In light of the current amendment to Massachusetts Law regarding the payment of wages and the mandatory requirement that treble damages be assessed to any employer who violates Massachusetts Wage and Hour Law, it is important to consider that whether your salaried employees are exempt from overtime.
It is not enough to simply state that an employee is salaried for that employee to be considered exempt from overtime. Several factors must be considered in determining the exemption of an employee. The most commonly known group of exempt employees are the “white collar exemptions” who are executive, administrative and professional employees, as well as outside sales employees and computer professionals. Generally, in order to qualify for the "white collar exemption," the employee must perform duties that fit under the an exemption to the Fair Labor Standards Act and be paid at least $455.00 per week on a salary basis.
Employers are cautioned regarding using the labeling of jobs as grounds for determining whether an individual is exempt. Recent court rulings relating to assistant managers indicate that an assistant manager may not qualify as an exempt employee for overtime because his or her duties may not fit the definition of an administrative professional or management. Employers should check with their attorney when classifying employees in order to ensure compliance with the Fair Labor Standards Act and the Massachusetts Labor Laws.
By: Kevin V. Maltby, Esq.