According to the FLSA, merit pay can only be given to exempt, nonmanagement employees at a company.

Name: According to the FLSA, merit pay can only be given to exempt, nonmanagement employees at a company.
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Although the term merit pay can apply to the incentive raises given to any employee-exempt or nonexempt, office or factory, management or nonmanagement-the term is more often used for white-collar employees and particularly professional, office, and clerical employees.

According to the FLSA, Merit Pay Can Only Be Given