DOL increases salary minimum to $47,476
Get ready! If nothing changes before December 1, 2016, the new overtime rule doubles the threshold for workers who will be eligible for overtime if they exceed 40 hours per week. The new salary cap will essentially double from $23,600 to $47,476.
The Obama administration claims this will help balance the scales for middle class workers who have been denied overtime for too long. You can read about it here.
Bottom line is that anyone who is earning less than $47,476 will be required to be switched to hourly, and paid overtime for more than 40 hours/week, or receive a pay increase by December 1, 2016.
We cannot count on a new President overturning this rule in the November election. There is some light at the end of the tunnel. Congress could employ the Congressional Review Act or pass the Workplace Advancement and Opportunity Act, which would roll back the new rule, but each effort would be met with a presidential veto.
If nothing changes, how would this rule impact your business? I’d like to hear from you. Click reply to this email or contact me directly at scott@fountainhillschamber.com.
We will be monitoring this situation and discussing in the Chamber’s public policy committee in the coming months.