Flsa Exempt Salary Reduction. Sep 14 2018 In addition to performing duties which qualify as exempt duties salaried exempt employees must satisfy a salary basis test by being paid a predetermined and fixed salary not subject to reduction because of variations in the quality or. Impermissible reductions may in that the general rule is that an employee who is subjected to impermissible reductions in salary is no longer paid on a salary basis and is therefore nonexempt.
This means that under regulations currently in effect where an employee meets the specified duties test is paid on a salary basis and is paid a salary of at least the amount specified in the regulations the employer may make deductions from the employee s salary for any hours taken as intermittent or reduced FMLA leave within a workweek without. Permissible reductions have no effect on the employees exempt status. The employee must then be paid minimum wage and overtime required by the FLSA.
The agency reviewed the FLSA exemption status as part of an October 2007 agency-initiated classification and career ladder review of GG-0080 personnel security positions.
Impermissible reductions in salary basis pay and as a. Apr 21 2020 Employees must be paid at least 684 a week 35568 annualized to remain exempt from overtime pay under the FLSA but the minimum salary may be higher under state law. In Alaska for example. Sep 18 2017 Reductions in the predetermined salary of an employee who is exempt will ordinarily cause loss of the exemption.
