Does Your Association Have Employees?

If so, be prepared to review how you pay any employees, including hourly workers and any “white collar” exempt employees (as defined in the law), such as certain association managers, to ensure the association complies with current laws. The minimum hourly rate is continuing to be increased by federal, state, and sometimes local laws depending on the size of the employer and location of the employer. You can check the current minimum hourly rate with the applicable federal, state, and local government agencies. For salaried exempt employees, there are also minimum salaries that must be paid by the employer. For association employers with 26 or more employees, federal, state and local laws must be reviewed for the minimum requirements. For employers with 25 or less employees, employers should check with the California state and local laws for minimum wage requirements. The wage and hour laws are rapidly changing both on federal, state, and local levels. It is not easy to maneuver through the maze of employment laws that may apply to your association. Associations that have employees should have their employment practices, especially its wage and hour practices, professionally reviewed for legal compliance on a yearly basis.

The following link may be helpful from the California Department of Industrial Relations: https://www.dir.ca.gov/dlse/faq_minimumwage.htm