Division of Labor Standards Enforcement
History of Rate of Pay for Exemption for Computer Software Employee (California Labor Code Section 515.5(a)(3))
Labor Code Section 515.5 provides that certain computer software employees shall be exempt from the requirement that an overtime rate of compensation be paid pursuant to Labor Code Section 510, if certain criteria are met. One of the required criteria is that the employee’s hourly rate of pay not be less than a certain threshold dollar amount. The Division of Labor Statistics and Research is responsible for adjusting this pay rate on October 1 of each year to be effective on January 1 of the following year by an amount equal to the percentage increase in the California Consumer Price Index for Urban Wage Earners and Clerical Workers. Below is the history of this required hourly pay rate. | | New Rate of Pay | Old Rate of Pay | | January 1, 2010 | $37.94 or annual salary of not less than $79,050 for full-time employment, and paid not less than $6,587.50 per month | $37.94 or annual salary of not less than $79,050 for full-time employment, and paid not less than $6,587.50 per month. | | January 1, 2009 | $37.94 or annual salary of not less than $79,050 for full-time employment, and paid not less than $6,587.50 per month | $36.00 or annual salary of not less than $75,000 for full-time employment, and paid not less than $6,250 per month. | Revised 1/2010 Click here for Current Rates |
