Computer Professional in CA

Linda_CA

The State of CA has a fairly new exemption for Computer Professionals which allows you to pay a computer professional on an hourly basis as long as the employee meets the duties and salary tests. The salary test is much higher than the federal guidelines. For 2002 the amount was $42.64 and I understand this will increase in 2003 to $43.58 (I think).

I wanted to know if anyone out there is struggling with this exemption and is it possible to have two employees with the same job title, doing the same work but making one a nonexempt employee and the other an exempt employee based on their rate of pay? (One meets the salary test and the other doesn't.) The pay difference is based on of course merit, seniority and overall job skills and qualifications.

Christinet

I am not practicing HR in CA (thank goodness!), but having just gone through a wage and hour audit, I think I would play it safe. If the decision is based as you say on abilities, exp, and seniority (i.e. relative experience), I would title one either Jr. level, Sr. Level or in some other way grade them (I,II,II,etc.).

This way you are more clearly basing the exemption on the duties test as opposed to how they are paid, which could get you into trouble.

Gillian

You can classify one as exempt and one as non-exempt, but Christinet's advice is good. If you do classify them that way, you may have the employee who is not getting overtime complaining that the other is, and you may have a problem if an audit takes place. You are probably about right with your thoughts about next years rate. I don't remember receiving any official information though.