DOL Proposed New Requirements-Are You Ready?

By on April 1, 2016

Department of Labor Proposed New Requirement that Workers Earn at Least $50,440 per Year to Qualify for “White Collar” Exemptions. Are You Ready for this Change? 

The Department of Labor (DOL) has proposed to raise the salary level at which an employee can qualify for a “white-collar” exemption from overtime pay. The current requirement for this exemption is a salary of $23,660 per year. The proposed raise will bring the required salary level to an estimated $50,440 per year. It is thought this change will affect the exemption status for 4.6 million workers who will be requiring overtime payments after this change has taken place.

The final rule has not yet been announced, but this large change is coming soon. Employers need to pay close attention to these developments as this increase will require many to revisit their employees’ exemption status and will possibly lead to an increase in labor costs.

Click here to read the full Notice of Proposed Rulemaking: Overtime. 


Please contact  Donna Butler if you have any questions regarding how this will impact your business.

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.