Which of the following most accurately describes the compensation test for a bona fide 'exempt' executive or administrative employee in California?
Explanation
Labor Code §515(a) sets a two-part test: a monthly salary of at least twice the state minimum wage for full-time (40-hour) employment, and primary engagement in exempt executive, administrative, or professional duties. (a) gets the money right but the form wrong - an hourly worker is not salaried and cannot be exempt under §515 no matter what the rate is. (b) is the error of applying the federal salary threshold; California's is higher and is tied to its own minimum wage. (d) is the belief that putting someone on salary is itself the exemption, which is the single most common misclassification in construction office staff.
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