Earlier this month, a Texas Federal judge struck down the DOL (Department of Labor) exempt salary rule that raised the minimum salary as exempt from overtime and minimum wage requirements under the Fair Labor Standards Act (FLSA).
It is reverted now to the rules before July 1, 2024. The salary level test amount for executive, administrative and professional employees returns to $684 per week ($35,568 annually) – not the $844 per week by the thrown out rule – and the required amount to be paid to highly compensated employees returns to $107,432 annually (including at least $684 per week paid on a salary or fee basis) – not the $132,964 annually by the thrown out rule.
Note that this might have some impact to your business depending on the classification of your employees, salary range and other factors. For further analysis on your specific case, please, reach out to your HR department, third party payroll provider or any other professional with knowledge on Labor laws.
Link National Law Review – Understanding the New FLSA Overtime Rule: Texas v. United States Department of Labor
