The New Overtime Law and How to Comply

What you need to know about the new Department of Labor overtime rule and how you can comply

Table of Contents

DISCLAIMER: The information presented in this document highlights several examples of federal and/or state labor law requirements. Replicon makes no guarantees as to the completeness or accuracy of these summarized requirements. This document in no way suggests or offers any labor law guidance, or legal advice of any kind, and should not be construed as such. If you need legal advice in relation to labor law compliance issues, please consult with your qualified legal advisor.

The Ruling

Nearly doubled minimum salary for overtime exempt employees

the new overtime labor law

$24,000

Old Threshold

overtime labor law
overtime labor laws

$47,476

New Threshold

Update for Highly Compensated Employees (HCE)

the new overtime law

If you earn

Over $134,000 per year

You are ineligible for overtime

Eligibility In Numbers

new overtime law

4.2 million workers

will now be eligible for overtime

overtime labor rules

Date in Effect

department of labor overtime rules

with automatic updates every 3 years

* This infographic was created in reference to the overtime regulations proposed in May 2016. For information on the update effective as of January 1st, 2020, see this three-part series detailing all of the latest changes, impacts, and best practices.

Who is Affected

35% of full time salaried workers

department of labor overtime law

will be entitled to overtime solely based on their salary

Gender and Age Breakdown

56%

Female

the new department of labor overtime law

44%

Male

61% are age 35 or older

Top 5 States By Number Of Workers

employee overtime labor laws
  • California

    392,000

  • Texas

    370,000

  • Florida

    331,000

  • New York

    278,000

  • Illinois

    194,000

Tip: Some states have different overtime rules.
Learn more by accessing our map www.replicon.com/regulation/united-states-labor-laws/

How Employers Can Comply

overtime labor law pay

Pay

current salary with overtime after 40 hours

new overtime labor laws

Raise

worker’s salaries above the new threshold

working hours for overtime
working hour limit for overtime
overtime labor law working limit

Limit workers hours to 40 per week

by reorganizing work loads or adjusting schedules

know your overtime labor law

Know

who’s approaching overtime

tracking overtime hours

Track Hours

worked and monitor overtime

reduce overtime labor hours

Reduce

unplanned overtime

labor laws for overtime

Stay Compliant

with overtime rules payout

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