Business executives and other positions enjoy exempt status in California which entitles them to a base salary regardless of the hours worked
California labor laws for salaried employees differ only slightly from those of workers that are paid hourly. Executives and administrators that are salaried may enjoy increased privileges in the workplace but are also watched more closely by superiors because of those privileges relating to hours worked and non-fluctuating pay scale.
Exempt Employees
According to the website for the California Department of Industrial Relations, certain occupations and pay scales within the state are exempt from overtime pay. Computer software employees and licensed physicians are among the positions that have salary exempt status and enjoy special labor benefits. Exempt employees must be paid a fixed weekly salary regardless of how many hours are worked during the week. An exempt employee's salary cannot be reduced due to quantity or quality of work, though these workers can still be dismissed for poor performance. As of 2010, the minimum salary requirements in California for exempt status is $79,050.
Overtime for Salaried Employees
Non-exempt workers in California that are paid a salary must be paid overtime. Salaried workers calculate overtime pay by dividing the annual base salary by 52 in order to get the weekly pay rate. This pay rate is then divided by 40 to determine the hourly base pay rate which is then increased by one-half for the overtime period. For example, if a salaried worker's pay rate was calculated to be $20 per hour, his overtime pay rate would then be $30 an hour. Overtime hours in California begin after 40 hours worked in a standard seven day work week.
Meal Breaks
Salaried employees are still entitled to the same work breaks for meals as other employees in California. An employer must grant a worker at least a 30-minute uninterrupted meal break for every five hours scheduled to work. An employer may not schedule an employee salaried or otherwise for a period of time longer than five hours without a break factored into the work day. An employer may not schedule an employee for a work day in excess of 10 hours without scheduling a second 30-minute meal break. Exceptions to this rule apply to employees governed by a collective bargaining agreement that establishes break times for workers.
Tags: california, labor, laws, salaried, employees, hours worked, exempt status, base salary, employer schedule, employer schedule employee, five hours, hours without, meal break, must paid
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