Many noteworthy class action lawsuits have come down to an employer misclassification of nonexempt employees. Let’s look at the facts.
In the US, generally there are two types of employees- ‘exempt employees’ and ‘non-exempt employees.’ The difference? The most significant differentiation is with the issue of overtime work. The Fair Labor Standards Act (FLSA) is the federal law that regulates these distinctions. The FLSA states that employers are obligated to pay at least minimum wage for up to 40 hours per week as well as overtime pay. It also specifies that exempt employees are not entitled to overtime pay.
“While California law has more rigorous standards than federal law, federal law still warrants some attention. For one thing, the Department of Labor Standards Enforcement (DLSE) has indicated that, although there are differences between the state and federal exemption standards, the federal regulations may serve as a guide where there is no conflict.”https://www.calchamber.com/california-employment-law/pages/exempt-nonexempt-employees.aspx
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