Application of the flsa seasonal employer exemption to professional sports kristin spallanzani i. Compensation for administrators, teachers, and staff. Coaches and athletic trainers under the new flsa rules. The flsa requires that most employees in the united states be paid at least the federal minimum wage and overtime pay at time and onehalf the regular rate of. The proposed rule change is not applicable to any seasonal amusement or recreational establishment. This exemption requires a salary at least equal to the new dol threshold. The exemption of professional sports teams from the fair labor standards act charlotte s. The ninety 90 consecutive calendar days include both days worked and days not worked. Salaried employees and the flsa unc school of government. A former volunteer at a major league baseball mlb fanfest event that took place over all star weekend struck out on his putative flsa collective action wage claim after a federal district court in new york rejected his argument that the volunteers were statutory employees of. Per the flsa, exempt employees are required to meet specific duties and salary basis tests to be qualified for an exemption from overtime pay. Flsa exemptions flow chart page 1 this flow chart serves as a basic outline for an initial analysis of positions being considered for exemption under the flsa and is meant to serve. The compensation department interprets and enforces exemption at the university.
These requirements are outlined in the flsa regulations promulgated by the u. The second circuit finds entrylevel accountants to be. Seasonal hiring employee classification can seem more complex because of changes in overtime rules with the flsa. Whd opinion letter flsa201826 11082018 us department of. Mlb volunteer strikes out in class action wage suit. Are my seasonal coaches, to whom we pay a stipend of. The alfa network is comprised of 125 law firms with nearly 300 offices throughout the united states and around the world. Dol issues final rule amending flsa overtime exemption.
That means frontoffice workers, tickettakers, ushers, announcers and the other. Section 2a3 of the fair labor standards act provides that the overtime rule shall not apply to. Flsa exempt and nonexempt defined office of human resources. The two classifications are exempt employees and nonexempt employees. Are all employees entitled to overtime pay under the flsa.
The new rules on may 18, 2016, the united states department of labor dol announced the final version of new standards revising the fair labor. Minor league baseball players exempt from receiving fair. Seasonal and recreational establishments workers advocacy. For an employee to qualify for the administrative employee exemption, the following criteria must be met. Standards act relieving seasonal recreational or amusement employers from their obligation. This is a helpful guide that outlines the different exemptions as classified by the flsa. Application of the flsa seasonal employer exemption to.
This participant guide is intended to be used in the introduction to fair labor standards act training and can be used as an onthejob reference. The fair labor standards act flsa states that professionals are exempt from overtime. The lawsuit stated that the league violated federal minimum wage and overtime standards. The exemption essentially states that minor league ball players are not worthy of fair pay or even minimum wage standards. In many cases, these questions relate to the laws governing the minimum wage requirements or the issue of. This article addresses the learned professional exemption, which applies primarily to highly educated employees. This is particularly true with respect to the topic of. Under the flsa, federal, state, and local government employees receive manybut not allof the protections private sector. This section helps you in determining whether a particular employee who performs work in a recognized professional field e. Minimum wage opinion letter 020305 seasonal business overtime waiver february 3, 2005 your letter to commissioner robert prezioso has been forwarded to me for a response.
You have asked for this office s written opinion as to whether your client, the, is eligible for the seasonal business overtime waiver pursuant to m. For a pdf version of the information below, please click here. Department of labor flsa compliance assistance and faqs. The flsa contains several other exemptions from the minimum wage andor overtime pay protections which are not covered in this advisor. Both are paid in accordance with the requirements of the federal fair labor standards act flsa.
Mlb fanfest volunteers strike out at second circuit under flsas seasonal amusement or recreational establishment exemption. Recruiters at staffing and consulting companies may be exempt from overtime pay under the flsa and mflsa. A position is exempt from the flsas overtime rules if. What is the role of the wage and hour division of the department of labor. When oconner and his staff get in the room with members of congress and make their pitch for why the exemption to the flsa needs to be granted. Section a3 exemption for seasonal amusement or recreational establishments under the fair labor standards act flsa revised july 2008 pdf the flsa requires that most employees in the united states be paid at least the federal minimum wage and overtime pay at time and onehalf the regular rate of pay after 40 hours in a workweek. The flsa and its regulations, however, exempt some employees from these. In 2014, a class action lawsuit was brought against the office of the commissioner of baseball. This is because the flsas implementing regulations contemplate multiple distinct establishments even within the same physical premises. As exempt workers, minor league baseball players are not entitled to. Dear name this is in response to your request for an opinion regarding whether the minimum wage and overtime exemption for seasonal amusement or recreational establishments in the fair labor standards act flsa 1 applies to lifeguards at a town beach.
Fair labor standards act revisions impact schools, athletics programs. Baseball and the office of the commissioner of baseball, so the. Wage and hour division whd opinion letters fair labor standards act. Classifying seasonal employees under the flsa by phill britt. Managers often ask whether a job is exempt or nonexempt. This is considered the executive, professional or administrative eap exemption. Administrative employee exemption flsa employment law. Employees in exempt positions are not entitled to overtime pay, even if they work sixty hours or more in a single workweek. The exemption of professional sports teams from the fair labor. To continue working on the website, click stay signed in below. One of the laws enforced by wage and hour is the fair labor standards act flsa, which requires employers to pay covered nonexempt employees at least the federal minimum wage for all hours worked, and overtime pay for all hours worked over 40 in a work week. Seasonal workers are exempt from flsa requirements for minimum wage and overtime rules. As many of you are aware, our campus has been preparing for a significant change to the overtime rules of the fair labor standards act. Two new district court decisions highlight this analysis and how it can impact specific claims under the socalled seasonal recreation and amusement exemption.
The fair labor standard act flsa is a federal law that sets minimum wage, overtime, and minimum age requirements for employers and employees. Athletic trainers are particularly likely to qualify as exempt under the learned professional exemption, as long as they have completed four academic years of preprofessional study and have obtained certifications commonly required of their positions. The flsa contains exemptions from overtime pay for employees in executive, administrative, professional, outside sales and certain computerrelated jobs. Two courts analyze flsas establishment test to determine. The office of personnel management has promulgated a regulation requiring that the designation of an employee as flsa exempt or nonexempt must ultimately rest on the duties actually performed by the employee. Department of labor announces overtime rule decision.
Are employees of seasonal recreational establishments. White collar exemption currently, section a1 of the flsa provides an exemption from minimum wage and overtime requirements for any employee employed in a bona fide executive, administrative, or professional capacity. This wage and hour tool provides exclusive, indepth news and analyses of privatesector employer responsibilities relating to the flsa minimum wage and overtime exemptions. Fair labor standards act opinion letter on coaches nfhs.
This guide is intended to provide an overview of the fair labor standards act combined with the elearning module that was. Section a3 exemption for seasonal amusement or recreational establishments under the fair labor standards act flsa the flsa requires that most employees in the united states be paid at least the federal minimum wage and overtime pay at time and onehalf the regular rate of pay after 40 hours in a workweek. Recruiters at staffing and consulting companies may be. While the courts finding is of great significance to employers within the accounting industry, the decision offers broad guidance as the meaning of the professional exemption generally, guidance which is applicable to. Some employees are exempt from flsa requirements, such as pay for overtime. Exemptions are narrowly construed against the employer asserting them. To be considered exempt from overtime under the eap exemption, employees must meet three tests. State law usually mandates payment of minimum wage, with very few exceptions, explained hart. City clerk not member of elected officials personal staff, not exempt from flsa by noel p. Department of labor dol reissued an opinion letter addressing issues regarding the application of the fair labor standards act flsa to compensating nondistrict employees who coach interscholastic sports teams, in particular questions related to how coaches should be classified for purposes of the flsas minimum wage and overtime. Exemption for seasonal amusement or recreational establishments under the flsa. The exemption for employees of seasonal recreational establishments. Flsa employee exemption handbook is the most comprehensive and easytouse resource of its kind and its written especially for privatesector employers like you. For nonexempt employees, the fair labor standards act sets minimum wage rates and overtime requirements.
Compensation for administrators, teachers, and staff introduction each year aacs member schools ask numerous questions concerning compensation issues. Flsa seasonal business exemption section a 3 exemption for seasonal amusement or recreational establishments under the fair labor standards act flsa flsa white collar exemption. The fair labor standards act flsa is a federal law that sets minimum wage, overtime pay, recordkeeping, and youth employment rules for most private and public sector jobs. You will be signed out in seconds due to inactivity. The ndsu office of human resourcespayroll can advise departments on how to administer flsa correctly for their nonexempt staff. The department of labor has interpreted this phrase as referring to learned professionals who meet the following threepart test. Like other flsa exemptions, the exemption for seasonal recreational and amusement establishments can be complicated and difficult. There are a number of exemptions already detailed in the fair labor standards act flsa. Flsa overtime exemptions the learned professional exemption. The fair labor standards act flsa exempts from its minimum wage and overtime standards employees who qualify as administrative employees. City clerk not member of elected officials personal. Labor standards act flsa or the act2 protects workers who earn less than a fair wage, but. Some employees are exempt from the overtime pay provisions, some from both the minimum wage and overtime pay provisions and some from the child labor provisions of the fair labor standards act flsa.
July 21, 2014 asserting claims under the flsa and state wage and hour law. New law exempts minor league baseball players from certain. The department of labor has provided some additional guidance on what type. Section a3 exemption for seasonal amusement or recreational establishments under the fair labor standards act flsa revised july 2008 pdf the flsa requires that most employees in the united states be paid at least the federal minimum wage and overtime pay at time and onehalf the regular rate of pay after 40 hours.
Some seasonal employees are not entitled to overtime pay even if we would normally think of their work as being nonexempt. The flsas executive exemption from overtime pay coates. How does an employer determine whether a position is exempt under the fair labor standards act. Lobbying effort could pay off with labor law exemption. The application of the recreational employees exemption is complicated when an agency either. Most regular readers of this blog will be familiar with the most common exemptions to the overtime requirements of the fair labor standards act, those. These changes were to go into effect december 1, 2016. While the department of labor dol might consider your seasonal employees exempt from the minimum wage and overtime rules of the flsa, your state laws probably dont. This proposed rule change is only in reference to 29 cfr part 541 section a1, the white collar exemption from minimum wage and overtime pay.
Fair labor standards act human resources university of. Kpmg, the second circuit held that entrylevel accountants are professionals exempt from overtime under the flsa. The change has no effect on flsa section a3 exemption for seasonal amusement or recreational establishments. Does the fair labor standards act apply to seasonal employees at ski resorts, summer camps, and national parks. Flsa overview flsa status at the university of michigan information for nonexempt employees information for exempt employees information for supervisors and time approvers resources for timekeepers frequently asked questions about the flsa for more information flsa overview the fair labor standards act flsa determines whether a position is eligible for overtime. Home wage and hour exemptions city clerk not member of elected officials personal staff, not exempt from flsa. We learned the purpose of the flsa from our previous blog post. Fair labor standards act revisions impact schools, athletics programs by lee green on november 03, 2016 hst. As noted in the first edition of this series, which focused on the executive exemption see the executive exemption. Minimum wage opinion letter 020305 seasonal business. While rules governing compensation of public sector employees can differ from the private sector and be more expansive, the general overtime.
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