What type of employees are typically classified as "exempt" under U.S. labor laws?

Study for the SHRM US Employment Laws and Regulations Test. Use flashcards and multiple choice questions with hints and explanations. Get exam ready!

Employees typically classified as "exempt" under U.S. labor laws primarily include white-collar workers. This classification is governed by the Fair Labor Standards Act (FLSA), which distinguishes exempt employees as those who are not entitled to overtime pay for hours worked beyond the standard 40-hour workweek. To qualify as exempt, employees must meet specific criteria related to their job duties and earn above a particular salary threshold.

White-collar workers often fall into categories such as executive, administrative, professional, outside sales, and certain computer-related occupations. These roles usually involve responsibilities that require judgment, discretion, and the exercise of independent thinking, which are characteristics considered when determining exempt status.

In contrast, hourly workers, overtime-eligible workers, and part-time workers do not typically meet the criteria for exemption and are generally entitled to overtime pay, thus distinguishing them from the exempt classification. Knowing the exempt and non-exempt classifications is crucial for compliance with labor laws and for understanding employee rights regarding wage and hour regulations.

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