FLSA Overtime Rule Resources

Everything HR professionals need to know about the FLSA overtime exemption rule

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BREAKING NEWS: 

​The Department of Labor announced Thursday that it will appeal a federal judge's preliminary injunction that halted the implementation of the new FLSA overtime rule changes.

A federal judge in Texas put the brakes on the Department of Labor’s new federal overtime rule on Nov. 22, which would have doubled the Fair Labor Standard Act’s (FLSA’s) salary threshold for exemption from overtime pay.

The judge's preliminary injunction effectively halts the implementation of the new rule, which was scheduled to take effect on Dec. 1, 2016.


The U.S. Department of Labor (DOL) published monumental changes to the overtime rule that will make approximately 4.2 million currently exempt employees eligible for overtime pay later this year.

The Fair Labor Standards Act (FLSA) overtime rule determines whether employees are eligbile or exempt for overtime pay. Exempt employees, because of their rate of pay and type of work that they do, are not eligible for overtime pay for hours worked over 40 in a workweek. Nonexempt employees must be paid time and a half for any hours worked more than 40 in a workweek.

Before the Nov. 22 preliminary injunction, all employers had to comply with the changes made to the overtime regulations of the Fair Labor Standards Act by Dec. 1, 2016. That deadline has been put on hold while a federal judge reviews the case.


What Is The New FLSA Overtime Rule?

  • The rule extends overtime protections to 4.2 million workers who are not currently eligible under federal law.
  • Workers who do not earn at least $47,476 a year ($913 a week) will have to be paid overtime, even if they're classified as a manager or professional.
  • The Department of Labor will increase the salary threshold every three years. Based on current projections, the salary threshold is expected to rise to more than $51,000 with its first update on January 1, 2020.
  • Employers must comply with the new regulations by December 1, 2016 (NOTE: This has been delayed as a federal judge reviews the rule).
  • Full Coverage: Overtime Rule Issued; Increase Every Three Years Included
  • Read the full text of the FLSA overtime rule.

 

FLSA Overtime Rule News:


What It Means For Your Organization:

The overtime rule changes might be embraced by newly nonexempt workers, while also having a signficant effect upon small businesses, higher education and nonprofit organizations.

The new overtime rule would extend protections to 4.2 million U.S. workers:

Overtime Map: Updates will extend protections to 4.2 million workers across the country.

What HR Professionals Need To Do:

Use these resources to help your company comply with the new overtime regulations:


SHRM Member Resources:

SHRM members receive exclusive access to templates, tools, webcasts, how-to guides and more aimed at helping HR professionals get their organizations into compliance with the new overtime regulations. Anyone who is involved in HR, supervises the HR function or otherwise has an interest in HR is invited to join.


What Is SHRM's Stance On The Changes?




SHRM'S Action On Changes To The FLSA Overtime Rule Exemptions:

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