Exempt employee

An exempt employee is an individual who does not receive overtime pay. Because of this person’s position, responsibilities, and level of decision-making authority, he or she is not covered by the provisions of the Fair Labor Standards Act. Exempt employees are expected to work however many hours are required to get their assigned tasks done, and have full control over their ability to do so. An exempt employee is usually in a management or professional position. Examples of exempt employees are store managers, doctors, and attorneys.

Related Courses

Human Resources Education Bundle 
Human Resources Guidebook 
Payroll Management