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New OT Rules - What should Employers Do????

In order for exempt employees to remain exempt from minimum wage and overtime (assuming they meet the duties test and salary basis test) employers will be required to increase the salary level up to $844.00 per week effective 07/01/2024. Employers have other options as well, they can change the pay rate to hourly or they can keep the team member at salary (or some other pay plan) and pay overtime for all hours worked over 40 hours each week; removing the exempt status. There may also be other exemptions (7(i) or outside sales that may apply) available for some positions. Unfortunately, there is not a clear cut answer and employers will need to review their particular staffing and pay strategy to ensure compliance. As employees if you have a questions regarding your pay and what will happen you should speak to your direct manager/supervisor or HR professional.

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