A non-exempt employee is an employee who is entitled to overtime pay under the Fair Labor Standards Act (FLSA). Non-exempt employees typically earn an hourly wage and are eligible to receive overtime compensation at a rate of 1.5 times their regular hourly rate for any hours worked beyond 40 hours in a workweek. Non-exempt employees do not meet the criteria for exemptions based on job duties, salary level, or other factors defined by the FLSA, which are applicable to exempt employees. Exempt employees, on the other hand, are usually salaried and are not entitled to overtime pay, regardless of how many hours they work.