Global organisations do better when employees do their jobs well. That sounds very obvious. Companies need their staff to operate. Companies need employees more than employees need that specific company. A successful business is a business where its owners can leverage the employees to do the job for them. Managers need staff under them to do the work, whilst managers, well, manage! Business owners need managers to manage, so they can guide the company to the big picture goals that they have in mind. 

Business tycoons like Bill Gates, Mark Zuckerberg, Simon Cowell, or even J.K. Rowling needs people that will help them to achieve their objectives for their business. Yes, people find jobs and work eight straight hours or more a week to earn money but it does not necessarily mean that employees are in debt to their employers. It is a give and take relationship, so if you are working for someone, it is also vital that you know your rights so your hard work is well compensated. 

Before anything else, you should be familiar about your position as an employee. There are two classifications of that which are Exempt and Nonexempt employees, now what is the difference between these two? Aren’t all individuals working for a certain company, employees?  

The easiest way to understand exempt and non-exempt is that it determines whether you must be entitled to an overtime pay or not. It is your employer’s duty and responsibility to identify such a position he/she is looking for based on the demands and duties of the job needed to be filled in. The Fair Labor Standards Act (FLSA) provided an outline of what employees should expect in terms of pay and working hours where it clearly states whether the employers are required to classify a role as exempt or non-exempt.

Factors that may affect if you are to be an exempt or non-exempt employee are:

  • How much money you earn
  • The type of work you do
  • The responsibilities and duties of the job role
  • Number of subordinates