"White Collar" Exemptions
The Department of Labor has published for public comment, its long-awaited rulemaking changes in the so-called "white collar" exemptions from overtime pay requirements.
Under the proposal, an employee classified as a professional, executive or administrative worker would not have to be paid overtime if he or she earned $679 per week ($35,308 annually), up from the current $555 per week.
The definition of a "high compensated" employee would increase from the current $100,000 per year to $147,414. Non-discretionary bonuses and incentive pay (including commissions) can satisfy up to 10% of the standard salary level if made on an annual or more frequent basis.
The new proposal replaces a final rule issued by the Obama Administration in May 2016 which was later ruled invalid by a federal trial court. Comments will be accepted through early June, with the publication of a final rule projected for 2020.