Archived Insight | October 17, 2019

DOL Releases Updated Overtime Rule

On September 24, 2019, the Department of Labor (DOL) announced a final rule governing the salary threshold for executive, administrative and professional employee exemptions from overtime pay requirements under the Fair Labor Standards Act (FLSA).

The DOL raised the “standard salary level,” the FLSA’s threshold for overtime eligibility, from $455 to $684 per week (equivalent to a raise from $23,360 to $35,568 annually).

The DOL increased the salary threshold for “highly compensated employees” (HCEs) to be exempt from the FLSA from $100,000 to $107,432. No changes were made to the duties test.

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This page is for informational purposes only and does not constitute legal, tax or investment advice. You are encouraged to discuss the issues raised here with your legal, tax and other advisors before determining how the issues apply to your specific situations.

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