As current Department of Labor (DOL) regulations stand, most white-collar employees, i.e. executives (supervisors), administrative employees and professionals, are exempt and need not be paid overtime for workweeks in which they work more than 40 hours if they satisfy the following two conditions: (1) they must perform what the DOL has defined as “exempt” duties and (2) they must receive a minimum guaranteed salary of at least $455 per week or approximately $23,660 annually.
However, a final rule recently announced by the DOL changes the minimum salary requirement. The final overtime rule, which takes effect January 1, 2020, is great news to exempt, white-collar employees as it is estimated to extend overtime protections to more than 1.3 million American workers who are not currently eligible for overtime under federal law.
According to the final overtime rule, the DOL is:
Meeting the salary threshold does not automatically make an employee exempt from overtime pay; the employee’s job duties also must primarily involve executive, administrative or professional duties as defined by the regulations.
The DOL information release on its final overtime rule can be found here.
If you find yourself in a situation where you are not paid the lawfully required overtime pay and/or are misclassified as “exempt,” you should consult with attorneys at Lebau & Neuworth, who are experienced in litigating wage-and-hour violation cases. Contact us at 888-456-2529 or lebauneuworth.com/contact-us.