Making the Change from Hourly to Exempt
dotato
13 Posts
All,
We have determined that three hourly positions within my organization satisfy FLSA tests for exemption. We have decided to change their status to exempt, including added vacation accrual that comes with exemption, effective with the beginning of the new fiscal year.
Now what!
We have to tell the employee, obviously, but does anyone have experience with this? I have done the math, and they will be making more exempt than they did hourly/overtime. We also add a week of annual vacation accrual for all salaried employees.
Aside from making the administrative and accounting changes, what’s left?
Thanks,
Erik
We have determined that three hourly positions within my organization satisfy FLSA tests for exemption. We have decided to change their status to exempt, including added vacation accrual that comes with exemption, effective with the beginning of the new fiscal year.
Now what!
We have to tell the employee, obviously, but does anyone have experience with this? I have done the math, and they will be making more exempt than they did hourly/overtime. We also add a week of annual vacation accrual for all salaried employees.
Aside from making the administrative and accounting changes, what’s left?
Thanks,
Erik
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