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Code of Federal Regulations Pertaining to ESA |
| Labor |
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| Wage and Hour Division, Department of Labor |
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| The Fair Labor Standards Act As Applied to Retailers of Goods or Services |
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| Provisions Relating to Certain Employees of Retail or Service Establishments |
The up-to-40 percent tolerance for nonexecutive or nonadministrative duties discussed in the preceding section, does not apply to executive or administrative employees of an establishment other than a ``retail or service establishment.'' For example, an executive or administrative employee of a central office or a central warehouse of a chain store system is not an employee of a ``retail or service establishment,'' and therefore must still devote not more than 20 percent of his hours worked in a workweek to activities which are not directly and closely related to the performance of executive or administrative duties in order to qualify as a bona fide executive or administrative employee under section 13(a)(1), except where special provisions are made in the regulations issued under that section of the Act.