GENERAL ASSEMBLY OF NORTH CAROLINA
1993 SESSION

CHAPTER 214
HOUSE BILL 561

AN ACT TO CLARIFY THE MANNER IN WHICH WAGES MUST BE PAID TO EMPLOYEES, AND TO CLARIFY EXEMPTIONS UNDER THE WAGE AND HOUR ACT.

The General Assembly of North Carolina enacts:

Section 1.  G.S. 95-25.7 reads as rewritten:
"§ 95-25.7.  Payment to separated employees.
Employees whose employment is discontinued for any reason shall be paid all wages due on or before the next regular payday either through the regular pay channels or by mail if requested by the employee.  Wages based on bonuses, commissions or other forms of calculation shall be paid on the first regular payday after the amount becomes calculable when a separation occurs. Such wages may not be forfeited unless the employee has been notified in accordance with G.S. 95-25.13 of the employer's policy or practice which results in forfeiture.  Employees not so notified are not subject to such loss or forfeiture."
Sec. 2.  G.S. 95-25.14(a) reads as rewritten:
"(a)	The provisions of G.S. 95-25.3 (Minimum Wage), G.S. 95-25.4 (Overtime), and G.S. 95-25.5 (Youth Employment), and the provisions of G.S. 95-25.15(b) (Record Keeping) as they relate to these exemptions, do not apply to:
(1)	Any person employed in an enterprise engaged in commerce or in the production of goods for commerce as defined in the Fair Labor Standards Act:
a.	Except as otherwise specifically provided in G.S. 95-25.5.
b.	Notwithstanding the above, any employee other than a learner, apprentice, student, or handicapped worker as defined in the Fair Labor Standards Act who is not otherwise exempt under the other provisions of this section, and for whom the applicable minimum wage under the Fair Labor Standards Act is less than the minimum wage provided in G.S. 95-25.3, is not exempt from the provisions of G.S. 95-25.3 or G.S. 95-25.4;
c.	Notwithstanding the above, any employer or employee exempt from the minimum wage, overtime, or child labor requirements of the Fair Labor Standards Act for whom there is no comparable exemption under this Article shall not be exempt under this subsection except that where an exemption in the Fair Labor Standards Act provides a method of computing overtime which is an alternative to the method required in 29 U.S.C.S. § 207(a), the employer or employee subject to that alternate method shall be exempt from the provisions of G.S. 95-25.4(a); provided that, persons not employed at an enterprise described in subdivision (1) of this subsection shall also be subject to the same alternative methods of overtime calculation in the circumstances described in the Fair Labor Standards Act exemptions providing those alternative methods.
(2)	Any person employed in agriculture, as defined under the Fair Labor Standards Act;
(3)	Any person employed as a domestic, including baby sitters and companions, as defined under the Fair Labor Standards Act;
(4)	Any person employed as a page in the North Carolina General Assembly or in the Governor's Office;
(5)	Bona fide volunteers in medical, educational, religious, or nonprofit organizations where an employer-employee relationship does not exist;
(6)	Persons confined in and working for any penal, correctional or mental institution of the State or local government;
(7)	Any person employed as a model, or as an actor or performer in motion pictures or theatrical, radio or television productions, as defined under the Fair Labor Standards Act, except as otherwise specifically provided in G.S. 95-25.5;
(8)	Any person employed by an outdoor drama in a production role, including lighting, costumes, properties and special effects, except as otherwise specifically provided in G.S. 95-25.5; but this exemption does not include such positions as office workers, ticket takers, ushers and parking lot attendants."
Sec. 3.  This act is effective upon ratification.
In the General Assembly read three times and ratified this the 24th day of June, 1993.

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Dennis A. Wicker
President of the Senate

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Daniel Blue, Jr.
Speaker of the House of Representatives