Club Insider

What Do the New FLSA Exempt Pay Laws Mean for Fitness Business Owners?

A Month-By-Month Guide to Help Clubs Prepare for Coming Changes - Part I

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Melissa KnowlesMelissa Knowles

Over two months have passed since the Department of Labor announced the changes to the salary level for employees classified as exempt, and we're still getting a ton of questions on what the changes mean for fitness business owners. Read about the change at

Over the next several months, we'll give you a few tasks on which to focus each month so you'll be prepared for the December 1, 2016 launch.

August: Analyze Your Current Workforce

  • Review all employees and positions currently classified as exempt or those that you're paying a salary and not requiring time records to be kept.
  • Review their job descriptions and duties to determine if these employees are currently properly classified (outside of the amount they're paid). If you can check off the majority of the following bullet points under the supervisory exemption (or make a case for an administrative exemption), your employee is properly classified as exempt. If not, the position should be reclassified as non-exempt and be required to keep track of time.
  • Create a list of the positions that will need to be reclassified based on duties and those that will remain exempt.

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