Professional Service Agreement

DOL Announces Revised Overtime Rule Will be Published in March 2019

October 22, 2018

Changes to the White Collar Exemptions under the Fair Labor Standards Act (FLSA) are coming slowly, very slowly. Back in May 2016, under the Obama Administration, the Department of Labor (DOL) issued a Final Rule updating the regulations for the FLSA’s minimum wage and overtime executive, administrative, and professional exemptions. That rule would, among other things, have increased the minimum salary required for most employees within these exemptions from $455 a week ($23,660 a year) to $913 a week ($47,476 a year). In November 2016, a federal judge in Texas enjoined that regulation just nine days before it was to go into effect. In July 2017, the DOL issued a Request for Information seeking public comment on a whole series of questions relating to whether and how the DOL should update the existing regulations. The DOL has now indicated that it will issue a Notice of Proposed Rulemaking regarding these exemption regulations in March 2019. SESCO has a long history of ensuring that employers are compliant with federal and state wage and hour requirements; if employers have any questions or concerns about their pay practices, we recommend they contact us to ensure compliance.