• Exempt to non exempt status communication

    The U.S. Department of Labor enforces FLSA regulations and provides assistance to employers who reclassify their employees to or from salary exempt and hourly non-exempt status. Beware of FLSA guidelines that warn employers that a change in status could . In some organizations, exemption status carries a certain organizational status, often linked with the notion that exempt employees contribute more, or more directly, to organizational objectives. It is important to communicate changes to an employee’s exemption status as soon as possible (a day notice is recommended). The samples can be modified to fit the needs of the organization and the reclassification that is A sample FAQ document for employees can also be added to or modified to address the types of questions employees will have as a result of the change. May 18,  · If an employer has different levels of benefits for exempt and nonexempt workers, that will have to be communicated as well, said Marie LaMarche, . New classification as non-exempt Changes to compensation structure beyond classification as non-exempt Company policies and practices for non-exempt employees • How will changes be communicated? This communication may be in the form of an email, web live or one-on-one. Employees from Exempt to Non-Exempt Status. In exactly three months, the Department of Labor’s new overtime rules will go into effect and impact nearly 64% of all employees. With the new mandate come changes to how employees will be classified. Employees who will be transitioned from an exempt to non-exempt classification may resent the change in classification. In some cases, employees could see the reclassification as a positive: non-exempt status could now mean more money when extra hours are worked. Proactive compliance communication with employees about this delicate, difficult issue can help protect you from potential litigation, regulatory enforcement actions and potential drops in employee morale. FLSA Exempt to Nonexempt Employee Reclassification Letterby Practical Law Labor & Employment Related Content Maintained • USA (National/Federal)A sample letter to an exempt employee the employee's reclassification to nonexempt status based on changes to the requirements for the executive, administrative, or professional exemption under the Fair Labor Standards Act (FLSA), notice of compensation . If an exemption no longer applies, the employee should be promptly reclassified as non-exempt and paid overtime in with federal and state law. Communicate the change properly. As with any change in employment status, employers should notify employees in advance and in the impact of the change.
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