The Department of Labor released the final updates to
the Fair Labor Standards Act’s White Collar Overtime Exemption and we are approaching the date of the new rule going into effect. A majority of businesses will be affected by this update, therefore we wanted to share the four key points that your organization needs to know about the new rule:
- The new salary threshold will be $47,476. Any exempt employee earning a salary below this number could be affected.
- Salaried employees making below the $47,476 threshold will be owed overtime pay for any overtime hours worked.
- Organizations must be prepared to comply with the new rule by December 1, 2016.
- The duties test will remain unchanged.
Have questions? The DOL shares common questions and answers here. If you need further assistance, please let us know and we will assist you in getting your questions answered.