Employees who work as computer systems analysts, computer programmers, software engineers or other similarly skilled workers may be exempt (i.e. not due) overtime wages under the Computer Employee Exemption. Also, this exemption requires the employee to be paid on a salary or fee basis of at least $455.00 per week or hourly at $27.63 per hour.

However, the Computer Employee Exemption DOES NOT apply to employees engaged in the manufacture or repair of computer hardware and related equipment.

Also, the Computer Employee exemption DOES NOT apply to employees whose work is highly dependent upon, or facilitated by, the use of computers and computer software programs. For example, engineers, drafters and other workers skilled in computer-aided design software who are not primarily engaged in computer systems analysis and programming – or other similarly skilled computer-related occupations – are also non-exempt computer professionals (although they may be exempt under some other exemption).

If you are a technology worker and believe your employer has not been paying you correctly, get in touch with Baron & Budd. Contact us online or call 866-238-4143 and we’ll be happy to answer any questions you may have.

Example 1:

An employee works in the IT department for a law firm. The employee is paid a weekly salary of $1,500.00. The employee’s job duties consist of uploading software used by lawyers and paralegals, establishing e-mail addresses for various employees, and adding hardware to law firm computers to increase their performance. That employee is not an exempt Computer Employee and is entitled to overtime wages.

Example 2:

An employee works for an architect and uses computer programs to draw landscaping plans for the architect’s customers. The employee is paid $1,000.00 per week. That employee is not an exempt Computer Employee even though his/her work involves exclusive work with a computer program that draws architecture plans.

Example 3:

An employee works for a cybersecurity company writing computer code for a program the company sells publicly to help customers avoid or prevent identity theft. The employee is paid $30.00 per hour. This employee is exempt from overtime pay under the Computer Employee Exemption.