Human Resource Blog

FLSA Exemptions in Nevada for Administrators and Executives

What is the difference between an executive exemption and an administrative exemption to the FLSA for Nevada?

The Fair Labor Standards Act is the federal Act that helps to ensure that employees will be paid at least Nevada minimum wage for their work. The Act also helps to ensure that workers will be paid overtime when they work for more than 40 hours per week. However, there are some exemptions to the overtime rule and the minimum wage rule. Administrators and Executives may be exempt from FLSA coverage if they meet specific employment-related qualifications.

The FLSA is a federal Act, so it applies in much the same way to states across the country. The major difference in the way that the Act applies has to do with the amount of minimum wage that is required for each state, as minimum wage varies by state. The minimum wage in Nevada is currently $5.30 per hour if the employee receives insurance and $6.33 if the employee does not receive insurance.

As for the major differences between the classifications of these two popular exemptions (executive and administrative), here are details that are associated with each job type:

In order for an employee to qualify for executive exemption, the employee needs to:

·         Be paid at least $455 per week

·         Have the primary job duty of managing the enterprise or a department within the enterprise. Employers should be able to prove that the employee is truly in a management position

·         Supervise at least two other employees within the company

·         Be in a position in which he or she can terminate other employees, make hiring decisions, promotions, and other changes in an employee’s employment status.

In order for an employee to qualify for administrative exemption, the employee needs to:

·         Earn at least $455 per week

·         Work primarily to ensure smooth office performance related to the management of the office or business operations

·         Have the ability to make his or her own decisions related to office management (such as purchasing office supplies). CB