Roger is the head of the insurance claims department. Roger works for longer hours than his subordinates, however, he is not paid overtime for working more than 40 hours per week. Under the FLSA, which statement justifies the organization's decision not to give Roger's overtime pay?

A) Roger is not a U. S. citizen.
B) Roger comes from an economically strong background.
C) Roger is unmarried.
D) Roger is considered as an exempt employee.
E) Roger has lower educational qualifications than his subordinates.

Option D. Roger is considered as an exempt employee is better justifies the organization's decision not to give Roger's overtime pay.

Explanation:

FLSA clearly states the facts of exemptions of paying overtime pay for certain employees. The exempted employees who have the position of the higher-level hierarchy will not have eligibility to get overtime allowance or pay. The Executive level Managers are compensated with high salary package. The nature of the Manager role is entitled to get more monetary benefits.

Roger plays a very vital role in the insurance claims department. In critical business periods, His working hours may be extended beyond a normal operational hour. FLSA restricts the HR department to pay for his extended work during peak time. So Roger can categorically be placed under the exemption of employees who are denied of paying overtime pay.    

urban company reports the following information regarding its production cost: units produced 37,000 units direct labor $ 30 per unit direct materials $ 35 per unit variable overhead $ 237,000 in total fixed overhead $ 127,000 in total