05/10/2024
Are your salaried employees about to become eligible for overtime? The United States Department of Labor’s Wage and Hour Division (DOL) has announced scheduled increases to the minimum salary threshold for overtime exemptions under the Fair Labor Standards Act. The current salary threshold of $684 per week ($35,568 annualized) will increase to $844 per week ($43,888 annualized) on July 1, 2024, and again to $1,128 per week ($58,656 annualized) on Jan. 1, 2025. Employees below these thresholds will become eligible for overtime, paid 1.5 times their regular rate for every hour worked in excess of 40 in their work week. Expected to affect about 4 million salaried workers in the U.S., these changes will have tremendous impacts upon employers who will need to adjust budgets, manage workloads, and align employees to the new structure. So, how can employers prepare for this change? HR Fit can help employers understand the impacts, weigh the options, and develop a strategy that fits their needs. Learn more about our Strategic HR Services and contact us today.
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