DOL Proposes Increase to Salary Threshold
for Exempt Workers
The US Department of Labor has proposed a new salary threshold for exempt positions. The Fair Labor Standards Act (FLSA) currently requires a minimum salary of $35,568 for applicable white-collar exemptions to overtime requirements. The DOL is proposing an increase to $58,068 and automatic increases every three years to the overtime threshold.
Under the new rule, approximately 300,000 more manufacturing workers would be entitled to overtime pay the Labor Department reports. A similar number of retail workers would be eligible, along with 180,000 hospitality and leisure workers, and 600,000 in the health care and social services sector. In total, overtime protections would be extended to approximately 3.6 million workers, according to the DOL.
Employers may submit comments on or before Nov. 7 on the recently proposed overtime rule—published Sept. 8 in The Federal Register—with the U.S. Department of Labor.
Read more from the Society for Human Resource Management.
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