DOL Offers Overtime Guidance on Exempt Workers Who Periodically Perform Non-Exempt Job Functions

The DOL has released an opinion letter clarifying that an employee who qualifies for the FLSA executive, administrative, or professional exemption from overtime requirements does not automatically lose that exemption if they perform some secondary, non-exempt work and are paid on an hourly basis for that work. That's true if the employee's primary work consists of exempt work and the employee is paid a salary that satisfies the FLSA statutory threshold (i.e., at least $684 per week). While the DOL opinion is helpful guidance for employers that use dual-role staffing models, it's important to remember that the inquiry is still fact-specific. Employers must consider the employee's primary role and whether that primary role qualifies for the exemption. It's also important to remember the salary threshold and that assigning exempt duties alone is insufficient to qualify for the exemption if the employee does not earn a salary that is at least equal to $684 per week. Further, the DOL opinion addresses only federal law--and many states impose their own requirements. For more information on the rules governing employee compensation, visit Tax Facts Online. Read More: Link to Q3867.