SUB CATEGORIES OF Talent

Employees are classified as either exempt or non-exempt. Exempt employees are not required to be paid overtime; whereas, non-exempt employees are required to be paid overtime. The default rule is an employee is non-exempt unless the tech company finds an exemption. The exemptions are executive, administrative or professional employees.

Executive Exemption. Any employee who:

  • manages the enterprise in which he or she is employed or manages a department or subdivision thereof;
  • directs the work of two or more employees;
  • hires or fires other employees or whose recommendations lead to hiring or firings of employees or advancement of employees;
  • exercises discretion and independent judgment;
  • engages in exempt work; and
  • earns a monthly salary equivalent at least two times the state’s minimum wage for full-time employment of 40 hours per week.

Administrative Exemption. Any employee who:

  • performs office or non-manual work directly related to management policies or general business operations OR performs functions in the administration of a school system or educational establishment or institution, or of a department or subdivision thereof;
  • exercises discretion and independent judgment;
  • assists a proprietor in a bona fide executive or administrative capacity
  • performs under only general supervision work along specialized or technical lines requiring special training experience, or knowledge;
  • executes under only general supervision special assignments and tasks;
  • engaged in exempt work; and
  • earns a monthly salary not less than two times the state minimum wage for full-time employment of 40 hours per week.

Professional Exemption. Any employee who:

  • is licensed or certified by the State of California and is primarily engaged in the practice of one of the following recognized professions: law, medicine, dentistry, optometry, architecture, engineering, teaching, or accounting;
  • is primarily engaged in an occupation commonly recognized as a learned or artistic profession;
  • earns a monthly salary equivalent to no less than two times the state minimum wage for full-time employment of 40 hours per week.