Salary Exempt/Non Exempt

[LdyCjn]

What is the name of your state (only U.S. law)? Texas
A few months ago I started a contract design position with an Engineering firm in the Dallas/Ft Worth area. At the time I accepted the position, I was to be employed and paid by the contracting agency. We agreed on an hourly wage with overtime. I was told the position was to be for 6 months then if the company liked my work I would be hired on permanently. Well, a couple of weeks ago, the company decided to hire me on early. We agreed on a salary and benefits and I started making the transition to become a permanent employee. Thursday of that week, an offer letter was extended to me to sign. Before I signed it, I asked how I would be classified per salary with the company. I was told the position be a salary exempt as it is company policy that the company only hires salary exempt employees and that when they hired me, they were told I was a salary exempt employee. I let my boss know that I was a non-exempt employee as my educational background and experience did not fall in the Salary exempt category. I proceeded to tell her my experience and background with the position and my previous classifications with other companies I've worked for in the past. (I've dealt with this issue with two previous employers as far back as 2004 when the DOL came for a visit). I have a Bachelors degree in a design related field but it is not in engineering. All of my previous experience in this position has been on the job experience. The company wanted to classify me as a Project Manager. Project Management would be part of my duties which they are training me to do, but the rest requires the oversee of a licensed engineer.

After this issue the company has reascended the offer and reverted me back to the contracting company to be paid. They decided to keep me in the same position as there is no one else there to do the work I do and it would put them in a bind to let me go. I have discussed this issue with the contracting company as to what could possibly happen with my position. I've never experienced this issue before so I am at a loss as to how to proceed further if the company makes another decision to keep me on. My salary classification will not change.

 

[FlyingRon]

Understand, that a company can not just have a policy saying an employee is exempt. It has to be determined by the job situation. Of course, they are free to treat an exempt employee as non-exempt. You seem to partially undesrtand this, however you say this is an engineering position, and engineers (I was one) are generally covered under the professioanl exemption. In Texas, and federally, an advanced degree is NOT required for the professional exemption. Similarly, the requirement for a licensed person to oversee things isn't a prohibition either.

But they're not obliged to hire you over the issue. They're free (subject to the terms of their contract with the body shop) to release your services as well.

 

[LdyCjn]

Understand, that a company can not just have a policy saying an employee is exempt. It has to be determined by the job situation. Of course, they are free to treat an exempt employee as non-exempt. You seem to partially understand this, however you say this is an engineering position, and engineers (I was one) are generally covered under the professional exemption. In Texas, and federally, an advanced degree is NOT required for the professional exemption. Similarly, the requirement for a licensed person to oversee things isn't a prohibition either.

But they're not obliged to hire you over the issue. They're free (subject to the terms of their contract with the body shop) to release your services as well.

Yes I do understand what you are saying. This position is not an engineering position. It is a design support position. I do not hold an engineering degree so I will never be an EIT or an Engineer without returning to college for a post graduate degree and pursuing that path.

 

[PayrollHRGuy]

As FlyingRon said your education or lack of it doesn't really matter. What matters are your duties. You duties as project manager could well qualify as Exempt. https://www.dol.gov/whd/overtime/fs17b_executive.pdf

I see a couple you would likely fall under,

 

[eerelations]

A third expert in this area of employment law (i.e., me) agreeing with the previous two, it's not your educational background/qualifications that determined whether or not your job is exempt, it's what your duties in that job consist of.

 

[LdyCjn]

Thank you for the responses. From reading the link above, I do not fall under an executive exemption. My duties do not include hiring or firing anyone or determining anyone's salary. Nor do I supervise anyone. I am under the authority of a supervisor and a Senior Engineer that I work with on a regular basis. As a designer, I have authority to make some determinations on the projects I work on, but the Engineer I work under will always have the final say on all my work. My job duties that would include being a Project manager would involve communications with clients and the team working on the project until the project is complete. The duty of Project Manager is not on a regular basis, it is on an as need basis according to work load in the office.

 

[HRZ]

Personally I think you chose to raise a legal question where to do so was not necessarily in your best interest if the long term role would have been to your benefit .

 

[cbg]

Of the 100+ possible salary exempt categories, exactly one of them requires that you have the ability to hire and fire or to supervise.

 

[PayrollHRGuy]

And even that one also says, "...or the employee’s suggestions and recommendations as to the hiring, firing, advancement, promotion or any other change of status of other employees must be given particular weight.