CA Law:
The line of distinction between exempt from non-exempt status employees?

There appears no exact definition of what is an exempt salaried employee workweek.
Foremost, being classified as "exempt" means an employee is not subject to either state's labor code or the federally mandated Fair Labor Standards Act (FLSA). In other words, it means the exempt employee does not have to be paid for working overtime.

For non-exempt employees, California law requires that non-exempt employees be paid overtime for more than eight hours worked in a day, or more than 40 hours worked in a week.

Note: If misclassification is an issue in your situation, there may have some violation of the standards, enough for you to complain.
Confer with an employment lawyer in that wise.

what is the importance of being subject the FLSA? Do you when wage employee vs independent contractor?

Isnt that a federal tax distinction?