Under California Labor Code section 515.5, certain software industry employees are exempt from overtime pay requirements, if they perform specific, exempt duties and receive a rate of pay not less than the statutorily-specified rate. Effective January 1, 2020, the computer software employee’s minimum hourly rate of pay, in order to…
Articles Posted in Overtime
Overtime and Professional Exemption for Computer/Software Engineers in California
In California, whether a computer/software professional is properly exempt from overtime compensation or whether he should be entitled to overtime is governed in large part by California Labor Code 515.5: According to California Labor Code section 515.5, employees in the computer software field are not entitled to an overtime rate…
Mortgage Loan Officers are Not Exempt from Overtime Pay
The Department of Labor has recently issued an opinion holding that mortgage loan officers performing typical job duties, regardless of the title affixed to them (i.e. loan originator, loan consultant, etc…) and who spend the majority of their time working in the employer’s place of business of the employee’s own…
California Employment Law: Why Employers Violate Overtime Laws
For a while I could not understand why so many employers violate basic overtime laws. After all, these laws are not rocket science, and plenty of resources are available for employer to understand and make sure that they comply with the rules of the Department of Labor Standards Enforcement when…
Overtime Law: Professional Exemption Clarified
Like with many other employment laws in general and wage laws specifically, there is no bright line rule that defines which employees are exempt from overtime, and which workers are entitled to overtime compensation. Below, I will try to make the job of both employers and employee who try to…
California Overtime Law: Insurance Adjusters and Administrative Exemption
To qualify for the administrative exemption from overtime compensation requirement an employee must be primarily engaged in a work of a type that is “directly related to management polices or general business operations.” This requirement of course must be interpreted as it is inherently vague. In one sense, every type…
California Overtime Law Update: Sullivan v. Oracle Corp.
In it recent decision, filed in November 6, 2008, the 9th Circuit clarified an important point of California Overtime Law. In that case, the issue was whether Oracle employees, who are not residents of California, are entitled to the protections and privileges of California overtime compensation laws, if they work…
Salesperson overtime exemption
One exemption from overtime compensation under Fair Labor Standards Act is known as the “Outside Salesperson Exemption.” This exemption permits an employer to not pay overtime as otherwise required under California law, but only if a particular worker (a) has the primary duty of (a) making “sales” or (b) obtaining…
Computer Professional Exemption
California Labor Code section 515.5 defines who qualifies for a computer/technology professional exemption from overtime compensation. There are three main requirements: (1) the employee must be doing work that is “intellectual or creative” and it should require “discretion and independent judgment,” which requires more than just deciding which procedures to…
FLSA Salary Exempt Employees – Pay Deductions for Partial Days Off
Under FLSA an employee will be considered to be paid on a “salary basis” and thus exempt for the purposes of overtime compensation, if the employee regularly receives each pay period on a weekly, or less frequent basis, a predetermined amount constituting all of part of the employee’s compensation, which…