The following article first appeared in the Insights section of Littler Mendelson’s website. It is reposted here with permission.
On May 14, 2026, the Wage and Hour Division of the U.S. Department of Labor announced the publication of a technical amendment designed to unwind a 2024 regulation and restore the 2019 regulation establishing the salary level needed to qualify for the Fair Labor Standards Act “white collar” overtime exemptions.
In 2024, DOL published a final rule substantially raising the salary thresholds needed to qualify as an executive, administrative, and/or professional employee exempt from the FLSA’s minimum wage and overtime requirements.
That rule was vacated by the U.S. District Court for the Eastern District of Texas in November 2024.
While DOL initially appealed that court order to the U.S. Court of Appeals for the Fifth Circuit, the agency stipulated to the dismissal of that appeal earlier this month in anticipation of WHD’s formal abandonment of the 2024 rule following the change in administration.
The technical amendment will formally roll back the 2024 salary thresholds for these white collar exemptions and restore the 2019 levels as follows:
| Exemption | 2024 Level (Vacated and Now Abandoned) | 2026 Level (Restoring 2019 Level) |
| Executive, Administrative, Professional | $43,888/year or $844/week | $35,568/year or $684/week |
| Highly Compensated Employee | $132,964/year | $107,432/year |
Practically, DOL’s amendment does not alter WHD’s enforcement...
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