Burr Alert: DOL Will Require Overtime for Employees Who Earn Less Than $50,000

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In a much-anticipated move, on June 30, 2015, the Department of Labor issued a proposed rule requiring a weekly salary of at least $970.00, or $50,440.00 annually, for employees to be exempt from the Fair Labor Standards Act's (FLSA's) overtime provisions under the common "white collar exemptions." Designed to adjust the original 1975 salary requirements for inflation, the proposed rule more than doubles the current salary requirement of $455.00 per week or $23,660.00 per year. The FLSA requires employers to pay employees who do not meet an exemption 1.5 times their regular rate for hours worked over 40 in a workweek.

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