Final FLSA Overtime Rules Published: Now What?

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Doherty and Owatonna Chamber hosted exclusive employer presentation

On Tuesday, October 18, 2016, Doherty | The Employment Experts and the Owatonna Area Chamber of Commerce co-orchestrated a presentation regarding the final published FLSA overtime rules. The event was held at Viracon in Owatonna, MN. Our guest speaker, Thomas R. Revnew, reviewed key regulations and facilitated a lively conversation with approximately 30 attendees, representing 20 local businesses/organizations.

On May 18, 2016, the Obama administration announced the publication of the U.S. Department of Labor’s final overtime rule under the Fair Labor Standards Act. The final rule, which will become effective Dec. 1, 2016:

  • Raises the standard salary level for exempt employees from $455 per week to $913 per week, and from $23,660 to $47,476 annually
  • Allows up to 10% of the standard salary level to come from nondiscretionary bonuses, incentive payments, and commissions, paid quarterly or more frequently
  • Raises the total annual compensation requirement for highly compensated employees (HCEs) from $100,000 to $134,004
  • Updates the requisite salary levels every three years, maintaining the standard salary level at the 40th percentile of full-time salaried workers in the lowest-wage census region, and the HCE total annual compensation level at the 90th percentile of full-time salaried workers nationally
  • Does not change the so-called white collar exemptions' duties test

Tom Revnew, a shareholder with the law firm of Seaton, Peters & Revnew, presented the topic and advised steps on what employers can do to prepare. Here is a copy of the presentation he shared.

Click here for Mr. Revnew's full bio and contact details.

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