🚀 go-pugleaf

"Paul" <taxman@negia.net> wrote in message news:<1038364453.39163@alpha.negia.net>...
> "Bhoot Nath" <deja_bhoot2000@yahoo.com> wrote
> > From http://www.caltax.com/News/NewsDetail.cfm?DocID=340
> >
> >    "On January 1, 2003, the new hourly minimum rates that employers
> >     must pay to certain computer professionals if they are to be
> >     exempt from overtime will increase 2.2 percent, from $42.64 to $43.58.
> >     The rate is adjusted annually by the California Department of
> >     Industrial Relations (DIR) to reflect changes in the California
> >     Consumer Price Index."
> >
> > Almost all computer jobs in Silicon Valley are classified as "exempt"
> > (i.e., no overtime). Does this mean that the minimum yearly salary should
> > be $43.58/hour * 40 hours/week * 52 weeks/year = 90K? Many, many exempt
> > computer people are paid less than $90K.
> 
> 
> You can always flip burgers for $5.15 (or whatever minimum wage is these
> days).  Not only do you get over time, but a free lunch to boot.
> 
> As an aside, you can be considered 'exempt' from overtime if you are in a
> managerial position (over several other workers).  Generally the salary paid
> must be greater than minimum wage even after factoring in the anticipated
> overtime hours to be worked for that position.  So, the employer can't
> expect the worker to work 50 hour weeks and pay a salary of $12K per year
> because after factoring for the overtime hours, the worker would be making
> less than minimum wage.

This particular quirk is one of many California-only things.
California has, as most states do, I believe, a wage level above which
an employee can be considered exempt (if he or she also meets other
criteria). In most industries, this is twice the minimum wage; but
only in the computer software industry, it was $41 per hour as of 2001
and is indexed, so it will be $43.58 per hour next year.

The law is widely flouted and ignored, as not too many computer
programmers are going to jeopardize a high five-figure income by
getting argumentative over overtime claims, and many businesses are
either unaware of the law or choose to flout it.

-- 
Not a lawyer,

Chris Green