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A Better Partnership


Dec 2015
December 09, 2015

Look for New Overtime Rules Next July

The U.S. Department of Labor intends to release new regulations on overtime for exempt and nonexempt employees in July 2016. The DOL proposes to raise the salary test from $23,660 per year ($455 per week) to approximately $50,440 ($970 per week). The DOL also proposes to index the salary test going forward.

The proposed rule will make many more employees eligible for overtime pay. According to the DOL, the proposed rule will extend overtime protections to nearly 5 million additional white collar workers. Virtually all employers, large and small, will be affected by this rule change and should evaluate whether positions currently classified as exempt will still qualify and, if not, what actions to take.

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