8.9 million. That’s the number of employees the Department of Labor (DOL) estimates the new FLSA Overtime rules will affect. 5.7 million white collar and 3.2 million blue collar workers.
110%. That’s the percent increase of the minimum salary requirement for an employee to be exempt from overtime. The weekly pay rate is rising from $455 to $913. That’s an annual increase from $23,660 to $47,476. Any employee earning less than $913 weekly will be eligible for overtime, “irrespective of their job duties and responsibilities” – this includes employees classified as a manager or professional.
10%. That’s the percentage of the minimum salary requirement which can now be satisfied by non-discretionary bonuses (generally defined as those announced or promised in advance), incentive payments, or commissions.
$134,000. The annual salary of the new exemption level for “highly compensated” employees. The current annual salary is $100,000. These employees must regularly perform at least one of the exempt duties or responsibilities of an executive, administrative, or professional employee. Compensation must be distributed at a rate of at least $913 per week, as some employees may not be paid in regular intervals.
12-1-16. That’s the date the new FSLA overtime rules take effect, December 1, 2016.
3. That’s the number of years until the next salary requirement increase. The DOL built into the new rule a provision to raise the salary threshold every three years. It is estimated the first increase in 2020 will raise the requirement to $51,000.
3. That’s also the number of areas the DOL acknowledges direct costs to employers. 1) regulatory familiarization; 2) adjustment costs; and 3) managerial costs.
0. That’s the number of UniqueHR clients who are distressed about the new FSLA Overtime rules. Our team at UniqueHR has been monitoring the regulations and working with Legislators since President Obama signed the Presidential Memorandum in March 2014. We are minimizing the direct costs to our clients by educating them and helping them prepare. Unique’s human resources and payroll teams are working together with those clients affected by the new rules to manage any adjustments and ensure compliance by December 1, 2016.
361-852-6392. That’s the number to call to see how UniqueHR can help you reduce cost and keep on top of everchanging rules and regulations. Visit us at uniquehr.com.
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