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Don’t Forget Impending Federal OT Rule Changes

Posted by Frank Steinberg | Sep 22, 2016 | 0 Comments

December 1, 2016 is a little more than two months away.  That's the date when long-awaited changes to federal overtime rules will take effect.  Businesses need to be prepared.

The Department of Labor's press release summarizes the changes.

The new Rule is aimed primarily on the standards under which Executive, Administrative, and Professional employees can be treated as exempt from the payment of OT.  The standard weekly salary level is raised from $455 to $913.  The total annual compensation requirement increases from $100,000 to $134,004. In the future, annual updates to these numbers will take place every three years, beginning in 2020.

The net effect is that, beginning on December 1, about 4.2 million more employees are expected to be eligible for overtime compensation.  Employers, be ready.

About the Author

Frank Steinberg

Frank is the founder and principal of Steinberg Law, LLC. A Jersey boy born and bred, he focuses on employment litigation and counseling, business litigation,  and aviation law. Following law school and a clerkship in the federal district court Frank spent his early career with large litigation ...


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