States, business groups file suits to halt DOL’s overtime regs

September 21, 2016 - by: HR Hero Alerts 0 COMMENTS

by Kate McGovern Tornone

Twenty-one states and several employer interest groups filed lawsuits against the U.S. Department of Labor (DOL) on September 20 alleging the agency’s new overtime regulations exceed its authority. The suits, however, are not expected to have any success in the near future, and employers would be well served to be in compliance by the December 1, 2016, deadline, according to one expert.

Background

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Employers need to be ready for new overtime rule by December 1

May 18, 2016 - by: Tammy Binford 2 COMMENTS

The flurry of speculation is finally over. The White House and the U.S. Department of Labor (DOL) have released the new final rule governing which workers must be paid overtime. The changes aren’t quite as drastic as what employers were preparing for based on the contents of the proposed rule made public last summer, but the final rule more than doubles the amount workers must earn to qualify as exempt from the law’s overtime pay requirement.  3D Man Overtime Clock

The changes mean some 4.2 million more employees across the country, according to White House estimates, will be eligible to earn overtime pay when the new final rule takes effect on December 1.

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DOL poised to release new overtime final rule

May 17, 2016 - by: Tammy Binford 0 COMMENTS

The long-awaited final rule making millions more employees eligible to earn overtime pay is likely to be released on May 18, and if its contents match recent reports, employers and employees alike are in for big changes.

The Politico news organization reports that Vice President Joe Biden, Labor Secretary Tom Perez, and Ohio Senator Sherrod Brown will announce the rule at an event in Columbus, Ohio, on May 18. The report says the rule places the minimum salary for an employee to maintain exempt status at $47,500, up from the current rule’s floor of $455 a week ($23,660 a year).

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As new overtime rule nears, questions surface about salary threshold

May 03, 2016 - by: Tammy Binford 3 COMMENTS

by Tammy Binford

As time winds down for the U.S. Department of Labor (DOL) to release its final rule changing who is eligible to collect overtime pay, reports are surfacing that the salary threshold may be somewhat lower than the figure originally proposed but still considerably higher than the level in the current rule.  OvertimeCalcultions

The DOL released a proposed rule in June 2015 that more than doubled the salary requirement for workers to be exempt from the Fair Labor Standards Act’s (FLSA) overtime requirements. Under the current regulations, employees are exempt from the FLSA if they are paid a predetermined fixed salary of at least $455 a week ($23,660 a year) and if they perform certain executive, administrative, professional, computer, or outside sales duties.

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Supreme Court ruling eases the way for certain class actions

March 22, 2016 - by: Tammy Binford 0 COMMENTS

The U.S. Supreme Court ruled March 22 that the use of statistical evidence to create a class action lawsuit against Tyson Foods was proper, an action that may make it easier for employees in certain situations to band together to sue their employers rather than suing as individuals.

The Court ruled 6-2 in Tyson Foods v. Bouaphakeo that the lower court was correct in allowing employees to use a study performed by an industrial relations expert to establish a class of workers at a Tyson pork processing plant in Storm Lake, Iowa.

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New FLSA overtime rule a step closer to reality

March 16, 2016 - by: Tammy Binford 0 COMMENTS

The U.S. Department of Labor’s (DOL) proposed rule greatly expanding the number of workers eligible for overtime pay has been submitted to the Office of Management and Budget (OMB) for review, a necessary step before the rule can be finalized.

The new rule is expected to make nearly five million workers lose their exempt status under the Fair Labor Standards Act (FLSA), according to the DOL, meaning they would be eligible for overtime pay at no less than 1½ times their normal rate of pay for all hours worked over 40 in a workweek.

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New joint-employer guidance puts employers ‘on notice’

January 25, 2016 - by: Tammy Binford 0 COMMENTS

The U.S. Department of Labor’s (DOL) new guidance on joint employment means employers must think ahead when they find themselves in relationships that may fit the definition of “joint employment.”  DOL_logo

In a January 20 post on his blog, David Weil, administrator of the DOL’s Wage and Hour Division (WHD), announced new guidance related to joint employment under the Fair Labor Standards Act (FLSA) and the Migrant and Seasonal Agricultural Worker Protection Act. Weil said the laws share the same definition of “employment,” which was written “to have as broad an application as possible.”

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Enforcement of DOL home healthcare rule starts November 12

by Judith E. Kramer

November 12 marks the date the U.S. Department of Labor (DOL) will begin enforcing regulations extending the minimum wage and overtime protections of the Fair Labor Standards Act (FLSA) to almost two million home healthcare workers who are employed by third parties and provide either companionship services or live-in care for the elderly, ill, or disabled.

The DOL issued the regulations on October 1, 2013, but a federal district court held them invalid. Then the U.S. Court of Appeals for the District of Columbia Circuit disagreed, holding on August 21, 2015, that they are a reasonable interpretation of the FLSA.

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Appeals court revives new homecare worker rules on minimum wage, overtime

August 25, 2015 - by: Tammy Binford 0 COMMENTS

A new rule from the U.S. Department of Labor (DOL) requiring minimum wage and overtime pay for many homecare workers is set to take effect after a ruling from the U.S. Court of Appeals for the District of Columbia Circuit.

The DOL instituted a rule in 2013 that removed the domestic service exemption for homecare workers hired by third-party agencies. Previously, workers providing companionship or live-in care for the elderly and disabled were exempt from the minimum wage and overtime requirements of the Fair Labor Standards Act (FLSA) even if they were employed by a third party.

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Time running out to make comments on proposed overtime rule

August 03, 2015 - by: Tammy Binford 0 COMMENTS

Employers wishing to make their views known on a proposed rule aimed at making nearly five million more workers exempt from the Fair Labor Standards Act (FLSA) and therefore eligible for overtime pay have through September 4 to submit comments.

The U.S. Department of Labor (DOL) released a proposed rule on July 6 that would guarantee overtime pay to most salaried white-collar workers earning less than an estimated $970 a week ($50,440 a year) in 2016. Currently, the salary threshold for an employee to be exempt from the FLSA is $455 a week ($23,660 a year). The salary threshold was last revised in 2004.

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