What does exempt/nonexempt mean?
These are terms contained in the Fair Labor Standards Act (FLSA). FLSA provides for minimum standards for both wages and overtime entitlement, and delineates administrative procedures by which covered worktime must be compensated. The term non-exempt means that the employee/position is covered by the Act. The term exempt means that the employee/position is not covered by the Act. The FLSA determination is made in Human Resources based on the type of position (e.g. executive, administrative, professional, technical, and/or clerical) and the nature of the duties and responsibilities of the position. The determination is indicated in block #7 of the OF-8 (position description cover sheet) and in block #35 on the SF-50 of a current employee . It is important for supervisors to know whether their employees are exempt or non-exempt because of the impact their exempt status has on the entitlement to pay or compensatory time for overtime and travel time. See B-3 also. B.