University Supervisors and Managers
Effective January 1, 2020
Certain University employees currently earning an exempt salary less than $684/week ($35,568/year) will be impacted by this new rule and may become newly eligible for overtime pay. To ensure that the University of Utah is in compliance, a new employee classification has been created, Exempt Hourly.
Exempt Hourly employees are employees in job codes exempt from FLSA (identified on the job code table) that earn less than $684/week ($35,568/year) regardless of FTE. These employees will be paid on an hourly basis but will continue to accrue vacation as Exempt Staff.
Frequently Asked Questions:
How do I know if my employee's job is Exempt or Non-Exempt?
UHRM determines the exemption status of each position on campus. All job codes are determined to be Exempt or Non-Exempt based on the responsibilities of their position. The job code table will indicate whether a position is Exempt or Non-Exempt.
How do I know if I will be Exempt Salaried or Exempt Hourly?
If you are in a job code exempt from FLSA and earn at least $684/week ($35,568/year), you will be Exempt Salaried and are not entitled to overtime under FLSA. Otherwise, your position will be Exempt Hourly.
How will I know if I have employees who are impacted?
All departments with employees impacted by the new threshold will be contacted by UHRM or applicable Senior Leadership. If you have not been contacted by 12/16/2019, please contact your UHRM Associate Director or Compensation immediately.
Will my Exempt Hourly employees be required to clock hours?
Yes, they will log into Kronos just like Non-Exempt employees and will be required to clock hours. Exempt Hourly employees will be eligible for overtime which is paid as 1.5 times the hourly rate for all hours worked over 40 hours per workweek.
What if my employee has two Exempt job records?
Employees who work multiple positions exempt from FLSA on campus will remain salaried as long as the total compensation of all exempt records is greater than or equal to $684/week ($35,568/year), regardless of FTE.
Are there exceptions to the Exempt Salary Threshold?
Yes, the new salary threshold does not apply to some position types on campus, including:
- Teachers
- Educational Positions
- Traineeships
- Combined, Appointed positions (Dean, Chair, etc)
- Non-University Employees
- Unpaid Employees
These positions will remain salaried even if they are below $684/week ($35,568/year).
What will happen when I try to hire an employee in a job code exempt from FLSA but below a comprate of $35,568?
When completing a hire ePAF or a job edit ePAF, the comprate will convert to hourly if:
- The position is an exempt job code and the comprate entered is less than $35,568, and
- The job code is not one of the exceptions to the Exempt Salary Threshold as indicated above.
How do I determine if my employee will meet the threshold or is below a yearly salary of $35,568?
- If your employee is paid hourly, the yearly salary is calculated as Comprate*FTE*2080
- If your employee is paid salaried, the yearly salary is calculated as the Comprate
If you have any questions about the University and/or departmental solutions to this new regulation, you can find your UHRM Associate Director here.