34 Pa. Code § 231.83

Current through Register Vol. 54, No. 16, April 20, 2024
Section 231.83 - Administrative

Employment in a bona fide administrative capacity means work by an individual:

(1) Whose primary duty is the performance of office or nonmanual work directly related to management or general business operations of the employer or the customers of the employer.
(i) For the purpose of this section the term "directly related to management or general business operations" is defined as follows: to include, but is not limited to, work in functional areas such as tax; finance; accounting; budgeting; auditing; insurance; quality control; purchasing; procurement; advertising; marketing; research; safety and health; personnel management; human resources; employee benefits; labor relations; public relations, government relations; computer network, internet and database administration; legal and regulatory compliance.
(2) Whose primary duty includes the exercise of discretion and independent judgment with respect to matters of significance.
(3) Who is compensated for services on a salary basis at a rate of not less than:
(i) $684 per week exclusive of board, lodging or other facilities, effective October 3, 2020.
(ii) $780 per week exclusive of board, lodging or other facilities, effective October 3, 2021.
(iii) $875 per week exclusive of board, lodging or other facilities, effective October 3, 2022.
(iv) Effective October 3, 2023, and each 3rd year thereafter, at a rate equal to the weighted average 10th percentile wages for Pennsylvania workers who work in exempt executive, administrative or professional classifications as determined by the Department with advice and consultation by the Minimum Wage Advisory Board and based on an annual wage survey of all worker classifications conducted by the Department.
(A) At least 90 days prior to the effective date of each 3-year period in subparagraph (iv), the Department will submit to the Minimum Wage Advisory Board, the adjusted weekly salary rate under subparagraph (iv) and the information supporting the adjusted salary rate.
(B) Upon review of the information submitted by the Department and a meeting to be held no later than 60 days before the effective date, the Minimum Wage Advisory Board may provide advice and consultation to the secretary regarding the weekly salary rate.
(C) At least 30 days prior to the effective date of each 3-year period, the Department will publish this figure on its web site and in the Pennsylvania Bulletin.
(4) Up to 10% of the salary amount required under paragraph (3) may be satisfied by the payment of nondiscretionary bonuses, incentives and commissions that are paid yearly or more frequently. The employer may use any 52-week period as the year, such as a calendar year, fiscal year or anniversary of hire year. If the employer does not identify some other year period in advance, the calendar year will apply. If by the last pay period of the year the sum of the employee's weekly salary plus nondiscretionary bonus, incentive and commission payments received does not equal 52 times the weekly salary amount required by this section, the employer may make 1 final payment sufficient to achieve the required level no later than the next pay period after the end of the year. A final payment made after the end of the year may count only toward the prior year's salary amount and not toward the salary amount in the year it was paid.

34 Pa. Code § 231.83

The provisions of this § 231.83 amended October 2, 2020, effective 10/3/2020, 50 Pa.B. 5459.

The provisions of this § 231.83 amended under sections 5(a)(5) and 9 of The Minimum Wage Act of 1968 (43 P.S. §§ 333.105(a)(5) and 333.109).

This section cited in 34 Pa. Code § 231.81 (relating to definitions).