In November we notified our clients that the U.S. Department of Labor was proposing significant work rule changes to go into effect in 2016. Those proposed work rule changes have now been finalized leaving employers just six months to adjust pay practices to comply with the changes.
Effective December 1st of this year, if you have workers making less than $47,476 annualized ($913/week), they may be eligible for overtime when they work more than 40 hours during a week. Although this number is slightly lower than estimates based on the proposed rule issued last year, this still more than doubles the current minimum annualized salary of $23,660.
If you are vulnerable to this change (an estimated 70% of employers are), please feel free to contact us. We have a number of labor law attorneys that we can recommend to help you through the legal ramifications of the rule changes. We strongly urge you to prepare now for the upcoming changes. December will be here before we know it!