Page 238 - Washington Nonprofit Handbook 2018 Edition

(iii) Computer Employee Exemption

Another addition to the “big three” white collar exemptions is the exemption

for highly paid computer system analysts and programmers.

To qualify for the computer employee exemption, the following tests must
be met:

• The employee must be compensated either on (a) a salary or fee basis
(as defined in the regulations) at a rate not less than $455 per week or
(b) an hourly basis at a rate not less than $27.63 an hour;

• The employee must be employed as a computer systems analyst,
computer programmer, software engineer or other similarly skilled
worker in the computer field performing the duties described below;

• The employee’s primary duties must consist of:

a) The application of systems analysis techniques and procedures,
including consulting with users, to determine hardware,

software or system functional specifications;

b) The design, development, documentation, analysis, creation,
testing or modification of computer systems or programs,
including prototypes, based on and related to user or system
design specifications;

c) The design, documentation, testing, creation or modification of
computer programs related to machine operating systems; or

d) A combination of the aforementioned duties, the performance

of which requires the same level of skills.

(iv) Working Employees “Off the Clock”

The definition of “employ” under the FLSA includes “to suffer or permit to

work.” Consequently, if an employer either requires or allows a nonexempt
employee to work hours without recording them on his or her time record and
receiving pay for them, there will be a pay violation. If the unrecorded hours push
an employee’s total hours over 40 for the workweek, there will also be an overtime
violation. Nonprofit employers should pay special attention to rules governing any
“volunteer” hours by their employees (see supra Chapter 62).

WASHINGTON NONPROFIT HANDBOOK -227- 2018