New DOL Rules on Overtime

We previously posted about the Department Labor’s proposed rule changing the salary requirements for exempt administrative and executive employees.  Initially, there were suggestions that the new rule would go into effect in January 2016 (with an increase in the minimum weekly salary from $455 per week to $970 per week).  It now appears that the DOL will not issue a final rule until July 2016.  This gives employers more time to consider the compensation of currently exempt employees, which currently exempt employees should be reclassified as non-exempt, and whether to pay the reclassified employees hourly or continue to pay a salary (and pay overtime based on a regular rate of pay based off of the salary).

We will keep you posted on continuing developments (no pun intended).

 

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