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On Dec. 1, many more salaried workers may become eligible for the federal overtime premium. Under a new Fair Labor Standards Act regulation, some employees who make less than $47,476 will no longer qualify for exemption from overtime pay.
To prepare, employers should consider:
– Implementing a time clock system to track hours worked.
– Revisiting criteria for employees to qualify for overtime exemption.
– Converting compensation from salaried to hourly in order to calculate overtime wages for newly eligible employees.
– Meeting with affected employees to explain why the changes are occurring.
Review these additional steps to comply with the new regulations.
– Steve Bernstein, Fisher Phillips
