November 23, 2016 8:00 AM
A federal judge has blocked the upcoming Department of Labor (DOL) overtime rule instituted by the Obama Administration. The rule was set to take effect Dec. 1, 2016, increasing the salary threshold for overtime eligibility from $23,660 to $47,476. This would have made any workers under the threshold eligible for overtime pay for over 40 hours worked per week.
August 16, 2016 8:00 AM
Update: Federal judge blocks overtime rules a week before they take effect. Learn more in our new post.
As a small business owner, it is crucial that you stay current on the latest government regulations affecting your business and employees. Effective Dec. 1, 2016, the salary threshold for overtime eligibility will increase from $23,660 to $47,476. This means that anyone earning a salary under the new threshold will now be eligible for overtime pay for any time worked beyond 40 hours in a week.
The Department of Labor estimates there will be approximately 4.2 million workers affected who will now be eligible for overtime. Business owners must reevaluate their current workforce to meet the new requirements. The Department of Labor will automatically update the salary threshold every 3 years moving forward to match the 40th percentile of earnings of full-time salaried workers in the lowest-wage Census Region.
July 7, 2015 8:00 AM
A couple of weeks ago, prefaced by an op-ed piece written by President Obama, the Department of Labor issued new directives on overtime rules. As with most government regulations, however good the intention, the result on small business owners will be a creation of “additional costs and record-keeping headaches” according to the National Federation of Independent Business (NFIB).