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FLSA Overtime Security Advisor

Administrative Employees

Discretion and independent judgment with respect to matters of significance

The phrase "discretion and independent judgment" must be applied in the light of all the facts involved in the particular employment situation in which the question arises. Factors to consider when determining whether an employee exercises discretion and independent judgment regarding matters of significance when performing his or her primary duty of work directly related to the management or general business operations of the employer or the employer's customers include, but are not limited to, whether the employee:

  • Has authority to formulate, affect, interpret, or implement management policies or operating practices;
  • Carries out major assignments in conducting the operations of the business;
  • Performs work that affects business operations to a substantial degree, even if the employee's assignments are related to operation of a particular segment of the business;
  • Has authority to commit the employer in matters that have significant financial impact;
  • Has authority to waive or deviate from established policies and procedures without prior approval;
  • Has authority to negotiate and bind the company on significant matters;
  • Provides consultation or expert advice to management;
  • Is involved in planning long- or short-term business objectives;
  • Investigates and resolves matters of significance on behalf of management; and
  • Represents the company in handling complaints, arbitrating disputes or resolving grievances.

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