Employee Compensation

court vacates increased salary threshold for EAP exemptions

A Reprieve for Employers: Court Vacates Increased Salary Levels for EAP Exemptions from the Minimum Wage and Overtime Requirements of FLSA

In a highly anticipated decision, a federal district court in Texas has vacated the Department of Labor’s (DOL’s) 2024 Final Rule increasing the salary threshold for application of the executive, administrative, and professional (EAP) exemptions from the minimum wage and overtime requirements of the Fair Labor Standards Act (FLSA).

A Reprieve for Employers: Court Vacates Increased Salary Levels for EAP Exemptions from the Minimum Wage and Overtime Requirements of FLSA Read More »

new federal overtime regulations

New Federal Regulations on Overtime

The U.S. Department of Labor released a final rule on April 23, 2024, raising the salary threshold to qualify for certain overtime exemptions under federal law. Most importantly, it significantly raises the minimum salary threshold for certain “white collar” workers—executives, professionals, and administrative personnel. If the rule takes effect, employers will need to raise those employees’ salaries or reclassify them as eligible for overtime.

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independent contractor classification rules

New Independent Contractor Classification Rule

On Jan. 9, the United States Department of Labor (DOL) released details regarding its final rule on the classification of independent contractors under the Fair Labor Standards Act (FLSA), and on Jan. 10, the DOL published the rule itself, available here. DOL indicated that the intent of the new regulation was to bring the regulatory framework in line with the FLSA itself, as well as judicial precedent interpreting the law.

Determining whether an individual should be classified as an independent contractor or an employee is relatively complex, and the proper analysis has been the subject of a decades-long debate by courts and administrative agencies, with various standards utilized and evolving over time.

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overtime exemptions for professional employees

Revising Overtime Exemptions for Executive, Administrative and Professional Employees

Just days before Labor Day, the U.S. Department of Labor (“DOL”) unveiled its Notice of Proposed Rulemaking (“NPRM”), aimed at revising the Fair Labor Standards Act’s overtime exemptions for executive, administrative, and professional employees. While the proposal—the cornerstone of which is a minimum salary increase to slightly more than $55,000 per year (up from $35,568)—is more measured than many anticipated, it could still have a massive impact across industries and commands employers’ attention.

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