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Exempt versus Nonexempt Positions

Exempt versus Nonexempt Positions

The Fair Labor Standards Act (FLSA) is a federal law designed to protect workers and maintain fair working conditions. It includes minimum wage, overtime, child labor, recordkeeping, and equal pay provisions.

Not all employees are protected by the FLSA’s minimum wage and overtime provisions, however. Some employees are legally exempt from the regulations, and others are legally nonexempt. Nonexempt employees must be paid at least minimum wage and are eligible for overtime pay at the rate of 1.5 times the regular rate for all hours worked in excess of 40 hours per week. Exempt employees are not covered by the overtime provisions of the FLSA.

Because the intent of the FLSA is to protect employees, a job has to meet specific criteria outlined by the FLSA to be exempt from its minimum wage and overtime provisions. The Department of Labor (DOL) can audit any position considered by the University to be exempt. When the status of a job is sufficiently questionable, the FLSA recommends that the job be designated nonexempt. Human Resource Services staff are charged with determining exempt status  and make a final job classification decision based on FLSA regulations.

To determine exempt/non-exempt status for temporary positions, work with your unit's HR representative to identify existing UVM positions performing similar work. For additional guidance see the Job Standards page.

For More Information

DOL FairPay Fact Sheet summary of current regulations

DOL FairPay Presentation on current regulations (1.363 Mb PowerPoint file)


Last modified March 24 2014 10:59 AM