Talent Sourcing

What is a Salary Non-Exempt Employee?

Published on June 6th, 2023

In the world of employment, there are two main types of workers: exempt and non-exempt employees. Exempt employees are those that are not entitled to overtime pay, while non-exempt employees are entitled to receive overtime compensation for any time worked beyond their regular hours. However, there is also a third category of employees known as salary non-exempt employees who falls under the non-exempt category. In this blog, we will delve into what a salary non-exempt employee is, their legal rights, and how they differ from other types of employees.

Definition of Salary Non-Exempt Employees

A salary non-exempt employee is an individual who is paid a fixed regular wage, regardless of the number of hours worked, but also qualifies for overtime pay. These employees are often professional, administrative, or executive workers and are usually salaried employees. They may be exempt from some of the provisions of the Fair Labor Standards Act (FLSA), which governs overtime pay and minimum wage, but they are still eligible for overtime if they work over 40 hours per week.

Salary non-exempt employees are entitled to receive overtime compensation of one and a half times their regular pay rate for any hours worked beyond a standard 40-hour work-week. Employers are legally required to keep accurate records of all hours worked by non-exempt employees, including salary non-exempt employees, as they are legally entitled to overtime pay if they work more than 40 hours a week. Employers must also provide not less than the minimum wage mandated by state or federal wage laws.

Differences Between Salary Non-Exempt and Exempt Employees

The main difference between salary non-exempt employees and exempt employees is the overtime pay eligibility. Exempt employees are not entitled to overtime compensation, while salary non-exempt employees are entitled to it. Other differences include salary non-exempt employees being required by law to keep timecards to measure their work time, whereas exempt and some other non-exempt employees are not required to do so. Furthermore, salary non-exempt employees do not have a minimum salary requirement to qualify under FLSA, unlike exempt employees.

Benefits of Hiring Salary Non-Exempt Employees

Hiring a salary non-exempt employee has several benefits for both employers and employees. These employees are compensated for their hard work and commitment to their jobs through overtime pay while also enjoying the benefits of being salaried employees. Employers can save money on costs such as payroll taxes and employee benefits by hiring salary non-exempt employees as they do not have to offer them the same benefits as exempt employees. This arrangement can also be advantageous for employees who prefer the security of a salaried position but also appreciate the ability to earn extra money for additional work.

How to Find Non-exempt Candidates with EasySource?

EasySource revolutionizes the way recruiters search for non-exempt employees by introducing the world's first fully automated talent-sourcing tool. This innovative platform streamlines the process of building a robust talent pipeline with just a few clicks. Utilizing AI-based filters such as location, skills, education, experience, and US work authorization, EasySource simplifies the task of finding relevant candidates.

Moreover, EasySource goes beyond traditional sourcing tools by incorporating ChatGPT and Generative AI functionalities. Recruiters can now effortlessly send hyper-personalized messages to candidates across various platforms, all with the power of automation. This feature enhances a recruiter's LinkedIn search capabilities and enables them to efficiently identify and engage with potential non-exempt candidates, eliminating the need to sift through countless resumes to discover exceptional talent.


In conclusion, understanding what a salary non-exempt employee is and their legal rights is essential for recruiters and hiring managers. These employees occupy a unique position in the employment landscape that differs from other types of employees, such as exempt employees. By hiring salary non-exempt employees, both employers and employees can achieve a mutually beneficial arrangement that can provide financial security for employees while also benefiting the employers' bottom line. Therefore, as a recruiter or hiring manager, it is vital to understand how salary non-exempt employees fit into your organization's employment picture.



Radhika Sarraf

Radhika Sarraf is a content specialist and a woman of many passions who currently works at HireQuotient, a leading recruitment SaaS company. She is a versatile writer with experience in creating compelling articles, blogs, social media posts, and marketing collaterals.

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