In May of 2016 the Department of Labor (DOL) announced changes to the Fair Labor Standards Act of 1938 (FLSA), which sets the rules for how employers pay employees. The FLSA governs federal minimum wage levels and which jobs are eligible for overtime, and it defines exemptions from overtime for jobs where the duties meet specific criteria (called Duties Tests), and where the wages exceed certain thresholds.
The DOL raised the new minimum salary level for exempt positions from the current $455 per week ($23,660 per year) to a level of $913 per week ($47,476 per year) and for the first time planned to automatically update the salary threshold every three years based on inflation or wage growth. These changes were to go into effect on Dec. 1, 2016, but were put on hold.
We will update this webpage and post announcements on Inside Davidson when the government releases final rules.
For more information, please visit our FLSA Frequently Asked Questions page.