In New York, workers are classified as exempt or non-exempt from overtime pay. Although most must be classified as non-exempt, federal and state laws include exemptions from minimum wage and overtime requirements for certain workers, including professionals, employees and well-intentioned managers.
To be considered a worker exempt from overtime pay, the following conditions must be met:
- You must obtain payment equivalent to the requirements of tax-exempt qualification requirements, that is, administrative staff, salary-based pay.
- Regardless of the length of work, the salary is charged for each period of it.
- You must meet the test of job responsibility for the position.
If these conditions are not met, the worker cannot be classified as tax-exempt and, if the employer chooses to do so, may be subject to an audit by the Department of Labor.
Workers who meet the service test of the Fair Labor Standards Act (FLSA) on administrative exemptions must also meet New York's salary requirements to be exempt.
If you have questions and believe you could have a case in which an injustice is being committed, you can contact Conexión Legal as soon as possible by calling 1800 201 1220 or writing to us via WhatsApp so you can receive the best free legal advice, and if applicable you can obtain the highest possible compensation from the hand of a labor attorney.
The salary threshold for tax-exempt workers in New York is adjusted annually according to the increase in the minimum wage. All rate changes will take effect on December 31 of each year.
For administrative exemptions, the minimum salary is 75 times the state minimum wage. The minimum salary depends on the state in which the employee works.
Minimum wage as of December 31, 2020 in New York City is $1,125 dollars per week, that is $58,500 dollars per year. In Long Island and Westchester counties, it is $1,050 dollars per week, $54,600 dollars per year. And in the rest of New York State, it is $937.50 dollars per week, a total of $48,750 dollars per year.
For professional exemptions, New York state law does not require a minimum salary, but the Federal Fair Labor Standards Act (FLSA) stipulates a minimum salary. In this case, most New York employers will have to comply with the FLSA professional exemption minimum salary requirements (in addition to complying with federal and state duty tests).
Currently, to qualify for the FLSA professional exemption, workers must earn a salary of at least $684.00 dollars per week, that is $35,568 dollars per year.
New York generally follows the federal base salary standard. To qualify for state and federal exemptions, workers must receive full salary for any week in which they perform any work. Salary reductions are not permitted due to variations in the quality or quantity of work.
To qualify for the professional exemption under New York state law, the worker's primary duty must be to work in a job that requires advanced knowledge in science or field of study acquired through extended programs of teaching and intellectual learning.
If you have questions, or need clarification, contact Conexión Legal as soon as possible so you can receive the best free advice, and in your case, we can ensure that you receive the highest possible compensation for your labor rights in New York City from the hand of a labor attorney.
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