Legal Updates
Salary Minimum for White Collar Professionals

You probably all recall the frenzy in 2016 to adjust salaries to comply with a new Department of Labor Rule raising the salary minimum for your Executive/Administrative/Professional employees to $913 per week ($47,476 per year).  These employees are paid a set salary every week and are not paid overtime. That rule stalled in a federal court.   The Department of Labor has continued reviewing this issue and just released its proposed new rule of increasing the salary threshold to $679 per week ($35,308 per year). The process will take a while and will involve public comments, hearings, and probably lawsuits.  I just want you aware of this development and to note that if you have salaried employees making less than $35,308 per year, you may need to consider adjustments in the future.   If the new salary minimum is implemented and you do not raise the salary to that level, then the employee must be converted to “hourly” and receive overtime.

EEO-1 Reporting Requirement

All employers with 100 or more employees (including part-time employees) must file an EEO-1 form.  In an effort combat pay inequities, a new form was implemented under the Obama Administration requiring more detailed tracking of W-2 wages, hours worked, and information about gender/race/ethnicity of employees.   Forms would have been due on March 31, 2019, but the Trump Administration’s EEOC froze the new rule. A DC Court just ruled that the form should in fact be used.   The new form will be available as of March 18, 2019.  The due date has been extended to May 31, 2019. Here is information on the new form:

As always, let me know if I can be of assistance to you,