June 11, 2024
What to do When Salaried Employees Fall Below the New Overtime Threshold
A college administrative professional makes an annual salary of $43,000. Because her compensation exceeds $35,568 per year, she is not eligible to earn overtime pay under the Fair Labor Standards Act’s regulations as amended in 2019. That will change in less than one month, however, thanks to a recent announcement by the U.S. Department of Labor. The agency published its final rule updating overtime pay eligibility, which increases the FLSA’s minimum annual salary threshold via a pair of changes set to take effect over the next several months. July 1 marks the first increase from the current minimum of $35,568 per year to $43,888 per year.