The Center for Workplace Compliance (CWC), our affiliated nonprofit membership association, has written new Talking Points to help CWC members educate their managers and supervisors about the 2024 revisions to the Labor Department’s white-collar overtime regulations. These updated Talking Points supersede the Talking Points that CWC prepared in 2019 when DOL last revised the regulations.
The new regulations increase the minimum salary threshold that employees must be paid to be considered exempt from overtime as an executive, administrative, or professional employee. DOL has created a process for adjusting the minimum salary level and the salary threshold for highly compensated employees automatically every three years.
To comply with the new regulations, employers may consider reclassifying employees from “exempt” to “nonexempt,” increasing salary levels, or restructuring jobs or departments.
Several lawsuits have been filed to challenge DOL’s revised rule, and a court could put the rule on hold while a suit is pending or issue a ruling that invalidates the rule. Nevertheless, employers must prepare to comply with the rule. The new requirements will take effect in two stages, with the first increase on July 1, 2024, and the second on January 1, 2025.
CWC members can read more here.