What is FLSA Status?
FLSA status refers to whether an employee is classified as exempt or non-exempt under the Fair Labor Standards Act, which determines whether they are entitled to overtime pay for hours worked beyond 40 in a week.
Why does FLSA Status matter?
Misclassifying an employee’s FLSA status is one of the most common and costly wage-and-hour mistakes an employer can make, exposing the business to back pay, penalties, and potential legal claims.
How does FLSA Status work?
Employers evaluate a role against FLSA criteria, primarily salary level and specific duties tests (executive, administrative, professional, and other exemptions), to determine whether the position qualifies as exempt from overtime requirements or must be classified non-exempt.
Frequently asked questions
What is the difference between exempt and non-exempt?
Exempt employees are not entitled to overtime pay regardless of hours worked; non-exempt employees must be paid overtime, typically 1.5x their regular rate, for hours over 40 in a week.
Is FLSA status based only on salary?
No, both a minimum salary threshold and specific job duties must be met for most exemptions; salary alone does not automatically make a role exempt.
How BrightMove helps
BrightMove tracks FLSA classification alongside every employee record, keeping pay practices consistent across the workforce. Explore BrightMove for staffing agencies.