Misclassification of an Administrative Employee under the Federal Labor Standards Act 

Picture of an Administrative Employee

Who is an administrative employee? 

An administrative employee’s primary duty is office or non-manual work. Their job relates directly to the management or general business operations of the employer. Examples of administrative employees include human resources professionals and non-executive managers. 

What must be met in order to be correctly qualified as an administrative employee?

In order to meet the administrative employee qualifications, the employee must be salaried at a pay rate of at least $455 per week. The primary duties of the employee are related to management or business operations, and the employee’s primary duties involve exercising discretion and independent judgment over important matters for the business. In Fowler v. OSP Prevention Grp. Inc., the court determined that production employees who perform the core function of the business are not transformed into administrative employees just because their work is essentially to what the company offers. 

What does it mean to be an exempt employee?

An exempt employee does not receive employee benefits such as overtime pay and they are paid a salary rather than hourly pay. Exempt employees are not protected under FLSA. They are typically employees with more knowledge and experience.

What happens when someone is misclassified as an administrative employee?

When someone is misclassified as an exempt administrative employee, then they are not eligible for overtime and other employee benefits. The Federal Labor Standards Act protects employees from misclassification, and allows them to sue their employers for lost earnings. Additionally, this allows employees to change their classification. If a company has a broad policy of misclassifying employees, then this could lead to a costly class action for the employer. 

EPGD Business Law is located in beautiful Coral Gables. Call us at (786) 837-6787, or contact us through the website to schedule a consultation.

*Disclaimer: this blog post is not intended to be legal advice. We highly recommend speaking to an attorney if you have any legal concerns. Contacting us through our website does not establish an attorney-client relationship.*

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Eric Gros-Dubois

Founding partner Eric Gros-Dubois established EPGD Business Law in 2013. With over a decade of experience expanding the firm and leading it to its current success, Eric now primarily manages the corporate division of EPGD. Given Eric’s educational background, holding both a JD and MBA, combined with his own unique experience of starting a business from scratch and growing it to a multi-million dollar firm, he brings a specialized and invaluable perspective to those seeking legal assistance for themselves and their businesses. Having now instilled his same values in our team of skilled corporate associates, Eric leads a firm that is always ready, willing, and equipped to handle any and every legal matter that a business owner may have.


*The following comments are not intended to be treated as legal advice. The answer to your question is limited to the basic facts presented. Additional details may heavily alter our assessment and change the answer provided. For a more thorough review of your question please contact our office for a consultation.

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