Earlier this year the Department of Labor issued a proposed overtime rule. It would establish new salary thresholds for the “white collar” exemptions to the overtime payment requirements under the Fair Labor Standards Act (FLSA).
Under the proposed overtime rule, the salary threshold would increase from $23,660 to $35,308 per year.
The proposed rule would also increase the salary threshold for highly compensated individuals from $100,000 to $147,414 per year.
If passed, the new overtime rule would affect more than 1 million workers in the United States.
Employers who fail to implement overtime changes could be subject to lawsuits, criminal charges, fines and restrictions in commerce.
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