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Recent Overtime Law Is Officially Over

September 01, 2017 | Leave a Comment

min wage increase (9)

Following an injunction from November 2016, the Obama-era revisions to the FLSA Overtime regulations are now officially off the table. U.S. District Judge Amos Mazzant ruled in favor of more than 55 business groups who challenged the 2016 changes, which would’ve more than doubled the minimum annual salary required to qualify employees for overtime exemption.

Employees must still satisfy three criteria to qualify for overtime exemption:

  1. The employee must be paid on a salaried basis
  2. The employee must meet the minimum salaried threshold – which now remains at $23,660/annually
  3. The employee must meet the duties criteria as defined by the Department of Labor. Click here to view a brief overview of these exemptions.

Employers are encouraged to prepare for a salary increase eventually, as many agree the minimum threshold is outdated and needs to be increased, but experts advise it will not be to the level proposed in the 2016 bill.  To date, there are no changes planned.

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