DOL Finally Proposes New Overtime Salary to $55,068! What Do Employers Need to Do Mitigate All the Changes and Still Comply?
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Date
Oct 17, 2023 -
Time
13:00 PM EST -
Duration
90 Min
Overview:
August 30,
2023-Employers may need to adjust their pay practices now that the Labor
Department has issued its long-anticipated proposal to raise the salary
threshold for exempt employees – a change that could make more of your
employees eligible for overtime premiums. The U.S. Department of Labor (DOL)
announced today that it intends to significantly raise the exempt salary
threshold from $684 per week to $1,059, meaning employees would need to earn
$55,068 or more per year to be exempt from OT pay. An estimated 3.6 million
U.S. workers would become eligible for overtime pay under the proposed rule.
Although it’s just a
proposal at this point, we expect the DOL to prioritize this rule and move
swiftly through the notice and comment period. In the meantime, you should
start preparing for what could be big changes to your compensation plans.
DOL’s proposal also
would increase the total annual compensation requirement for highly compensated
employees to $143,988 per year. The proposal outlines an automatic update
provision for future overtime thresholds beyond what is included in the
proposed rule and would not make changes to the FLSA’s “duties test” for
determining overtime eligibility. Once published in the Federal Register, the
proposal will be subject to a 60-day public comment period.
Once the comment
period closes, the agency is required to take each comment into account and
then determine whether to adjust the proposed rule before it becomes final.
This course could take several months, although we expect the DOL to fast track
the process given the importance of this rule. The agency will then issue a
final rule taking the comments into account, and it will then take effect
within a few weeks of the final proposal being issued.
Session Highlight:
· Learn what the new DOL
proposal includes and who would it impact more.
· Learn how long Employers have to make changes.
· Learn how Employers can proactively impact the proposed decision.
· Learn what communication details can effective and positively impact newly non-exempt employees.
· Learn how job responsibilities determine classification not job titles.
· Learn how to comply without the risk of a decrease in staff morale, increase in turnover, decrease in retention and removing benefits.
· Learn how the automatic updates in salary threshold according to the consumer price index (CPI) can impact ongoing budget losses.
· Learn how employers should confirm the duties tests before making negative decisions.
· Learn how the Executive Exemption, Administrative Exemption, and Professional Exemptions can confuse the Employers judgement on exempt and non exempt employees.
· Learn how Employers can use the Fair Labor Standards Act to prepare for identifying the proper compliance guidelines.
· Learn how timekeeping procedures, off the clock work policies and recordkeeping, and overtime approval policies can impact compliance of FLSA requirements.
· Learn how Employers need to determine proper classification of employees or risk fines and penalties.
· Learn what resources Employers can use to mitigate the negative response by employees.
· Learn what Employers need to do to determine how state overtime regulations impacts federal regulations and which supersedes.
Why Should You Attend:
Although the
announcement indicates a proposal, Employers should learn that the previous
overtime increase created severe complications regarding communications to
impacted employees, a decrease in staff morale for those who believed that it
was a demotion, loss of benefits when they decided to reduce hours and costs,
challenges with job descriptions and expected impact in Employer’s budget. It
led to an increase in turnover and decrease in retention.
Employers can take the
time to review and prepare for setting guidelines on how they communicate the
impact to employees, make effective decisions on how to cut costs without
reducing employee hours or benefits and develop a training program for managers
and newly non-exempt employees.
Benefits For Attending:
This training will provide you overall information regarding the DOL new overtime salary threshold that will legally impact the workplace before violation that can impact employers in the term of huge fines. In addition, each training I offer free customized compliance tools for all attendees. Also get:
· SHRM Recertification
& HRCI PDU Credits
· Free customized compliance tools in the form of guides, templates, policies, toolkits
· Additional HR Compliance Supplemental Slides
· Free answer to all questions even after the training ends
Who Should Attend:
· All Employers
· Business Owners
· Company Leadership
· Compliance Professionals
· Payroll Professionals
· HR Professionals
· Managers/Supervisors
· Employers in all industries
· Office Managers
Ask your question directly
from our expert during the Q&A session following the live event.
Margie Faulk is a senior level human resources professional with over 15 years of HR management and compliance experience. A current Compliance Advisor for HR Compliance Solutions, LLC, Margie, has worked as an HR Compliance advisor for major corporations and small businesses in the small, large, private, public, Non-profit sectors and International compliance. Margie has provided small to large businesses with risk management strategies that protect companies and reduces potential workplace fines and penalties from violation of employment regulations. Margie is bilingual (Spanish) fluent and Bi-cultural.
Margie’s area of expertise includes Criminal Background Screening Policies and auditing, I-9 document correction and storage compliance, Immigration compliance, employee handbook development, policy development, sexual harassment investigations/certified training, SOX regulations, payroll compliance, compliance consulting, monitoring US-based federal, state and local regulations, employee relations issues, internal investigations, HR management, compliance consulting, internal/external audits, and performance management.
Margie holds professional human resources certification (PHR) from the HR Certification Institution (HRCI) and SHRM-CP certification from the Society for Human Resources Management. Margie is a member of the Society of Corporate Compliance & Ethics (SCCE).
1.5 SHRM-CP & 1.5 HRCI Credits