New Overtime Regulations Go Into Effect on December 1, 2016October 2016

As a reminder, and as reported in prior updates, the new federal overtime regulations regarding the “white collar exemptions” go into effect on December 1, 2016. Put simply, the new regulations increase the minimum salary that employers must pay administrative, executive and professional employees in order for them to remain exempt (i.e., not entitled to overtime). Specifically, the minimum salary is being raised from $455 per week ($23,660 per year) to $913 per week ($47,476 per year). In other words, as of December 1, 2016, administrative, executive and professional employees who make less than $47,476 per year will no longer be exempt and must be paid overtime.

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