The Department of Labor (DOL) issued the final rule on overtime pay for white collar workers on May 18, 2016. These long awaited revisions to the DOL’s Fair Labor Standards Act will create a new salary threshold for white collar exemptions and include automatic updates to that threshold.
Under the new rule, the new salary level required for the executive, administrative and professional exemptions will be $913 per week, or $47,476 per year. This salary level will increase automatically every three years, starting in 2020. This rule takes effect Dec. 1, 2016.
A copy of the rule can be found here.
CDA brought this issue to lawmakers in Congress during its annual Day on the Hill lobbying event in May. CDA is supporting legislation in Congress – HR 4773 and S. 2707. The bills are known as the Protecting Workplace Advancement and Opportunity Act and are aimed at stopping the DOL from redefining the overtime threshold without understanding the real world consequences. CDA also supports a recently introduced bill - HR 5813 – known as the Overtime Reform and Enhancement Act. These measures will stop the DOL from going forward with these unreasonable, unworkable overtime rules.
If you wish to make your views known on this issue please visit our federal advocacy page and take action on a pre-written letter you can send to your legislators urging their support for these important bills.