After more than three years of debate, negotiation and lawsuits, the U.S. Department of Labor's new mandatory overtime pay rules go into effect Jan. 1. The rule extends overtime pay to an estimated 1.3 million U.S. workers.
Under previous rules, workers who earn a salary instead of an hourly wage are entitled to overtime pay if they earn less than $23,660 a year. The new rule raises the threshold to $35,568, below the threshold of $47,000 first introduced in 2016 under the Obama administration. Workers who are not exempt must receive at least one and a half times their regular pay after working 40 hours a week.
Quite a lot has been going on:
Giddy-Up, Employers! The New Overtime Rule Is Comin' In 2020
As an employer, you know all too well how confusing overtime rules can be. And starting in 2020, they're going to get just a little bit more complicated.
So giddy-up for the new changes, my fellow employers. Read on to discover how the new overtime rule will impact your business and what changes your company might have to make to comply with the new rule.
Starting January 1, 2020, the FLSA salary threshold will be increasing to $35,568 annually, or $684 weekly.
State Laws to Take On Gig Workers, Wages, Overtime in 2020
The new year will bring no shortage of state employment law changes with California reclassifying thousands of gig workers as employees, minimum wages rising in half the states, and salary thresholds climbing for white-collar overtime pay exemptions.
States and cities also could explore creating portable benefits funds so workers with multiple employers have access to retirement, paid time off, and other benefits.
Beyond worker classification and related gig economy issues, the year ahead also is likely to bring state law changes affecting noncompetition clauses, workplace discrimination, minimum wage, and overtime.
New rule gives overtime pay to 1.3 million workers | KSNT News
TOPEKA, Kan. (KSNT) – The U.S. Department of Labor’s new rule will make 1.3 million more Americans eligible for overtime pay, starting Jan. 1, under the Fair Labor Standards Act.
Now, employees that earn a salary less than $684 per week ($35,569 per year), are eligible for overtime pay.
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This rule was originally planned to go into effect in 2016, before a federal judge in the U.S. District Court for the Eastern District of Texas invalidated it.
Not to change the topic here:
61K workers soon eligible for overtime pay in Pennsylvania - lehighvalleylive.com
An estimated 61,000 Pennsylvania workers who previously were unable to collect overtime soon will be eligible to receive the payments.
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The rules update the earnings thresholds necessary to exempt executive, administrative and professional employees from the Fair Labor Standards Act's (FLSA) minimum wage and overtime pay requirements. The rules also allow employers to count a portion of certain bonuses/commissions towards meeting the salary level.
Minimum wage increase means overtime pay for more Maine workers - CentralMaine.com
About 1,600 salaried workers in Maine will be newly eligible for overtime pay under regulations that will take effect Wednesday.
Federal and state laws require that salaried administrative workers who earn less than a set threshold – $33,000 under current Maine law – be paid overtime for hours they work in excess of 40 hours a week. But that threshold is increasing with the new year – in Maine’s case to $36,000 a year. The rules affect white-collar jobs and also require that workers meet a duties test to make sure that they qualify as administrative, professional or other job classifications under the law.
New overtime rule could affect up to 20,000 Arizona workers in new year
As many as 20,000 Arizona workers could be guaranteed overtime pay when they do overtime work under a Labor Department rule that took effect Jan. 1, the first change to the rule since 2004.
But critics say the change does not go far enough to protect workers, noting that it would affect only a fraction of those who would have been covered by an Obama administration change that was blocked in court.
She said the new rule is “right in the range of what the U.S. Chamber of Commerce asked for.”
Happening on Twitter
"It is staggering how much the United States is more expensive." For almost every common medical service, patient… https://t.co/9PRGhnVDwc nytimes (from New York City) Fri Dec 27 18:20:04 +0000 2019
Paying CEOs more does not help their business. In a 10-year study, companies with CEOs making below-average pay ha… https://t.co/xG4w7K36ub DanPriceSeattle (from Seattle, WA) Fri Dec 27 17:50:03 +0000 2019
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