Are Highly Compensated Employees Exempt From Overtime?
"Highly Compensated Employees" Under the Overtime Laws
Both Massachusetts law and the FLSA have a more relaxed standard for exemptions for "highly compensated employees."
"Highly compensated" means they earn at least $107,432 per year for the FLSA, and $100,000 per year under Massachusetts law.
These employees are considered exempt if they meet only one of the requirements for the bona fide executive, administrative or professional exemptions, and if their duties are non-manual office work.
For example, the administrative exemption generally requires that the employee perform non-manual work directly related to the management or general business operations of the employer, and exercises discretion and independent judgment on matters of significance in their job. A highly compensated employee could be exempt if only one of these two requirements was met.
Learn more here about overtime law in Massachusetts.
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