Commentators have opined that there might be more than just money involved in the next DOL proposal. To be considered "exempt," these employees must generally satisfy three tests: Note: There are also exemptions for outside sales and computer professional employees. Look for a (proposed) large increase in that threshold amount. Box sizes start from 300mm (D) x 100mm (W) x 95mm (H) and range all the way up to 600mm (D) x 300mm (W) x 95mm (H). Your state government may also have further requirements when it comes to paying overtime. They must also satisfy the other exemption tests. Federal law establishes a minimum salary of $684 per week for the professional exemption. The predetermined amount cannot be reduced because of variations in the quality or quantity of the employees work. div#block-eoguidanceviewheader .dol-alerts p {padding: 0;margin: 0;} Homebase HR and Compliance gives you live access to certified HR experts who can review your existing policies and answer any questions you may have. In other words, misclassification is never an issue to be taken lightly. "The question is, by how much? .manual-search ul.usa-list li {max-width:100%;} They should also develop plans and procedures to manage or limit overtime hours worked by newly nonexempt workers, he suggested. If you have questions about your particular situation, please consult a lawyer, CPA, or other appropriate professional advisor or agency. Your session has expired. This fact sheet provides general information concerning the application of the overtime pay provisions of the FLSA . Find the latest news and members-only resources that can help employers navigate in an uncertain economy. Overtime pay rate must be at least 1.5 times the employee's regular rate of pay. When a state law sets its minimum Federal child labor provisions authorized by the FLSA ensure that young employees are able to work in a safe environment that does not jeopardize their health, well-being, or educational opportunities. To request permission for specific items, click on the reuse permissions button on the page where you find the item. Currently, the This new overtime rule meant that 1.3 million workers who did not previously have overtime eligibility would now be non-exempt. Salary level test, which refers to the actual monetary amount paid to the employee; Salary basis test, which simply means the worker is paid a set salary as opposed to an hourly rate; and. Some, however, just do away with a state minimum entirely. p.usa-alert__text {margin-bottom:0!important;} Being paid on a salary basis means an employee regularly receives a predetermined amount of compensation each pay period on a weekly, or less frequent, basis. The proposed minimum salary level for the Fair Labor Standards Act's executive, administrative and professional exemptions thus could be $913 per week or "Employees and employers have been waiting for an overtime salary adjustment for over 10 years," said Nancy Hammer, SHRM's vice president of regulatory and judicial engagement. A misclassification of a worker may have significant state and federal monetary consequences. WebSalary Level Test Employees who earn an annual income of $23,600 or a weekly wage of $455 are mostly non-exempt. If they are paid less or do not meet the tests, they must be paid 1 1/2 times their regular hourly rate for hours worked in excess of 40 in a workweek. [CDATA[/* >