exemption.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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