Exempt employees under California's executive exemption
Some employees, know as "exempt" employees, are not required to be paid minimum wage or overtime under the law. California has its own requirements for an employee to be classified as exempt, including an executive exemption.
Unfortunately, sometimes employees are misclassified, meaning they don’t meet requirements to be considered an executive employee under the law. Misclassified employees may be entitled to back-wages for overtime pay and other benefits.
What is California's executive exemption?
Under California labor law, an executive employee must spend the majority of their work time:
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Managing an "enterpise" or subdivision of the enterprise;
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Supervising the work of two or more other employees;
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Authorizing or giving recommendations about the employment, promotion, or termination of other employees;
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Exercising discretion and independent judgment; and
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Earn a salary of more than approximately $33,000 per year.
Employees who are commonly misclassified as exempt under California's executive exemption include retail store managers and assistant managers.
There are different exemption requirements for employees under federal and state employment laws. Learn more about the federal executive exemption.
Are you misclassified as an executive?
Think you are misclassifed as exempt? Free and confidential consultations are available with an employment attorney by calling (866) 981-4800 or by filling out the form to the right.
Why Girard Gibbs?
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