Several terms
are used in this training that may be unfamiliar to you.
Please take a moment to review them here so they can
enhance your understanding of compressed schedules:
“Manager”
– The
person to whom an employee on a compressed workweek
schedule reports.
“Exempt”
and “Non-exempt” – To
define eligibility for overtime payment,employees
are classified as either “exempt” or
“non-exempt” under the provisions of the Federal
Fair Labor Standards Act (FLSA).
“Non-exempt”
employees
are eligible to be paid time and a half for any hours
worked over 40 in a work week (overtime pay). They are also
eligible for overtime pay for each hour worked over
eight hours per day in California, Nevada and Alaska.
Thus non-exempt employees are sometimes referred to as
“overtime eligible.” Non-exempts can be either
salaried or “hourly,” but in either case must be
paid for all overtime hours.When non-exempts use certain compressed
schedules, costs will increase.
“Exempt”
employees are salaried and are not subject to the FLSA
and state overtime and detailed record-keeping
provisions.
Since exempt employees are paid the same whether they
work 40 hours or more per week, exempt employees can
work any compressed schedule their manager will approve
without increasing out-of-pocket costs.
