*Note: The Department of Labor revised the regulations located at 29 C.F.R. var temp_style = document.createElement('style'); The DOL and NLRB notices represent the latest update in a years-long debate on both topics, and neither comes as a surprise. .agency-blurb-container .agency_blurb.background--light { padding: 0; } } There are some in the department who believe that in order to be eligible for the exemption, an employee shouldn't be involved in any type of selling, she said. The Supreme Court recognized that daily-rate workers may qualify as exempt only through another regulation, which allows payment in part based on a on an hourly, a daily or a shift basis.See29 CFR 541.604(b). Congressional Democrats earlier this year called for a substantial increase, to more than $82,000. p:first-child.is-empty.d-none, .ms-rtestate-field > .fltter .is-empty.d-none, .ZWSC-cleaned.is-empty.d-none {display:block !important;}'; Employers also must apply the laws duties testto determine whether an employee qualifies for exemption. Words With Friends, Part 1: Insurance Requirements and Contracts, Legislator Proposes To Expand CFL To Encompass "Commercial CERCLA PFAS Scope May Broaden To Many More PFAS, AI Avatar App is the Latest Target of BIPA Class Action Litigation. On July 16, 2021, the U.S. District Court for the Southern District of Texas vacated the June 2012 memorandum that created the DACA policy and permanently blocked the DHS from administering the DACA program and from reimplementing DACA without compliance with the Administrative Procedure Act. Subscribe to HR Dive for top news, trends & analysis, The free newsletter covering the top industry headlines, This audio is auto-generated. Buchalter var today = new Date(); var yyyy = today.getFullYear();document.write(yyyy + " "); | Attorney Advertising, Copyright var today = new Date(); var yyyy = today.getFullYear();document.write(yyyy + " "); JD Supra, LLC. What Is the Pregnant Workers Fairness Act (PWFA). The department instead could quickly raise the salary threshold to around$48,000 or $49,000, McCutchen said, but she thinks if the DOL "goes for too much, it will end up with nothing," saying that the department shouldn't let the perfect be the enemy of the good. For non-exempt employees under FLSA, the overtime rate is at least one-and-a-half times the regular rate of pay for any hours worked above 40 in a given workweek. The federal rules governing overtime pay were established by the Fair Labor Standards Act (FLSA), which also described which workers are exempt from these rules and which are not. Later that year, DOL, Its unclear just what threshold the Biden administration may propose. Section 13(a)(1) and Section 13(a)(17) also exempts certain computer employees. You are responsible for reading, understanding and agreeing to the National Law Review's (NLRs) and the National Law Forum LLC's Terms of Use and Privacy Policy before using the National Law Review website. White House Reviewing Proposed Regulations on Reinstated Superfund You Dont Need a Machine to Predict What the FTC Might Do About Is It Compensable? The district court did this partly based on its conclusion that the June 2012 memorandum announced a legislative rule that required notice-and-comment rulemaking. Criminal Referrals and OSHA Violations, Part III: Industry Standards Oregon House Revenue Committee Set to Hear More About Pro-Taxpayer Buying or Selling a Small Business Government Contractor? Neither members nor non-members may reproduce such samples in any other way (e.g., to republish in a book or use for a commercial purpose) without SHRMs permission. The Next Chapter for Reforming the FLSA White-Collar Overtime Exemptions: The Trump Administrations Proposal for a New Salary Threshold - Buchalter Law Firm, Federal Judge Blocks Department of Labors Overtime Rule, Time to Act - Employers Have Fewer than Six Months to Comply With New Federal Overtime Exemption Rule, Supreme Court Decision Impacts FLSAs Overtime Rules, 2023 Filing Requirements and Contribution Limits for California Major Donors, Helix Energy Solutions Group Inc v Hewitt No 21-984. Find the latest news and members-only resources that can help employers navigate in an uncertain economy. WHD will continue to enforce the 2004 part 541 regulations through December 31, 2019, including the $455 per week standard salary level and $100,000 annual compensation level for Highly Compensated Employees. Washington, DC 202101-866-4-US-WAGE1-866-487-9243, Administrator Interpretations, Opinion and Ruling Letters, Resources for State and Local Governments, https://www.federalregister.gov/documents/2019/09/27/2019-20353/defining-and-delimiting-the-exemptions-for-executive-administrative-professional-outside-sales-and, The employee must be compensated either on a salary or fee basis at a rate not less than $684. How Modern Manufacturing Plants Can Protect Against Ransomware, FTC Will Host May 23, 2023, Workshop on Recyclable Claims and the Appellate Court Affirmed An Order Denying A Beneficiarys Request For An Overview of Why Class Action Privacy Lawsuits May Have Just Gotten Gold Dome Report Legislative Day 26 (2023). var currentUrl = window.location.href.toLowerCase(); The district court further sent the DACA policy to the DHS for further consideration. Determination of an employees primary duty must be based on all the facts in a particular case, with the major emphasis on the character of the employees job as a whole. Performing due diligence reviews for estates, nonprofits, and Mike is active in firm management. Once anticipated in the spring, the proposed rule will recommend how to implement the exemption of bona fide executive, administrative and professional employees from the Fair Labor Standards Act's (FLSA's) minimum wage and overtime requirements. Gain the intel you need now to successfully anticipate and navigate employment laws, stay compliant and mitigate legal risks. Generally speaking, the FLSA requires that covered nonexempt employees (i.e., employees who are ineligible for an exemption from the FLSA's minimum wage and overtime requirements) receive 1.5 times ("time-and-a-half") their "regular rate" of pay for each hour worked in excess of 40 in a single workweek. .cd-main-content p, blockquote {margin-bottom:1em;} $(document).ready(function () { In actuality, its something many employers were doing long before the buzzword was coined. Id. Ruling on a narrow, but significant question, the US Supreme Court affirmed that the white-collar overtime exemptions under the federal Fair Labor Standards Act (FLSA) require employers to pay an employee on an actual salary basis.. The answer was no.. The National Law Review is not a law firm nor is www.NatLawReview.com intended to be a referral service for attorneys and/or other professionals. A predicted recession is reshaping training priorities. Exempt employees, on the other hand, do not qualify to receive overtime pay. Topics covered: National employment laws, harassment, accommodations, training, and more. The DOL goes after those violating wage and hour laws in industries with low wages and a high number of violations, McCutchen explained. .dol-alert-status-error .alert-status-container {display:inline;font-size:1.4em;color:#e31c3d;} The Supreme Court emphasized that Congress statutory choice not to categorically exempt high-earners from overtime undergirds how the HCE exemption works, by carving up the class of higher-income workers and exempting some of them. Proposed Overtime Rule Scheduled to Be Published in May The Biden administration has released its long-awaited regulatory agenda. Build specialized knowledge and expand your influence by earning a SHRM Specialty Credential. US Executive Branch Update February 27, 2023. First Offshore Wind Energy Lease Sales in the Gulf of Mexico, Telephone and Texting Compliance News: Litigation Update February 2023. In July, DOL confirmed that it was reviewing the threshold, considering an increase and automatic updates; Friday's announcement may represent the first step in that process. Posted on December 16, 2021 Exempt & Non-Exempt. : Employer can sue New York over abortion anti-discrimination law.

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