On May 18, 2016, the U.S. Department of Labor (“DOL”) announced the publication of a final rule that amends the “white collar” overtime exemptions to significantly increase the number of employees eligible for overtime pay. The final rule will go into effect on December 1, 2016.
The final rule provides for the following changes to the executive, administrative, and professional exemptions:
- The salary threshold for the executive, administrative, and professional exemptions will increase from $23,660 ($455 per week) to $47,476 ($913 per week).
- The total annual compensation requirement for “highly compensated employees” subject to a minimal duties test will increase