2018 Exempt Analysis Worksheet Managerial/Executive Exemption

Transcription

1 2018 Exempt Analysis Worksheet Managerial/Executive Exemption This worksheet will help you determine if an employee qualifies under the managerial/executive exemption to the overtime laws. This worksheet should be used as a tool in conjunction with the Exempt Packet Guidelines, which provide additional information regarding this exemption. An employee is likely exempt if all of the requirements listed below are met. However, the completion of this worksheet does not imply or guarantee that the analysis of the position as exempt will be recognized as accurate by the Division of Labor Standards Enforcement. BASIC INFORMATION Job Title Employee Name Completed By Department Supervisor and Title Date of Completion SECTION I: Management Position A person employed in an executive capacity has duties and responsibilities that involve the management of the enterprise in which he/she is employed or of a customarily recognized department or subdivision. Describe the duties and responsibilities that apply: SECTION II: Directs 2 or More Employees A person employed in an executive capacity customarily and regularly directs the work of two or more other employees. List the names and titles of at least two other employees who are customarily and regularly supervised by this employee:

2 2018 Exempt Analysis Worksheet - Executive/Managerial Exemption - Page 2 SECTION III: Authority to Hire and Fire A person employed in an executive capacity has the authority to hire and fire other employees or whose suggestions and recommendations as to the hiring or firing and as to the advancement and promotion or any other change of status of other employees will be given particular weight. Describe the authority that applies: If the employee does not have authority to change the status of another employee, how much weight is given to his/her recommendations? SECTION IV: Discretion and Independent Judgment A person employed in an executive capacity customarily and regularly exercises discretion and independent judgment. Describe the ways in which the employee customarily and regularly uses discretion and independent judgment: SECTION V: Primarily Engaged A person employed in an executive capacity is primarily engaged (over 50% of the time) in duties that meet the test of the exemption. Exempt work shall include, for example, all work that is directly and closely related to exempt work and work that is properly viewed as a means for carrying out exempt functions. List the employee s exempt and non-exempt duties and the percentage of time required for each. Exempt Duties % Of Time Total % Non-Exempt Duties % Of Time Total %

3 2018 Exempt Analysis Worksheet - Executive/Managerial Exemption - Page 3 SECTION VI: Salary A person employed in an executive capacity earns a monthly salary equivalent to no less than two times the state minimum wage for full-time employment. Full-time employment is defined as 40 hours per week. For Employers with 25 or fewer employees: Effective January 1, 2018, based on the state minimum wage of $10.50 per hour, an exempt employee must be paid no less than $3,640 per month ($10.50 x 2080 = $21,840 times two = $43,680 per year divided by 12 = $3,640). For Employers with 26 or more employees: Effective January 1, 2018, based on the state minimum wage of $11.00 per hour, an exempt employee must be paid no less than $3, per month ($11.00 x 2080 = $22,880 times two = $45,760 per year divided by 12 = $3, Monthly Salary Amount: $

4 2018 Exempt Analysis Worksheet Administrative Exemption This worksheet will help you determine if an employee qualifies under the administrative exemption to the overtime laws. This worksheet should be used as a tool in conjunction with the Exempt Packet Guidelines, which provide additional information regarding this exemption. An employee is likely exempt if all of the requirements listed below are met. However, the completion of this worksheet does not imply or guarantee that the analysis of the position as exempt will be recognized as accurate by the Division of Labor Standards Enforcement. BASIC INFORMATION Job Title Employee Name Completed By Department Supervisor and Title Date of Completion SECTION I: Duties and Responsibilities A person employed in an administrative capacity has duties and responsibilities that involve either: A) The performance of office or non-manual work directly related to management policies or general business operations of his/her employer or his/her employer s customers. B) The performance of functions in the administration of a school system, or educational establishment or institution, or a department or subdivision thereof, in work directly related to the academic instruction or training carried on therein. Describe the duties and responsibilities that apply: Determination: Does the employee meet this section s requirements? (Circle one) Yes No SECTION II: Discretion and Independent Judgment A person employed in an administrative capacity customarily and regularly exercises discretion and independent judgment. Describe the ways in which the employee customarily and regularly uses discretion and independent judgment: Determination: Does the employee meet this section s requirements? (Circle one) Yes No

5 2018 Exempt Analysis Worksheet - Administrative Exemption - Page 2 SECTION III: General Supervision A person employed in an administrative capacity either: A) Regularly and directly assists a proprietor, or an employee employed in a bona fide executive or administrative capacity; or B) Performs under only general supervision work along specialized or technical lines requiring special training, experience, or knowledge; or C) Executes under only general supervision special assignments and tasks. Describe the tasks assigned to the employee which meets one or more of the above requirements: C) Executes under only general supervision special assignments and tasks. Determination: Does the employee meet this section s requirements? (Circle one) Yes No SECTION IV: Primarily Engaged A person employed in an administrative capacity is primarily engaged (over 50% of the time) in duties that meet the test of the exemption. Exempt work shall include, for example, all work that is directly and closely related to exempt work and work that is properly viewed as a means for carrying out exempt functions. List the employee s exempt and non-exempt duties and the percentage of time required for each. Exempt Duties % Of Time Non-Exempt Duties Total % % Of Time Total %

6 2018 Exempt Analysis Worksheet - Administrative Exemption - Page 3 SECTION V: Salary A person employed in an administrative capacity earns a monthly salary equivalent to no less than two times the state minimum wage for full-time employment. Full-time employment is defined as 40 hours per week. For Employers with 25 or fewer employees: Effective January 1, 2018, based on the state minimum wage of $10.50 per hour, an exempt employee must be paid no less than $3,640 per month ($10.50 x 2080 = $21,840 times two = $43,680 per year divided by 12 = $3,640). For Employers with 26 or more employees: Effective January 1, 2018, based on the state minimum wage of $11.00 per hour, an exempt employee must be paid no less than $3, per month ($11.00 x 2080 = $22,880 times two = $45,760 per year divided by 12 = $3, Salary Amount: Determination: Does the employee meet this section s requirements? (Circle one) Yes No

7 2018 Exempt Analysis Worksheet Salesperson Exemption This worksheet will help you determine if an employee qualifies under the salesperson exemption to the overtime laws. This worksheet should be used as a tool in conjunction with the Exempt Packet Guidelines, which provide additional information regarding this exemption. An employee is probably exempt if all of the requirements listed below are met. However, the completion of this worksheet does not imply or guarantee that the analysis of the position as exempt will be recognized as accurate by the Division of Labor Standards Enforcement. BASIC INFORMATION Job Title Employee Name Completed By Department Supervisor and Title Date of Completion OUTSIDE SALES SECTION I: Minimum Age A person employed in an outside sales capacity cannot be exempt from overtime if he/she is not 18 years of age or older. Is the employee 18 years of age or older? SECTION II: More Than 50% Of Time A person employed in an outside sales capacity may be exempt from overtime if he/she spends more than 50 percent of his/her working time away from the employer s place of business, selling tangible or intangible items, or obtaining orders or contracts for products, services, or use of facilities. Work performed incidental to and in conjunction with the employee's own outside sales or solicitations, including incidental deliveries and collections, is not considered exempt work (i.e. delivery, repair and maintenance). List the employee s job duties and the percentage of time required for each:

8 2018 Exempt Analysis Worksheet - Salesperson Exemption - Page 2 INSIDE SALES An inside salesperson is one who sells merchandise in a store or sales lot (for example, car or RV sales lot) or one who sells a product or service via a company telephone. Certain inside sales employees working under Wage Orders 4 and 7 are exempt from overtime. This exemption applies to overtime only, not all other wage and hour laws. SECTION I: Minimum Earnings A person employed in an inside sales capacity may be exempt from overtime if his/her earnings exceed 1½ times the minimum wage. For Employers with 25 or fewer employees: Effective January 1, 2018, based on the state minimum wage of $10.50 per hour, an inside sales exempt employee must be paid no less than $2,730 per month ($10.50 x 2080 hours = $21,840 times 1½ = $32,760 per year divided by 12 = $2,730). For Employers with 26 or more employees: Effective January 1, 2018, based on the state minimum wage of $11.00 per hour, an inside sales exempt employee must be paid no less than $2,860 per month ($11.00 x 2080 = $22,880 times 1½ = $34,320 per year divided by 12 = $2,860). Employee s earnings: $ SECTION II: Commission A person employed in an inside sales capacity may be exempt from overtime if more than half of his/her compensation represents commission. Percentage of compensation representing commission:

9 2018 Exempt Analysis Worksheet Professional Exemption This worksheet will help you determine if an employee qualifies under the professional exemption to the overtime laws. This worksheet should be used as a tool in conjunction with the Exempt Packet Guidelines, which provide additional information regarding this exemption. An employee is probably exempt if all of the requirements listed below are met. However, the completion of this worksheet does not imply or guarantee that the analysis of the position as exempt will be recognized as accurate by the Division of Labor Standards Enforcement. BASIC INFORMATION Job Title Employee Name Completed By Department Supervisor and Title Date of Completion SECTION I: Licensed or Certified A person employed in a professional capacity is licensed or certified by the State of California and is primarily engaged in the practice of one of the following recognized professions: law, medicine, dentistry, optometry, architecture, engineering, teaching, or accounting. Name the profession and license or certification that applies to the employee: SECTION II: Learned or Artistic Profession A person employed in a professional capacity is primarily engaged in an occupation commonly recognized as a learned or artistic profession. For the purpose of this section, an employee must be primarily engaged in the performance of either: A) Work requiring the knowledge of an advanced type in a field of science or learning customarily acquired by a prolonged course of specialized intellectual instruction and study, as distinguished from a general academic education and from an apprenticeship, and from training in the performance of routine mental, manual, or physical processes, or work that is an essential part of or necessarily incidental to any of the above work; or B) Work that is original and creative in character in a recognized field or artistic endeavor (as opposed to work which can be produced by a person endowed with general manual or intellectual ability and training), and the result of which depends primarily on the invention, imagination, or talent of the employee or work that is an essential part of or necessarily incident to any of the above work; and C) Work that is predominantly intellectual and varied in character (as opposed to routine mental, manual, mechanical, or physical work) and is of such character that the output produced or the result accomplished cannot be standardized in relation to a given period of time. Identify whether the work is learned or artistic in nature. Describe the occupation:

10 2018 Exempt Analysis Worksheet - Professional Exemption - Page 2 SECTION III: Discretion and Independent Judgment A person employed in a professional capacity customarily and regularly exercises discretion and independent judgment. Describe the ways in which the employee customarily and regularly uses discretion and independent judgment: SECTION IV: Salary A person employed in a professional capacity* earns a monthly salary equivalent to no less than two times the state minimum wage for full-time employment. Full-time employment is defined as 40 hours per week. For Employers with 25 or fewer employees: Effective January 1, 2018, based on the state minimum wage of $10.50 per hour, an exempt employee must be paid no less than $3,640 per month ($10.50 x 2080 = $21,840 times two = $43,680 per year divided by 12 = $3,640). For Employers with 26 or more employees: Effective January 1, 2018, based on the state minimum wage of $11.00 per hour, an exempt employee must be paid no less than $3, per month ($11.00 x 2080 = $22,880 times two = $45,760 per year divided by 12 = $3, *Licensed physicians and surgeons must meet a different designated salary minimum, which is updated annually. Effective January 1, 2018, the minimum hourly pay for licensed physicians and surgeons is $ Monthly Salary Amount: $

11 2018 Exempt Analysis Worksheet Computer Professional Exemption This worksheet will help you determine if an employee qualifies under the computer professional exemption to the overtime laws. This worksheet should be used as a tool in conjunction with the Exempt Packet Guidelines, which provide additional information regarding this exemption. An employee is likely exempt if all of the requirements listed below are met. However, the completion of this worksheet does not imply or guarantee that the analysis of the position as exempt will be recognized as accurate by the Division of Labor Standards Enforcement. BASIC INFORMATION Job Title Employee Name Completed By Department Supervisor and Title Date of Completion SECTION I: Intellectual or Creative Work A professional employee in the computer field is exempt from overtime pay if the employee is primarily engaged in work that is intellectual or creative. Describe the employee s intellectual or creative work. SECTION II: Discretion and Independent Judgment A professional employee in the computer field is exempt from overtime pay if the employee is primarily engaged in work that requires the exercise of discretion and independent judgment. Describe the ways in which the employee customarily and regularly uses discretion and independent judgment: SECTION IV: Primarily Engaged A person employed in a computer professional capacity is primarily engaged (over 50% of the time) in duties that meet the test of the exemption. Exempt work shall include: The application of systems analysis techniques and procedures, including consulting with users, to determine hardware, software, or system functional specifications. The design, development, documentation, analysis, creation, testing, or modification of computer systems or programs including prototypes, based on and related to, user or system design specifications. The documentation, testing, creation, or modification of computer programs related to the design of software or hardware for computer operating systems. Describe the employee s duties and the percentage of time required for each. (See next page)

12 SECTION IV: Primarily Engaged (continued) Exempt Duties % Of Time Non-Exempt Duties Total % % Of Time Total % SECTION V: Highly Specialized Information A person employed in a computer professional capacity must be highly skilled and proficient in the theoretical and practical application of highly specialized information to computer systems analysis, programming, and software engineering. Describe the employee s skills and proficiencies in these areas. SECTION V: Salary A person employed in a computer professional capacity must earn at least $43.58 per hour, effective January 1, OR Must be paid $7, at least once monthly and at least $90, annually if the employee is paid on a salaried basis, effective January 1, Employee s Monthly Salary Amount: $ Employee s Annual Salary Amount: $

13 2018 Exempt Analysis Worksheet Computer Professional Exemption SECTION VI: Cautions Caution: Certain Employees Categorized as Nonexempt by Law An employee is not exempt as a computer professional if any of the following apply: The employee is a trainee or employee in an entry-level position who is learning to become proficient in theoretical and practical application of highly specialized information to computer systems analysis, programming, and software engineering. The employee is in a computer-related occupation but has not attained the level of skill and expertise necessary to work independently and without close supervision. The employee is engaged in the operation of computers or in the manufacture, repair or maintenance of computer hardware and related equipment. The employee is an engineer, drafter, machinist, or other professional whose work is highly dependent upon or facilitated by the use of computers and computer software programs and who is skilled in computer-aided design software, including CAD/CAM, but who is not in a computer systems analysis or programming occupation. The employee is a writer engaged in writing material, including box labels, product descriptions, documentation, promotional material, setup and installation instructions, and other similar written information, either for print or for onscreen media or who writes or provides content material intended to be read by customers, subscribers, or visitors to computer-related media such as the World Wide Web or CD-ROMs. The employee is creating imagery for effects used in the motion picture, television, or theatrical industry.