Department of
Labor Proposal
for New Federal
Overtime Rule
PREPARE FOR POSSIBLE
NEW WAGE AND HOUR
COMPLIANCE RULES
By Renee West,
SHRM-SCP, PHR,
senior HR manager,
[email protected]
(New Philadelphia office)
The Department of Labor (DOL) recently
proposed a federal overtime rule that
would increase the salary threshold fig-
ure and make more Americans eligible
for overtime pay. This ruling was tabled
in late 2018, but it is gaining momentum
again.
The current threshold sits at $23,660, but
if the DOL has its way, the minimum salary
for exemption would see a significant
increase. While a new salary threshold
figure has yet to be determined, at press
time, many experts predict the new
threshold will hover in the $30,000 range.
Employer feedback to the original rule
proposed in 2016 expressed concern
that the proposal didn’t include a vari-
ance for salary thresholds based on re-
gions. As many know, the cost of living
varies widely across the country.
The DOL has not provided information
whether the new ruling will issue a single
salary threshold or include the variances
in levels by demographics. The variable
level would require employers and the
DOL to incur additional administrative
costs. This will also affect those
companies that operate in different
regions within the country.
How To Prepare
The proposed regulations will mainly
affect wage and hour compliance with
a significant influence on overall labor
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