As a general rule, religious organizations and churches are exempt from the FLSA. … When a church or religious organization operates a school, nursing home or rental hall, however, there may be sufficient nexus to require compliance with the FLSA’s minimum wage and overtime rules.
Are churches exempt from the Fair Labor Standards Act?
The FLSA only Covers Employees
Indeed, while the FLSA and its implementing regulations create numerous exemptions to the minimum wage and overtime pay obligations, none of those exemptions is for churches.
Does FLSA apply to nonprofits?
Non-profit charitable organizations are not covered enterprises under the FLSA unless they engage in ordinary commercial activities that result in sales made or business done, such as operating a gift shop or providing veterinary services for a fee.
Do churches have to follow minimum wage?
A Religious and charitable institutions have long been covered by California’s minimum-wage and overtime requirements. … An exempt employee must now be paid a monthly salary that is at least twice the state minimum wage for full-time employment.
Are religious organizations exempt from labor laws?
California’s Fair Employment and Housing Act also contains an exemption for religious organizations. It provides that an “employer” under the FEHA “does not include a religious association or corporation not organized for private profit.” Cal. Gov.
Who is exempt from the Fair Labor Standards Act?
Highly compensated employees performing office or non-manual work and paid total annual compensation of $107,432 or more (which must include at least $684* per week paid on a salary or fee basis) are exempt from the FLSA if they customarily and regularly perform at least one of the duties of an exempt executive, …
Who is subject to FLSA?
Generally, the FLSA applies to employees of enterprises that have an annual gross volume of sales made or business done totaling $500,000 or more, and to employees individually covered by the law because they are engaged in interstate commerce or in the production of goods for commerce.
Do nonprofits have to follow labor laws?
The Fair Labor Standards Act is the primary federal labor law, and nonprofit organizations must obey the dictates of the FLSA in their relationships with their employees. … Nonprofits are only exempt from labor laws when they use volunteer labor.
Can a non-profit not pay overtime?
While many non-profit organizations may not be covered enterprises under the FLSA, most non-profits are likely to have employees who are covered individually and are therefore entitled to overtime. This is because the rules say that any employee engaged in interstate commerce is covered by FLSA.
Can an executive director of a nonprofit be an independent contractor?
Directors and officers who are paid by a nonprofit must be classified for payroll and other tax purposes. They can either be employees or independent contractors. The nonprofit must withhold and pay payroll taxes to the IRS for employees. There is no such requirement for independent contractors.
Are churches equal opportunity employers?
Religious corporations, associations, educational institutions, or societies are exempt from the federal laws that EEOC enforces when it comes to the employment of individuals based on their particular religion.
Are churches under Title VII?
Title VII of the Civil Rights Act of 1964
Title VII applies only to churches with 15 or more employees. In addition, religious organizations are exempt from Section 702 of Title VII’s ban on religious discrimination.
Is a pastor an exempt employee?
What about ministers and religious order workers? The FLSA does not explicitly exempt ministers from the overtime pay and minimum wage protections but note that “professional employees” are exempt from the FLSA which could include ministers so long as they meet the minimum salary test.
What qualifies as a religious exemption?
Religious exemption indicates that there is a provision in the statute that allows parents to exempt their children from vaccination if it contradicts their sincere religious beliefs. Philosophical exemption indicates that the statutory language does not restrict the exemption to purely religious or spiritual beliefs.
Are religious organizations exempt from discrimination?
Religious organizations may not otherwise discriminate in employment on the basis of race, color, national origin, sex, age or disability.
What does it mean to be FLSA exempt?
The term “exempt employee” refers to a category of employees set out in the Fair Labor Standards Act (FLSA). Exempt employees do not receive overtime pay, nor do they qualify for the minimum wage. When an employee is exempt, it primarily means that they are exempt from receiving overtime pay.