Payroll HR Tip of the Week, sponsored by Highflyer Payroll: How to classify managers under FLSA

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A client recently asked, “Do managers need to be classified as exempt under the Fair Labor Standards Act?”

The answer is no. It’s fine to classify managers as nonexempt. You are under no obligation to classify any employees as exempt, even if they meet the criteria under the Fair Labor Standards Act. You could have an entire workforce of nonexempt employees, including the CEO. The important thing is to follow all wage and hour laws applicable to nonexempt employees, including paying them for overtime. Click here to read more.