HR Reference | Exempt vs. Non-Exempt

Exempt Employees

Exempt employees are exempt from the Fair Labor Standards Act (FLSA) under an executive, professional or administrative exemption.

• Exempt employees do not earn FLSA overtime.
• However, they do earn state compensatory time if they work more than 40 hours in a week.

Non-Exempt Employees

Non-exempt employees do not fall under any FLSA exemption and are therefore covered by the Fair Labor Standards Act.

• Non-exempt employees earn FLSA overtime when they work over 40 hours in a work week.
• This time is earned at time and a half.