What Now?
Guardian HR does not recommend that employers reclassify just yet, as this currently is just a proposed rule and the first step in what will be a lengthy process before there will be a new final rule. Guardian HR will be keeping you up to date and informed, should any action become necessary.
We recommend that our clients continue to audit their exempt work forces to determine whether employees qualify for white collar exemptions under the primary duties criteria of the different exemptions:
- For the executive exemption, employees' primary duties must be to manage the enterprise or a department or subdivision of the enterprise, and to customarily and regularly direct the work of at least two employees, and the employee must have the authority to hire or re, or his or her suggestions and recommendations as to the hiring, ring or changing the status of other employees must be given particular weight.
- For the administrative exemption, employees' primary duty must be to perform office or non-manual work directly related to the management or general business operations of the employer or the employer's customers and must include the exercise of discretion and independent judgment with respect to matters of significance.
- For a professional exemption, employees' primary duty must be work requiring knowledge of an advanced type in a field of science or learning customarily acquired by prolonged, specialized, intellectual instruction and study, or in one of a few other similarly highly specialized fields, such as teaching, computer analytics and engineering
Authors: Allen Smith, J.D., Michael Cardman, Steffi Harges