According to recent news reports, a group of technical support employees of the California-based tech giant filed a class action lawsuit alleging that HP wrongfully classified them as exempt employees so that they would not qualify for overtime pay.
Incidentally, under the Fair Labor Standards Act (FLSA), employers are required to classify jobs as either exempt or non-exempt. Unfortunately, exempt employees are not covered by FLSA rules and regulations.
As declared by the U.S Department of Labor, classifying whether an employee is an exempt of non-exempt depends on the requirement outlined under the FLSA Regulations as follow:
a) How much an employee is paid
b) How an employee is paid
c) What kind of work an employee does
With few exceptions, an employee must be paid at least $23,600.00 per year or $455.00 per week, be paid on a salary basis ans also perform exempt job duties to be exempt.
Moving forward with the overtime implications, exempt employees are usually expected to allot the number of hours necessary to complete their perspective tasks, regardless of whether the job requires 35 or 55 hours a week. Their compensation doesn’t change even if they extended extra hours on their jobs.
Apparently, exempt employees do not get extra pay for exerting more than 40 hours a week in their job. They are paid for getting the job done. On the other hand, non-exempt employees must be paid with overtime if they work for more than 40 hours explained by a Los Angeles labor lawyer.
Going back to HP’s class current legal battle filed before the U.S. District Court in San Francisco, California, the company is not yet giving its comment regarding the matter