On June 30, 2015 the Department of Labor issued its long-anticipated Notice of Proposed Rulemaking (NPR) updating the Fair Labor Standards Act (FLSA) regulations governing white-collar employees.
The FLSA requires that all non-exempt employees be paid time and a half their regular rate of pay for all hours worked over forty in a work week. The FLSA provides specific exemptions to this overtime requirement for executive, administrative, professional, outside sales and some computer employees. The two key components of the exemptions are that: 1. the employee must be paid on a salary basis of at least a minimum amount, and 2. the employee’s job must generally be comprised of exempt duties. Thus, we have traditionally referred to the “salary” and “duties” tests when discussing white collar exemptions. Both tests must generally be satisfied in order for an employee to be classified as exempt. Continue reading “Get Ready the Minimum Required Salary for an Exempt Employee is About to Double”