SAMPLE EMPLOYEE HANDBOOK

Employment Classifications

At the time of hire, employees are generally classified as regular full-time, regular part-time or temporary and are also told whether they qualify for overtime pay. All policies described in this Handbook and communicated by the Company apply to all employees, unless otherwise specified. If you are unsure of which job classification your position fits into, please ask your manager.

Regular Full-Time Employees

An employee who is regularly scheduled to work at least thirty (30) hours per week, exclusive of a one half (1/2) hour meal period is considered a regular full-time employee. These employees are eligible for the Company’s full benefit package, subject to the terms, conditions and limitations of each benefit program.

Regular Part-Time Employees

An employee who is regularly scheduled to work less than a regular thirty (30) hours per work week, exclusive of a one half (1/2) hour meal period is considered a regular part-time employee. If you are a regular part-time employee, please understand that you are not eligible for benefits described in this Handbook except as specified herein, or to the extent required by provision of state and federal laws, e.g., workers’ compensation payments.

Temporary Employees

A temporary employee is someone the Company hires for a set or estimated timeframe, or for a particular project. The details of their job assignment, work hours, and how long the position lasts are decided individually. Temporary employees can be either full-time or part-time. If you are a temporary employee, please note that you generally do not receive the benefits described in this Handbook unless specifically stated here, or as required by state and federal law, such as workers’ compensation.

“Non-Exempt” and “Exempt” Employees

In addition, each employee is designated as either exempt or non-exempt from federal and state wage and hour laws:

Exempt — Employees classified as exempt are generally compensated on a fixed salary basis—weekly, monthly, or annually—instead of receiving an hourly wage. Their roles must satisfy specific overtime exemption criteria set forth by the Fair Labor Standards Act (FLSA) and applicable state laws. Positions commonly designated as exempt include salaried executives, professional employees, and certain administrative roles. Exempt employees are typically paid on a salary basis, ensuring they receive their full salary for any week in which work is performed, regardless of the number of days or hours worked. However, the Company may deduct from exempt employees’ salaries for full-day absences if no remaining paid time off is available. Any exempt employee who believes an improper salary deduction has occurred should promptly notify the Human Resources Team. All such concerns will be thoroughly investigated, with any erroneous deductions corrected, and appropriate measures taken to prevent reoccurrence.

Non-Exempt — Employees whose positions do not meet FLSA and state exemptions tests and are subject to the overtime provisions of the FLSA or state law. These employees will be eligible for overtime pay in accordance with the “Overtime Pay” section of this handbook. These employees are required to submit a time record for each pay period, approved by the appropriate supervisor, for the purpose of tracking hours worked and calculating compensation.