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ARTICLE · 26 MAY 2016

Final Federal Overtime Regulations Published

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Duane Morris will be hosting webinars to discuss the new rules.

United StatesEmployment and HR

Last June, the U.S. Department of Labor published proposed changes to federal overtime regulations. We discussed it last year, and Duane Morris analyzed them in detail last July.

On May 18, 2016, the Department of Labor published its Final Rule for purposes of distinguishing between overtime-eligible employees and those "white collar" employees (i.e., executive, administrative, professional, outside sales, and computer employees) who may be exempt from the minimum wage and overtime requirements of the Fair Labor Standards Act (FLSA).

Currently, the rules provide that employers do not have to pay overtime to certain employees earning more than $455 per week, or $23,660 per year. The Final Rule doubles that threshold to $913 per week, or $47,476 per year. As a result, employers will be required to pay overtime to more workers.

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