Federal Court Invalidates DoL’s Proposed Overtime Rule

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In November 2016, a federal district court in Texas granted a preliminary injunction against the imposition of the Department of Labor’s effort to change the white collar exemptions to overtime rules. The rule would have effectively doubled the salary requirement to maintain an exemption: from $455 per week to $913 per week.

The DoL appealed the injunction, but on August 31, 2017, it lost its appeal on summary judgment. Further, and more importantly,

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United States House Passes Comp Time Bill 1180

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This week, the United States House of Representatives passed House Bill 1180, which would allow private employers to offer employees compensatory time off (“comp time”) in lieu of paying them overtime for hours worked in excess of forty in any one workweek. Under this bill, comp time could be accrued at 1.5 hours for each hour of overtime worked in a workweek. Most public sector employees have had this benefit since 1985.

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New Overtime Rules Released

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This morning, the Department of Labor released its final rule regarding the White Collar Exemptions.   I am still working through the over 500 page document but post now to share a few of the most important details.

The new rule is expected to affect over 4 million workers in the United States, who will now be eligible for overtime unless their compensation is restructured.  The rule goes into effect on December 1,

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Start Your Overtime Exemption Analyses Now!

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On July 1, 2015, I informed you that the Department of Labor was initiating a change to the white collar exemption regulations and beginning a public comment period.  As the DoL reviews tens of thousands of comments on its proposed changes to the White Collar Exemptions, employers should begin analyzing their exempt positions to determine whether they will still be exempt from overtime after the rule is inevitably issued.

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Salaried Means No Overtime, Right? Ask Halliburton

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The Fair Labor Standards Act (“FLSA”) requires employers to pay most workers minimum wage and overtime to nonexempt workers for work in excess of 40 hours per workweek. Overtime must be paid unless the worker is defined as “exempt” under the Act. Many employers believe that simply paying employees on a salary basis makes them exempt from overtime, but several more factors affect the classification than whether you pay employees a salary or pay them hourly.

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The DoL Proposes Changes to the “White Collar Exemptions”

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Yesterday, on June 30, 2015, the U.S. Department of Labor released proposed rule changes that would affect whether certain individuals are entitled to overtime under the Fair Labor Standards Act.  The most used exemptions from overtime are referred to as the “white collar exemptions” and exempt many managers, administrators, and professionals from entitlement to overtime if they are paid on a salary basis and at least certain weekly amounts.  The current weekly salary threshhold that must be met to qualify for these exemptions,

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White House Issues Memorandum to DoL

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As expected, on March 13, 2014, the President issued a memorandum to the Department of Labor, directing the agency to revamp regulations related to overtime exemptions.  In part, the President directed the DoL to:

“propose revisions to modernize and streamline the existing overtime regulations. In doing so, you shall consider how the regulations could be revised to update existing protections consistent with the intent of the Act; address the changing nature of the workplace;

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Expect Obama to Push for Expanded Overtime

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Today, President Obama is expected to direct the Department of Labor to use its rule-making authority to expand overtime coverage to more American workers.  Under overtime exemptions executive, professional, and administrative workers who earn more than $455 per week may be exempt from overtime pay if they meet certain job-related criteria.  

President Obama will likely ask the DoL to increase that weekly threshold which would increase the number of workers entitled to overtime pay.

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DoL Releases 2012 FMLA Survey Results on the Act’s 20th Anniversary

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The following is excerpted from the survey results.  The full reports can be found herehere, and here.

In 2012, Abt Associates surveyed 1,812 worksites and 2,852 employees about experiences with family and medical leave.  The worksite survey includes both sites that are covered by the Family and Medical Leave Act (FMLA) and those that are not covered.  The employee survey includes employees that took leave,

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