On Sept. 27, the DOL issued a final rule on overtime, “Defining and Delimiting the Exemptions for Executive, Administrative, Professional, Outside Sales and Computer Employees,” which updates and revises the “white-collar” overtime exemption regulations under the Fair Labor Standards Act. The final rule goes into effect on Jan. 1, 2020.
During this webinar, Maury Baskin and Tammy McCutchen will discuss the key provisions of the final overtime rule and how employers can prepare now to comply with the Jan. 1, 2020, effective date.
Learn about the following:
- The new minimum salary level for exemption
- The 10% rule
- The highly compensated level
- No automatic updates or changes to the duties test
- Complying with the new rule
The final rule increases the minimum salary level for exemption from $455 per week ($23,660 annualized) to $684 per week ($35,568 annualized). This level is lower than the threshold of $47,476 that was included in the Obama-era 2016 overtime final rule. In November 2016 a federal court blocked the Obama rule from taking effect nationwide.
In addition, the final rule increases from $100,000 to $107,432 the total annual compensation required for employees to qualify under the shorter highly compensated test.
Further, the rule allows employers to use commissions, bonuses, and other non-discretionary incentives that are paid at least annually to satisfy up to 10% of the standard salary level ($3,556.80).
WHO SHOULD ATTEND:
- HR Managers
- Chapter Executives
- ABC Attorneys
About the Speakers:
Maury Baskin serves as ABC’s general counsel and is a shareholder in the Washington, D.C., office of Littler Mendelson and Littler’s Workplace Policy Institute. He is one of the chief legal advocates for the rights of employers on labor issues throughout the country.
Tammy McCutchen is a principal in Littler Mendelson’s Washington, D.C., office and managing director for ComplianceHR. A former administrator of the U.S. Department of Labor’s Wage and Hour Division, she counsels businesses on wage-hour compliance, represents employers during DOL investigations and represents business associations on labor policy issues.