Are you paying overtime in compliance with recent rulings?
If your company’s employees are working overtime to help you achieve a profitable bottom line, you’re in a…
Overtime Pay Update
The U.S. Department of Labor has declared a final rule to make 1.3 million American workers qualified for overtime pay under the Fair Labor Standards Act (FLSA).
The final rule updates the earnings thresholds required to exempt executive, administrative and professional employees from the Fair Labor Standards Act’s (FLSA) minimum wage and overtime pay requirements, and permits employers to count a part of certain bonuses/commissions towards meeting the salary level. In the final rule, the Labor Department is:
Certain employees are not subject to either the salary basis or salary level tests (for example, doctors and lawyers). The Department’s regulations also provide an exemption for certain highly compensated employees (HCEs) who earn above a higher total annual compensation level ($107,432 under this final rule) and satisfy a minimal duties test.
The final rule is effective on January 1, 2020.