Society For Human Resource Management (SHRM) Certified Professional Practice Exam

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What is the classification of Dana, who earns about $40,000 a year and is eligible for work only in the creative department?

  1. Exempt

  2. Non-exempt

  3. Individual creative

  4. Executive creative

The correct answer is: Individual creative

The classification of Dana as "Individual creative" aligns well with the context provided. This term typically refers to roles in creative departments that may not strictly adhere to the more conventional classifications of exempt or non-exempt employees. In many organizations, creative positions often entail unique responsibilities that focus on creativity and idea generation. These roles, such as graphic designers, writers, or artists, may not fit neatly into the standard salary tests used to determine exemption status under the Fair Labor Standards Act (FLSA). Additionally, the mention of Dana’s eligibility for work solely in the creative department indicates a specialized role, reinforcing the idea that "Individual creative" accurately describes her classification. On the other hand, classifying Dana as "exempt" or "non-exempt" would depend more on the nature of her job duties and the corresponding salary thresholds set by the FLSA. Since her income is about $40,000, it may place her in a non-exempt category, assuming her responsibilities do not meet the criteria for exemption, such as being in a managerial capacity or involving specialized knowledge. The term "Executive creative" typically refers to leadership roles within the creative sector, which does not seem to fit Dana’s classification as simply working in the creative department