• New York mandates a minimum weekly salary equivalent to 75 hours at state minimum wage for executive and administrative employees to be overtime-exempt.

Michigan

Duties test: Michigan requires that executive and administrative employees in a retail or service establishment cannot spend more than 40 percent of their hours engaged in duties not directly and closely related to duties that meet the exemption. In other words, these employees would have to spend at least 60 percent of their time engaged in exempt duties.

In addition, Michigan does not reference (and therefore may not recognize) the “highly compensated employee” category for those earning more than $107,432 per year.

Deductions: The state presumably follows federal regulations for allowable deductions since it refers to payment on a “salary basis,” but does not define this term.

Minnesota

Duties test:To qualify for the outside sales exemption, the employee may not conduct more than 20 percent of sales on the employer’s premises. Effectively, at least 80 percent of sales must be away from the place of business, which is more restrictive than the federal provision for “customarily and regularly” making sales away from the place of business.

In addition, Minnesota does not reference (and therefore may not recognize) the “highly compensated employee” category for those earning more than $107,432 per year.

Montana

Duties test: Montana has adopted federal regulations by reference, but state law does not recognize a minimum wage or overtime exemption for certain computer employees. Employees in the computer field could still meet the professional exemption, however.

Nevada

Minimum wage exemptions: Nevada Revised Statute (NRS) 608.250 had listed the following categories of workers as exempt from minimum wage provisions: casual babysitters, in-house domestics, outside commissioned salespeople, certain agricultural employees, and taxi and limo drivers.

However, the state Supreme Court ruled on June 26, 2014 (in the case of Thomas v. Nevada Yellow Cab) that the state constitution limits the minimum wage exemption to employees under age 18 who either work for a nonprofit organization or who are employed in the first 90 days as a trainee. The court struck down minimum wage exemptions listed in NRS 608.250, so outside sales employees may be entitled to minimum wage.

Various exemptions from overtime appear in the state statute at NRS 608.018, including the white-collar exemptions under federal law. However, this statute does not explicitly list outside sales employees. Rather, it exempted them from overtime on the basis that they were “not covered by the minimum wage provisions of NRS 608.250.”

Since that statute was struck down, there may be some question of whether an outside sales employee is now eligible for overtime. Further guidance may be issued, or the Nevada law could be revised, or the statutory reference to the struck-down provision may be deemed to retain the overtime exemption even though the minimum wage exemption is no longer valid.

New Hampshire

Deductions: The state regulations are similar to federal regulations, except that the provision for unpaid disciplinary suspensions of less than one week appears to require notice to the employee during the pay period before suspension. The relevant state provision (Title XXIII, Chapter 275, Section 275:43-b) says the full weekly salary need not be paid:

When an employee receives a disciplinary suspension without pay in accordance with the Fair Labor Standards Act (FLSA), as amended, for any portion of a pay period, and written notification is given to the employee, at least one pay period in advance, in accordance with a written progressive disciplinary policy, plan, or practice and the suspension is in full-day increments.

New York

Minimum salary: State law requires a minimum weekly salary equivalent to 75 hours at the state minimum wage for executive and administrative employees. Minimum wage rates differ depending on the location of an employer’s operations. The minimum required weekly salary rates are as follows:

Even though the minimum salary is based on a specified number of hours, the salary generally cannot be prorated for part-time exempt employees. The purpose of listing a number of hours is to ensure that the salary requirement will increase along with the state minimum wage.

Duties test: New York law does not reference an exemption for computer employees (although workers in that field might meet the professional tests), nor does the state reference the “highly compensated employee” category for those earning more than $107,432 per year (and therefore may not recognize it).

Oregon

Duties test: For the outside sales exemption, Oregon specifies that no more than 30 percent of hours worked each week may consist of duties that do not qualify for the exemption. Effectively, the employee must spend at least 70 percent of working time in outside sales or related activities.

In addition, Oregon law does not reference an exemption for computer employees, but they can meet the professional exemption as long as they satisfy those criteria (such as holding an advanced educational degree).

Finally, the state does not reference the “highly compensated employee” category for those earning more than $107,432 per year (and therefore may not recognize it).