NAICU Washington Update

Labor Department Announces Listening Sessions on Overtime Rule

September 11, 2018

The U.S. Department of Labor’s (DOL) Wage and Hour Division announced it is holding a series of listening sessions to gather public views on updating the salary threshold for white collar employees under the Fair Labor Standards Act, also known as the overtime rule.  Five sessions will be held in September at locations around the country:
  • Atlanta, GA – September 7
  • Seattle, WA – September 11
  • Kansas City, MO – September 13
  • Denver, CO – September 14
  • Providence, RI – September 24
The Department has created a webpage with time and location information and a link to register for the sessions, which are free.

The announcement asks those who participate in the listening sessions to focus on the following four questions during their presentations:
  1. What is the appropriate salary level (or range of salary levels) above which the overtime exemptions may apply?
  2. What benefits and costs to employees and employers might accompany an increased salary level?
  3. What is the best methodology to determine an updated salary level?
  4. Should the department more regularly update the standard salary level and the total-annual-compensation level for highly compensated employees?
The DOL’s announcement follows action it took last year when it issued a Request for Information (RFI) on the Obama Administration’s overtime rule. On September 25, 2017, NAICU joined CUPA-HR and 19 other higher education groups in filing comments with DOL in response to that request.
While the Obama Administration’s overtime rule would have been extremely problematic for many small colleges, it ultimately did not take effect prior to President Obama leaving office.  The current Administration is renewing the process and will likely adjust the long overdue overtime salary threshold, but also implement a rule that is more in line with the budgets, staffing, and other needs of small business, and nonprofits – including colleges and universities.

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