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Fair Labor Standards Act (“FLSA”) - page 6 / 8

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Summary

The following is a summary of the exemptions that have been discussed and typical employees of an automobile dealership that may qualify for the exemption:

Salesmen, Partsmen and Mechanics Exemption

This is an exemption from overtime requirements.

Employees may include commissioned vehicle salespersons, service writers or service advisors, service mechanics, parts counterperson including wholesale parts salesperson, body shop mechanics or metal men.

Commission Employees of Retail or Service Establishments

This is an exemption from overtime requirements.

Employees may include finance and insurance salespersons or managers, body shop painters, vehicle detailers.

White Collar Exemptions

This is an exemption from minimum wage and overtime requirements.

Employees included in the executive exemption may include dealer, general manager, sales manager, service director, service manager, parts manager, body shop manager, finance and insurance manager, leasing manager, CFO.

Employees included in the administrative exemption may include office manager or controller, personnel manager or HR, finance and insurance manager or salespersons, body shop estimators.

Employees included in the professional exemption may include accountants and lawyers.

Dealerships usually do not employ anyone that would qualify for the computer professional exemption.

Employees included in the outside salesperson may include outside parts or service salesperson, outside fleet salesperson.

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