{"id":5369,"date":"2024-05-23T09:42:33","date_gmt":"2024-05-23T14:42:33","guid":{"rendered":"https:\/\/www.employco.com\/blog\/?p=5369"},"modified":"2024-05-23T13:11:27","modified_gmt":"2024-05-23T18:11:27","slug":"hr-newsletter-new-overtime-rule","status":"publish","type":"post","link":"https:\/\/www.employco.com\/blog\/2024\/05\/23\/hr-newsletter-new-overtime-rule\/","title":{"rendered":"HR Newsletter: New Overtime Rule"},"content":{"rendered":"\n<figure class=\"wp-block-image size-large\"><img decoding=\"async\" src=\"https:\/\/www.employco.com\/images\/newsletter\/HR\/Blog\/May2024_DOL-Final-Rule.jpg\" alt=\"HR Newsletter: New Overtime Rule\"\/><\/figure>\n\n\n\n<div style=\"height:25px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<p>On April 23, 2024, the U.S. Department of Labor (DOL) <a href=\"https:\/\/www.dol.gov\/agencies\/whd\/overtime\/rulemaking\" target=\"_blank\" rel=\"noreferrer noopener\">announced<\/a> a final rule to amend current requirements employees in white-collar occupations must satisfy to qualify for an overtime exemption under the Fair Labor Standards Act (FLSA). The <a href=\"https:\/\/www.dol.gov\/sites\/dolgov\/files\/WHD\/flsa\/ot-541-final-rule.pdf\" target=\"_blank\" rel=\"noreferrer noopener\">final rule<\/a> will take effect on <mark style=\"background-color:rgba(0, 0, 0, 0)\" class=\"has-inline-color has-vivid-red-color\"><strong>July 1, 2024<\/strong><\/mark>.<\/p>\n\n\n\n<p><strong>Increased Salary Level<\/strong> &#8211; The FLSA white-collar exemptions apply to individuals in executive, administrative, professional, and some outside sales and computer-related occupations. Some highly compensated employees may also qualify for the FLSA white-collar overtime exemption. To qualify for this exemption, white-collar employees must satisfy the standard salary level test, among other criteria. This salary level is a wage threshold that white-collar employees must receive to qualify for the exemption.<\/p>\n\n\n\n<!--more-->\n\n\n\n<ul class=\"wp-block-list\">\n<li>July 1, 2024 &#8211; standard salary level increases from $684 to $844 per week ($35,568 to $43,888 per year)<\/li>\n\n\n\n<li>Jan 1, 2025 \u2013 standard salary level increases from $844 to $1,128 per week ($43,888 to $58,656 per year)\n<ul class=\"wp-block-list\">\n<li><em>Example: As of January 1<sup>st<\/sup>, if you have a supervisor who is currently paid a salary of $55,000 per year, you will need to make a change to this person \u2013 one option is to convert the person to a non-exempt \/ hourly paid employee, begin to track their hours worked, and pay overtime wages for hours worked beyond 40 in a week<\/em>.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n<p><strong>Impact on Employers<\/strong> &#8211; The first salary level increase in July is expected to impact nearly 1 million workers, while the second increase in January is expected to affect approximately 3 million workers. Employers should become familiar with the final rule and evaluate what changes they may need to adopt to comply with the rule\u2019s requirements. Legal challenges to the rule are anticipated, which may delay the final rule\u2019s implementation.<\/p>\n\n\n\n<p><strong>Additional Information<\/strong> \u2013 Click the following link to read a more detailed description of the upcoming changes along with recommended employer next steps: <a href=\"https:\/\/www.employco.com\/PDFs\/May2024_HR-Compliance-Bulletin.pdf\" target=\"_blank\" rel=\"noreferrer noopener\">Key Provisions from the DOL\u2019s Final Overtime Rule for White-collar Employees<\/a><\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><a href=\"https:\/\/www.employco.com\/PDFs\/May2024_HR-Compliance-Bulletin.pdf\" target=\"_blank\" rel=\"noreferrer noopener\"><img decoding=\"async\" src=\"https:\/\/www.employco.com\/images\/newsletter\/HR\/Blog\/May2024_HR-Compliance-Bulletin-PDF.jpg\" alt=\"Key Provisions from the DOL\u2019s Final Overtime Rule for White-collar Employees\"\/><\/a><\/figure>\n\n\n\n<div style=\"height:25px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<p><a href=\"mailto:hr@employco.com\">Contact us<\/a> with any questions or for support with any required employee changes.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>On April 23, 2024, the U.S. Department of Labor (DOL) announced a final rule to amend current requirements employees in white-collar occupations must satisfy to qualify for an overtime exemption under the Fair Labor Standards Act (FLSA). The final rule&hellip;  <\/p>\n<p class=\"more-link\"><a href=\"https:\/\/www.employco.com\/blog\/2024\/05\/23\/hr-newsletter-new-overtime-rule\/\">Continue reading <span class=\"meta-nav\">&rarr;<\/span><\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[31],"tags":[],"class_list":["post-5369","post","type-post","status-publish","format-standard","hentry","category-hr-newsletter"],"featured_image_src":null,"author_info":{"display_name":"Employco USA","author_link":"https:\/\/www.employco.com\/blog\/author\/employcousa\/"},"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.2 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\r\n<title>HR Newsletter: New Overtime Rule - Employco Blog<\/title>\r\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\r\n<link rel=\"canonical\" href=\"https:\/\/www.employco.com\/blog\/2024\/05\/23\/hr-newsletter-new-overtime-rule\/\" \/>\r\n<meta property=\"og:locale\" content=\"en_US\" \/>\r\n<meta property=\"og:type\" content=\"article\" \/>\r\n<meta property=\"og:title\" content=\"HR Newsletter: New Overtime Rule - Employco Blog\" \/>\r\n<meta property=\"og:description\" content=\"On April 23, 2024, the U.S. Department of Labor (DOL) announced a final rule to amend current requirements employees in white-collar occupations must satisfy to qualify for an overtime exemption under the Fair Labor Standards Act (FLSA). 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On April 23, 2024, the U.S. Department of Labor (DOL) announced a final rule to amend current requirements employees in white-collar occupations must satisfy to qualify for an\u2026","rel":"","context":"In &quot;HR Newsletter&quot;","block_context":{"text":"HR Newsletter","link":"https:\/\/www.employco.com\/blog\/category\/employco-in-the-news\/hr-newsletter\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":5615,"url":"https:\/\/www.employco.com\/blog\/2024\/12\/19\/hr-newsletter-the-future-of-the-overtime-salary-threshold\/","url_meta":{"origin":5369,"position":1},"title":"HR Newsletter: The Future of the Overtime Salary Threshold","author":"Employco USA","date":"December 19, 2024","format":false,"excerpt":"On Nov. 26, 2024, the U.S. Department of Labor (DOL) filed a notice of appeal seeking to overturn the recent decision by the U.S. District Court for the Eastern District of Texas that vacated the DOL\u2019s final rule. The final rule amended requirements that employees in white-collar occupations must satisfy\u2026","rel":"","context":"In &quot;HR Newsletter&quot;","block_context":{"text":"HR Newsletter","link":"https:\/\/www.employco.com\/blog\/category\/employco-in-the-news\/hr-newsletter\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":5340,"url":"https:\/\/www.employco.com\/blog\/2024\/04\/18\/hr-newsletter-preparing-for-the-dols-new-overtime-rule\/","url_meta":{"origin":5369,"position":2},"title":"HR Newsletter: Preparing for the DOL&#8217;s New Overtime Rule","author":"Employco USA","date":"April 18, 2024","format":false,"excerpt":"In early March 2024, the U.S. Department of Labor\u2019s (DOL) proposed overtime rule, announced in August 2023, entered its last stage of review. Publication of the final rule is expected soon. The rule would amend the requirements that employees in certain white-collar occupations must satisfy to qualify for an overtime\u2026","rel":"","context":"In &quot;HR Newsletter&quot;","block_context":{"text":"HR Newsletter","link":"https:\/\/www.employco.com\/blog\/category\/employco-in-the-news\/hr-newsletter\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":4080,"url":"https:\/\/www.employco.com\/blog\/2022\/07\/14\/hr-newsletter-proposed-overtime-rule-expected-in-october\/","url_meta":{"origin":5369,"position":3},"title":"HR Newsletter: Proposed Overtime Rule Expected in October","author":"Employco USA","date":"July 14, 2022","format":false,"excerpt":"In its recent spring regulatory agenda, the U.S. Department of Labor (DOL) announced its plans to issue a proposed overtime rule in October 2022. According to the agency\u2019s regulatory agenda, this proposed rule is expected to address how to implement the exemption of executive, administrative and professional employees from the\u2026","rel":"","context":"In &quot;HR Newsletter&quot;","block_context":{"text":"HR Newsletter","link":"https:\/\/www.employco.com\/blog\/category\/employco-in-the-news\/hr-newsletter\/"},"img":{"alt_text":"Proposed Overtime Rule Expected in October","src":"https:\/\/i0.wp.com\/www.employco.com\/images\/newsletter\/HR\/Blog\/September20_DOL.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.employco.com\/images\/newsletter\/HR\/Blog\/September20_DOL.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.employco.com\/images\/newsletter\/HR\/Blog\/September20_DOL.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.employco.com\/images\/newsletter\/HR\/Blog\/September20_DOL.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.employco.com\/images\/newsletter\/HR\/Blog\/September20_DOL.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":4919,"url":"https:\/\/www.employco.com\/blog\/2023\/09\/19\/hr-newsletter-new-proposed-overtime-rule\/","url_meta":{"origin":5369,"position":4},"title":"HR Newsletter: New Proposed Overtime Rule","author":"Employco USA","date":"September 19, 2023","format":false,"excerpt":"On Aug. 30, 2023, the U.S. Department of Labor (DOL) announced a proposed rule to amend current requirements employees in white-collar occupations must satisfy to qualify for an overtime exemption under the Fair Labor Standards Act (FLSA). To qualify for this exemption, white-collar employees must satisfy the standard salary level\u2026","rel":"","context":"In &quot;HR Newsletter&quot;","block_context":{"text":"HR Newsletter","link":"https:\/\/www.employco.com\/blog\/category\/employco-in-the-news\/hr-newsletter\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":4795,"url":"https:\/\/www.employco.com\/blog\/2023\/08\/15\/hr-newsletter-misclassification-of-employees-as-independent-contractors\/","url_meta":{"origin":5369,"position":5},"title":"HR Newsletter: Misclassification of Employees as Independent Contractors","author":"Employco USA","date":"August 15, 2023","format":false,"excerpt":"When an employee is misclassified as an independent contractor instead of an employee, they are denied crucial benefits and standard labor protections under the Fair Labor Standards Act (FLSA). The FLSA, enforced by the U.S. Department of Labor (DOL) Wage and Hour Division (WHD), establishes standards for recordkeeping, overtime pay,\u2026","rel":"","context":"In &quot;HR Newsletter&quot;","block_context":{"text":"HR Newsletter","link":"https:\/\/www.employco.com\/blog\/category\/employco-in-the-news\/hr-newsletter\/"},"img":{"alt_text":"HR Newsletter: Misclassification of Employees as Independent Contractors","src":"https:\/\/i0.wp.com\/www.employco.com\/images\/newsletter\/HR\/Blog\/September20_DOL.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.employco.com\/images\/newsletter\/HR\/Blog\/September20_DOL.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.employco.com\/images\/newsletter\/HR\/Blog\/September20_DOL.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.employco.com\/images\/newsletter\/HR\/Blog\/September20_DOL.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.employco.com\/images\/newsletter\/HR\/Blog\/September20_DOL.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]}],"_links":{"self":[{"href":"https:\/\/www.employco.com\/blog\/wp-json\/wp\/v2\/posts\/5369","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.employco.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.employco.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.employco.com\/blog\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.employco.com\/blog\/wp-json\/wp\/v2\/comments?post=5369"}],"version-history":[{"count":4,"href":"https:\/\/www.employco.com\/blog\/wp-json\/wp\/v2\/posts\/5369\/revisions"}],"predecessor-version":[{"id":5384,"href":"https:\/\/www.employco.com\/blog\/wp-json\/wp\/v2\/posts\/5369\/revisions\/5384"}],"wp:attachment":[{"href":"https:\/\/www.employco.com\/blog\/wp-json\/wp\/v2\/media?parent=5369"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.employco.com\/blog\/wp-json\/wp\/v2\/categories?post=5369"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.employco.com\/blog\/wp-json\/wp\/v2\/tags?post=5369"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}