What do the terms “exempt” and “non-exempt” mean?
A. The terms exempt and non-exempt, when applied to employees, refer to their status under the federal Fair Labor Standards Act (FLSA). The FLSA regulates (among other things) the minimum wage and overtime pay requirements imposed on employers. Employees classified as ‘non-exempt’ must be paid at least the current minimum wage and must be compensated at time and one-half their wage for all hours worked in excess of 40 per workweek. Employees classified as ‘exempt’ must meet the criteria for a Professional, Executive, Administrative, Outside Salesperson, and/or Computer Programmer exemption. Once classified the employee is exempt from being paid overtime. The FLSA also addresses exceptions and other regulatory compliance issues. As of April 2004, Illinois employers are no longer allowed to ONLY use the new FLSA updated definitions of the ‘white collar excemptions.’ Illinois employers must also use the white collar exemption definitions that were in effect prior to April 2004, with the e
