How to classify an employee under the FLSA

Classifying an employee as exempt or nonexempt from the minimum wage and overtime requirements of the Fair Labor Standards Act (FLSA) is among the most important tasks that HR must perform. Every year, thousands of lawsuits are filed by employees who allege they were misclassified, and they often win millions of dollars in back pay and fees.

There are specific steps to follow for determining whether an employee qualifies for a particular exemption. But the general process of employee classification is roughly the same for all of the exemptions.

In this guide, learn about:

• Step 1: Audit the employee’s job duties
• Step 2: Determine which duty is “primary”
• Step 3: Decide which exemption may apply
• Step 4: Determine if the employee qualifies for the exemption

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