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What Is the Difference Between Exempt and Non-Exempt Employees?
Employers are required to comply with the Fair Labor Standards Act (FLSA), a set of federal employment laws on issues like overtime pay and minimum wage. Companies in Illinois must also comply with state laws such as the Illinois Minimum Wage Law and the Wage Payment and Collection Act. However, not all employees are covered by these rules. Some salaried workers are exempt from such requirements, while others are not exempt and are entitled to overtime pay and minimum wages.
This article will discuss the differences between exempt and non-exempt salaried employees. Make sure to consult an Illinois employment lawyer for more details or for help defending your business against claims of employment law violations.
Exempt Employees Have Minimum Salary Thresholds
Exempt employees are paid set salaries regardless of the amount of hours they work. In most cases, employees who make at least $844 per week, which comes out to $43,88 a year, are considered exempt. In January 2025, this figure will change to $1,128 a week or $58,656 annually. Those who work in the film industry must collect a minimum of $1,043 per week to qualify as exempt workers.
Collecting Employee Biometric Data Without Consent
Biometric scanners have proven to be efficient tools in the workplace. More businesses are starting to collect biometric data from employees for purposes such as payroll, entry, and security. These data sometimes include fingerprints, palm prints, iris or retina scans, and facial recognition. Fingerprint scanners, for example, have replaced time cards in many companies. This not only offers more efficiency but also reduces wage theft. Biometric information is often stored by the company for employee verification.
The Illinois Biometric Information Privacy Act (BIPA) requires employers to first obtain an employee’s consent before collecting his or her biometric data. Failing to do so can invite class action lawsuits against a company. This article will discuss what happens if permission is not obtained and how to contact an Illinois employment law attorney to protect your business.
3 Challenges When Hiring Remote Workers
Working from home used to be considered a luxury, but it has started to become mainstream since the COVID-19 pandemic. According to some estimates, approximately 32.6 million Americans will be working remotely by next year, totaling about 22 percent of the national workforce. Sixteen percent of companies and 20 percent of workers already operate fully remotely.
There are benefits to allowing employees to work remotely, not the least of which is access to a larger worker pool. However, there are also significant challenges that a business should consider when allowing employees to work from home, such as how to track overtime. This article will discuss three of those challenges, as well as how to contact the right Illinois employment lawyer to guide you through them.
Overtime
Both federal and Illinois state laws require businesses to pay their employees overtime pay. On the federal level, the Fair Labor Standards Act says that employers must pay workers at least 1.5 times their regular pay for every hour worked overtime, which is defined as more than 40 hours per week. Illinois state law has the same requirement.
Illinois Employer’s Burden of Proof for Workplace Bullying
Bullying is not something that only happens to children. Bullying behavior occurs in the adult workplace at an alarming rate, with an estimated 48.6 million Americans admitting to being bullied at work. While we might think virtual workers are immune from bullying, a staggering 43.2 percent of virtual workers say they have been bullied in virtual meetings and through emails. Women bully other women at twice the rate that women bully men.
Although the employee claiming bullying in the workplace must prove that the bullying behavior is pervasive and creates a hostile workplace, Illinois employers also have a burden of proof to show they immediately handled the situation once it was reported. In Illinois, if an employee can show they have legal cause to sue their employer for matters involving discrimination, the employer will need to prove they are not violating the FLSA. Bullying falls under a hostile work environment or harassment in the workplace and is a form of discrimination.
Accommodating Employees with Disabilities
Illinois law offers certain protections to employees with disabilities. You likely know that you are required to provide “reasonable accommodations” to employees whose disabilities allow them to perform their basic job duties as long as they have these accommodations. Determining what kinds of accommodations are reasonable can be complicated and is best left to an experienced Schaumburg, IL employment law attorney. There are numerous factors at play, including the size of your company, whether the accommodation is temporary or permanent, and the job performance of the employee in question. Your attorney can also help you begin gathering proof that you have made reasonable efforts to accommodate your employee in case you are accused of discrimination.
Minimum Wage and Tipped Employees
Many workers traditionally make most of their income in tips. Servers in restaurants, concierge staff in hotels, valet drivers, and bartenders usually receive tips that far exceed the wages they receive from their employers. Although these workers often see tips as their primary source of income, businesses that employ tipped staff members still have an obligation to pay these workers minimum wage. However, the minimum wage employers must pay tipped staff is different from the minimum wage employers must pay to staff members who do not consistently receive tips. The Fair Labor Standards Act controls how much employers must pay tipped workers per hour. A Schaumburg, IL minimum wage violations attorney can help you ensure that you are meeting your legal obligation to compensate tipped workers.
What is the Minimum Wage for Tipped Employees?
In Illinois, under most circumstances, an employer must pay employees who customarily receive tips at least $8.40 per hour. This equals 60% of the $14.00 per hour minimum wage Illinois has set for adult employees in 2024.
Tips to Avoid Employee Lawsuits as a Small Business Owner
Owning a small business can make for a pleasant work environment. You likely know all of your employees fairly well and are able to develop a stronger bond with your team. Small businesses are often able to keep a more casual workplace than larger corporations. You may not have the need for the kind of detailed policies governing the minutiae of your work practices that a company employing hundreds of people might. However, it is important to maintain certain professional standards in your office or workplace to protect your company against potential lawsuits. Small business owners should consult with an experienced Chicago, IL employment law attorney frequently to minimize the risk of litigation.
Ways to Reduce the Chances of a Lawsuit by an Employee
Tips for minimizing the possibility of being sued for a labor or employment violation by an employee include:
- Make and enforce policies - While you might not feel that you need official policies like a set number of paid sick days if you only have a few workers and have not had a situation where anyone has been out longer than a few days, you should have them. Having uniform policies that apply to all employees equally means that no employee can claim disfavorable treatment due to their membership in a protected class.
Accusations of Wrongful Termination in Illinois
Letting an employee go is never comfortable, even if the employee has committed blatant infractions that require you to terminate him or her. However, that situation can quickly become a legal nightmare if the employee accuses you of wrongful termination. If this has happened to you, contacting an Illinois employment law attorney is important. In the meantime, the following are some steps you can consider.
Respond Promptly and Professionally
You should respond promptly and professionally upon receiving notice of the wrongful termination accusation. Ignoring or dismissing the accusation could exacerbate the situation and damage the company's reputation. Instead, acknowledge the accusation, express willingness to address the concerns, and outline the steps being taken to investigate the matter.
New Illinois Paid Leave Law Now in Effect
A new law that went into effect in Illinois on January 1, 2024, allows workers to earn paid leave. It is imperative for all employers to understand how the new law works, as well as ensure that all of their workers are aware of it. Failure to comply could result in legal issues. The following is a brief overview the Paid Leave for All Workers Act. Contact an Illinois employment lawyer for more detailed information or if you are dealing with any potential legal problems with any of your employees.
The Paid Leave for All Workers Act
The Paid Leave for All Workers Act (PLAWA) was passed last March but just went into effect last month. Under the new law, workers can earn up to 40 hours (five days) of paid leave each year (within a 12-month period). For every 40 hours an employee works, they earn one hour of paid leave.
DOL Issues Final Rule on Employee vs. Independent Contractor Status
The issue of whether or not a worker is an actual employee or an independent contractor has long been an issue for many companies. The distinction between an employee and an independent contractor holds significant implications for both employers and workers. It is a crucial determination that affects tax obligations, legal responsibilities, and the overall dynamics of the working relationship. The U.S. Labor Department (DOL) has a stringent stance on this topic, stressing to companies that when an employee is misclassified as an independent contractor, it deprives that individual of basic rights and protections.
Earlier this month the DOL released its final rule that revises a provision in the Fair Labor Standards Act that specifies what classifies a worker as an employee or an independent contractor. If your company is having problems over this issue, it is important to contact an Illinois employment lawyer.
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