Less than a month after proposing an increase to the salary threshold for certain overtime exemptions (see our previous client alert), the U.S. Department of Labor (“DOL”) has announced another possible rule change impacting the way employers pay employees overtime. This new proposed rule would update, for the first time in more than 50 years, rules regarding the types of employee compensation that must be included when calculating an employee’s “regular rate” under the Fair Labor Standards Act (“FLSA”).… More
Tag Archives: overtime rule
U.S. Department of Labor Proposes New Overtime Rule
On March 7, 2019, after more than two years of speculation, the U.S. Department of Labor (“DOL”) finally proposed its new overtime rule. Under the proposed rule, the minimum salary a worker would have to be paid to qualify for the executive, administrative and professional exemptions would increase from $26,660 (or $455 per week) to $35,308 (or $679 per week). The DOL estimates that 1.1 million more employees will be eligible for overtime under the proposed rule.… More
U.S. Department of Labor Signals Coming Changes
On June 27, 2017, the U.S. Department of Labor (DOL) made two announcements that signal a change of direction for the new Administration. First, the DOL announced in a press release that it would return to its decades-long practice of issuing “opinion letters,” which provide employers formal, written guidance on specific labor law issues. Second, the DOL began the process for seeking public notice and comment on the Obama DOL’s rule increasing the salary threshold for overtime exemptions,… More