The Difference Between Exempt and Nonexempt Workers

The Fair Labor Standards Act (FLSA) says that employers must classify jobs as either exempt or nonexempt. Nonexempt employees are covered by FLSA rules and regulations, and exempt employees are not.

If your admin post is exempt, you'll be excluded from minimum wage, overtime regulations, and other rights and protections afforded nonexempt workers. You'll be paid a salary rather than an hourly wage. You'll be expected to work as many hours as necessary to get the job done, whether that takes 30 hours per week or 70 hours per week. And you'll be paid the same salary either way. Which is why, as a rule, exempt employees are paid more than nonexempt employees. And why staying late or coming in early is often a requirement of the job. Usually only executive, supervisory, professional or outside sales positions are exempt.

If, on the other hand, you're classified as nonexempt, your employer must pay you at least the federal minimum wage for each hour worked and given overtime pay of not less than one-and-a-half times their hourly rate for any hours worked beyond 40 each week. In general, nonexempt employees receive more protection under federal law than exempt employees.

There are pluses and minuses to each. Some workers prefer nonexempt positions because they like the idea of being paid for every hour they work—as well as overtime. Others enjoy the "longer leash" of salaried positions. For example, exempt employees can usually enjoy longer lunch breaks and extra time at the water cooler. If you're nonexempt, you'll often have to punch a time clock or account for every 15-minute interval of your time at work.

For an additional perspective, check out this video:

Alex A. Kecskes has written hundreds of published articles on health/fitness, "green" issues, TV/film entertainment, restaurant reviews and many other topics. As a former Andy/Belding/One Show ad agency copywriter, he also writes web content, ads, brochures, sales letters, mailers and scripts for national B2B and B2C clients. Please see more of his blogs and view additional job postings on Nexxt.