DOL Reaches Final Rule Expanding Overtime Protections

On April 23, 2024, the Department of Labor ("DOL") announced its final rule expanding the Fair Labor Standards Act's ("FLSA") overtime protections for workers by increasing the salary thresholds required to exempt a salaried bona fide executive, administrative, or professional employee from overtime pay requirements. This Rule will become effective on July 1, 2024. As we noted in our previous ALERT here discussing the proposed rule, this Rule is estimated to make millions of more workers eligible for overtime pay beginning on July 1^st.

The New (Final) Rule

This Rule makes three key changes to the FLSA exemptions:

1. Increased salary for "white collar" employees: The minimum salary level for all white collar exemptions increases from $684 per week ($35,568 per year) to $844 per week ($43,888) on July 1, 2024, and increases again to $1,128 ($58,656) on January 1, 2025.