Exempt

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On July 20, 2020, the Wage and Hour Division of the US Department of Labor (DOL) published additional COVID-19 guidance in the form of a Q&A addressing Fair Labor Standards Act (FLSA), Family and Medical Leave Act (FMLA), and Families First Coronavirus Relief Act (FFCRA) issues arising when employers and employees return to work.

A few days before, on July 17, the DOL published streamlined optional-use forms for employer and employee notification and certification obligations under the FMLA and separately asked the public to comment on the FMLA and its regulations in a Request for Information (RFI). The additional guidance and forms should help employers navigate FMLA leave and employee wage and hour issues during COVID-19. And employers now have the opportunity to share their thoughts on the FMLA and its implementing regulations with the DOL. We provide more insight into the DOL’s recent activity below.Continue Reading New Q&As, New Streamlined Forms, and an RFI: the Department of Labor Publishes More COVID-19 Guidance and Seeks Public Comment on the FMLA

As discussed in a prior post, the Department of Labor’s new overtime regulations increase the weekly minimum salary threshold an employee must be paid to maintain exempt status under the FLSA’s “white collar” exemptions. The Final Rule, which becomes effective December 1, 2016, could affect up to 4.2 million employees according to DOL estimates. But an employer hoping to classify its employees as exempt need not meet the new threshold entirely through base salary. Instead, the new regulations allow employers to use bonuses, commissions, and incentive payments to satisfy up to 10% of the minimum salary threshold.
Continue Reading “Catching Up” on Exempt Status—Using Bonuses and Incentive Payments to Meet the FLSA’s New Salary Threshold

On May 18, 2016, the Department of Labor finalized its highly anticipated overtime rule that updates the Fair Labor Standards Act’s “white collar” exemptions (including the executive, administrative, and professional exemptions) and the highly compensated employee exemption. Most notably, the Final Rule significantly increases the minimum salary an employee must earn to qualify for these exemptions. With an effective date of December 1, 2016, companies must understand the new Final Rule and take the appropriate steps to comply.
Continue Reading DOL Issues Final Overtime Rule—Are Your Exempt Employees Still Exempt?