OVERTIME EXEMPTION: A GLOBAL, COMPARATIVE STORY - Part 2

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Out of curiosity, what are the rules on overtime in other parts of the world? We are going to limit ourselves to similar economies, in Europe. You can see a very explicit chart for European coutries here. Basically, there is the definition of wage and hours work, and principles of compensation.
Simply put, other countries have various definitions of what we group under the term "overtime", and their modes of overtime computation vary on the classification of the "overtime" in question.

First Things First: Employment is A Safety Net

For comparison sake within so-called developed countries, you can have an insight on the rules in the EU here. For a better understanding of the difference in principles defining employment, the major and primary difference lies first into the work contract itself.
- US: Employment at-will is the common rule and practice
- EU: Employment is contract-based. Note: the employee is actually an "employee" in the full definition of it (fully part of the employing organization)
Clearly put, while in the US employment is more often than not at-will, that notion is practically inexistent in Europe. In those countries, a job is an access to, if not an implicit guarantee of employees' sustainability and economic "safety net." That guarantee is defined in duration of the job for better understanding of the notion. Basically, the US often rules on an employment at-will basis while the EU rules on a CDI- (Contrat à Durée Indéterminée) or a CDD- (Contrat à Durée Déterminée) basis, the former defining a work contract that cannot be broken unless very serious matters happen, such as compelling basis for termination by the employer, and the latter being defined in duration. The CDD is therefore closer to what is called "Contract employment" in the US with however the major difference  the worker actually being an employee of the organization, entitled to all benefits but under which the duration of employment is specified for a certain period of time (pre-determined in months or years, usually).

Exempt or Non-Exempt: What Defines Job Security Overseas?

Whether the employee is under CDD or CDI is unrelated to his/her exempt status. The detailed exempt definition in the EU, which is determined by a combination of education, job function, and job-related liability, is here. The "exempt" employee is roughly defined as "personnel d'encadrement" or "cadres" and categorized into three classifications : "cadres dirigeants, cadres moyens, cadres subalternes" (understand: senior leadership, middle management,  entry level -as fisrt line- management)

Overtime interpretation should not be confusing "salaried" employees with "exempt" employees:

• In the EU, and particularly in France, all employees are entitled to overtime (OT) , with the exemption of "cadres dirigeants" - those are in senior leadership positions- , and those who have "defined days of work per year". Simply put, the "salary basis" alone does not exempt an employee from overtime. Overtime is a systematic right and rule rather than the exception.
• In the US, three (3) requirements have to be met for OT exemption: The salary basis test, The salary level test, and The job duty test. (previous post).

You can see a chart on comparative study of Overtime laws and practices among European economies here. For a more global overview of labor laws and practices you may click here.
For a general overview, quick reference on global employment regulations and practices, you may click here. When you get to the nitty gritty of things, practices might differ but the rule of law stays.


Les heures supplémentaires, ce n'est pas un droit acquis aux USA. En général, le/la salarié(e) n'y a pas droit car la notion de salaire réfère si souvent à une position d'encadrement, ce qui exclue de facto le droit aux heures supplémentaires. Aux USA, le mot "salarié" fait allusion et à une position de prestige et à une référence aigre-douce du salarié au "non droit aux heures supplémentaires". Par contre, en France, par exemple, seuls les cadres dirigeants et ceux qui ont un contrat forfait annuel en jours sont exclus du droit aux heures supplémentaires. Notons qu’être payé à l'heure est pratique courante aux USA et n'est certainement pas réservé aux ouvriers, en majorité. Le paiement à base horaire est une pratique qui permet une compression des charges salariales. Mais ça, c'est une autre histoire...
Ceci dit, qui a droit aux heures supplémentaires en Europe et aux USA, ce n'est pas si simple que ça.

(To be continued)