Understanding employee classifications and related policies
All employees are classified as either exempt or nonexempt in accordance with the Fair Labor Standards Act (FLSA). This classification affects how employees are paid and their eligibility for overtime compensation.
EXEMPT EMPLOYEES
Paid salary
Submit weekly timecards only if required by a grant
Ineligible for overtime
NON-EXEMPT EMPLOYEES
Paid hourly
Submit weekly timecards
Eligible for overtime
TIMEKEEPING
EXEMPT EMPLOYEES
Only those on restricted grants must track and submit timecards
NON-EXEMPT EMPLOYEES
All work time must be logged accurately in the system, including any overtime worked regardless of whether it was pre-approved
A standard work week include 37.5 hours of work plus 2.5 hours (30 minutes/day) meal break
OVERTIME
EXEMPT EMPLOYEES
Ineligible for overtime
NON-EXEMPT EMPLOYEES
Overtime paid for hours worked above forty per week at 1.5x regular rate of pay
Overtime must be approved in writing in advance by manager
No work may be done outside of work hours if such activity would result in overtime (including checking email and chats)
BREAKS
NON-EXEMPT EMPLOYEES & EXEMPT EMPLOYEES
Some key staff members may be required to work during the summer and/or winter breaks based on business needs
Employees who work during these breaks should take this time at another point in the year to make up for days worked during break
Employee Classifications and Related Policies
Andrea Tibbetts
Created on July 18, 2025
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Transcript
EMPLOYEE CLASSIFICATIONS
Understanding employee classifications and related policies
All employees are classified as either exempt or nonexempt in accordance with the Fair Labor Standards Act (FLSA). This classification affects how employees are paid and their eligibility for overtime compensation.
EXEMPT EMPLOYEES
NON-EXEMPT EMPLOYEES
TIMEKEEPING
EXEMPT EMPLOYEES
NON-EXEMPT EMPLOYEES
OVERTIME
EXEMPT EMPLOYEES
NON-EXEMPT EMPLOYEES
BREAKS
NON-EXEMPT EMPLOYEES & EXEMPT EMPLOYEES