Former Wage and Hour Division Administrator Tammy McCutchen updated attendees of the Society for Human Resource Management's (SHRM's) Employment Law & Compliance Conference about the salary threshold for white-collar exemptions in the proposed overtime rule due out soon. How high might it go?
Speaking on March 29 in Washington, D.C., McCutchen predicted that the anticipated proposed overtime rule would be issued in May rather than April, as the U.S. Department of Labor (DOL) originally forecast in its fall 2021 regulatory agenda. She noted that six 90-minute meetings have been scheduled with stakeholders from March 8 to April 6: three meetings with unions and worker advocates, and three with industry groups, including one with SHRM.
While the primary goal of the rule is to update the minimum salary-level requirement for white-collar exemptions, changes to the duties tests also will be considered, said McCutchen, who is strategic advisor for New York City-based ComplianceHR.
The Obama administration's 2016 overtime rule, which a federal court in Texas held to be invalid, set the salary threshold at $47,467 per year. Workers who made less than that amount would have been eligible for overtime pay. If that amount were adjusted for inflation, it would now be $56,836 annually, McCutchen noted.
The Trump administration's 2020 overtime rule raised the salary threshold to $35,568 per year. Adjusted for inflation, that amount today would be $42,594 annually.
At the end of last...
Indian-origin urologist Jitesh Patel will have to pay $14 million to settle allegations against him that he defrauded healthcare programs by performing unnecessary procedures on his patients. An e...