DOL Proposes FLSA

Overtime Rule With

Higher Salary Levels for

White-collar Employees

Recently, 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).

Increased Salary Level

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 whitecollar

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.

The DOL is proposing to

increase the standard salary

level from:

• $684 to $1,059 per week

($55,068 per year)

• $107,432 to $143,988 per

year for highly compensated

employees

Automatic Updates

The DOL proposal also includes

mechanisms that would allow

the agency to update the whitecollar

salary level thresholds

automatically every three years

without having to rely on the

rulemaking process.

Comment Period

The federal rulemaking process

requires the DOL to allow the

public to comment on proposed

regulations before the agency

adopts and implements final

regulations. For this rule, the

DOL has established a 60-day

comment period. The proposed

rule was published in the

Federal Register on Sept. 8,

2023. The general public must

submit comments on the

proposal by Nov. 7, 2023.

Impact on Employers

The proposal does not impose

any new requirements on

employers at this time. This rule

is likely to be challenged, and as

such, employers should be

cautious before proceeding with

any changes. However,

employers should become

familiar with the proposed rule.

4 Ways to Capture

Employees’ Attention at

Open Enrollment and

Keep It

When it comes to employee

benefits, proper communication

helps employees recognize the

true value of their benefits, which

can lead to an appreciation of the

company’s investment in their

health and well-being. Here are

four strategies for grabbing

employees’ attention during the

open enrollment period and

keeping them engaged

throughout the process.

1. Determine key messaging.

After solidifying benefits options,

employers should plan their

communication strategies. The

first step is figuring out key

messaging, focusing on new or

updated benefits offerings, and

developing FAQs to address

common concerns quickly.

2. Create a communication

calendar

Having goal-oriented, relevant,

punchy and multichanneled

communications is great, but

attention must also be given to

when to send them. A

communication calendar could

include important dates and

scheduled messaging for those

efforts.

3. Tailor messaging for

employees.

Ultimately, employers want to

engage employees with open

enrollment information, and a

personalized approach can help.

Depending on the workforce and

their working environments,

employers will likely need to

segment their employee audience

and tweak messaging so it

resonates.

4. Leverage available

resources.

Partners, vendors and carriers

may offer resources such as

educational content or online

portals or tools to help enrich the

employee experience and boost

communication efforts.

Leveraging available resources

could help employees make

health care decisions year-round.



Summary

Educating and informing

employees about their benefits

options is an important part of

open enrollment. However,

education can continue well past

the open enrollment period.

Reach out to us for additional

employee benefits resources