EMPLOYEE CLASSIFICATION
The purpose of this policy and procedure is to outline the different categories of employment at Mains’l. How employees are classified within the organization helps to create clarity around overtime and benefit eligibility. The information within this policy and procedure are in compliance with Federal Labor Standards Act, State Wage and Hour Standards, and Mains’l Policies and Procedures.
Mains’l has established the following categories of employee classification:
1. Fair Labor Standards Act Job Classification
2. Status
3. Eligibility for Insurance
Upon hire, every employee receives an offer letter in writing, specifying the employee’s, status, time, and insurance eligibility.
Definition and Explanations
Fair Labor Standards Act Job Classification: Refers to the standard by which an employee is paid and their eligibility for overtime. The three (3) categories of employee status at Mains’l. are:
- Salaried Exempt: paid a predetermined salary and are exempt from overtime pay based on Fair Labor Standards Act.
- Salaried Non-Exempt: paid a weekly salary that equates to at least minimum wage for all hours worked and is entitled to overtime pay in addition to the salary.
- Hourly Non-Exempt: paid an hourly wage for every hour worked and are eligible for overtime pay for hours worked based on State and Federal wage and hour laws. The Mains’l work week is the seven (7) day period from Sunday at 12:01 am to Saturday at Midnight. See Payroll Policy/Procedure for your state regarding information on how overtime is calculated.
*See Payroll Policy and Procedure for your state for more information.
Status
Refers to the number of hours an employee is scheduled to work. There are three (3) categories. Hours picked up by employees that are not regularly scheduled or guaranteed to them in the future do not count towards time classification
- Full Time: Employees whose regular, predictable schedule is 35 hours or more per work week. Full time status is lost if the employee does not maintain this schedule for two consecutive pay periods.
- Part Time with Benefits: Employees whose regular, predictable schedule is between 30-34 hours per work week. Part time with benefits status is lost if the employee does not maintain this schedule for two consecutive pay periods.
- Part Time: Employees whose regular, predictable schedule is less 30 hours per week (Employees whose status is “on call” are categorized as part time).
Eligibility for Insurance
Refers to an employee’s eligibility to participate in the group medical, dental, vision, and life policies offered by Mains’l.
- Eligible: Achieved under two (2) conditions:
- Employees hired for a regular schedule of 30 hours or more per work week. Upon completing the necessary paperwork, insurance is effective on the first of the month following sixty (60) days of employment. (See Insurance Benefits Policy/Procedure)
- A current employee whose regular, predictable schedule is increased to 30 hours or more per work week. Upon becoming eligible and choosing to participate in the group insurance program, the insurance is effective on the first of the month following sixty (60) days of eligibility. (See Insurance Benefits Policy/Procedure)
- Employees who work in our Participant Directed Services program are eligible for group medical only
2. Ineligible:
- Employees hired to work less than 30 hours per work week based on a regular, predictable schedule. If an eligible employee’s scheduled hours fall below 30 per work week for two (2) consecutive pay periods, the insurance is ended and the employee is given the opportunity to continue insurance benefits in accordance with COBRA. (See Insurance Benefits Policy/Procedure)
The above classifications do not guarantee employment for any specific length of time. Employment is subject to the employee’s and the company’s respective rights to end the employment relationship at any time. Accordingly, unless expressly agreed to otherwise in writing, signed by the CEO, or the Corporate Human Resources Director.
Offer of Employment Letter
Payroll Policy and Procedures *state specific
Insurance Benefits Policy/Procedure
Rev. 10-08-2019
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