The Division of Labor’s (DOL) extra time rule, finalized in 2016 and set to take impact in 2025, revises the Truthful Labor Requirements Act’s (FLSA) extra time pay necessities. The brand new rule updates the wage and compensation ranges that decide which workers are eligible for extra time pay. It additionally clarifies the duties that qualify workers for exemption from extra time pay. By increasing extra time eligibility to extra staff and clarifying extra time guidelines, the DOL goals to make sure truthful pay and enhance working circumstances for American workers.
The DOL extra time rule is critical as a result of it extends extra time protections to tens of millions of extra staff. Beneath the brand new rule, workers incomes as much as $684 per week ($35,568 per 12 months) shall be eligible for extra time pay. This represents a considerable improve from the earlier wage threshold of $455 per week ($23,660 per 12 months). The rule additionally clarifies the duties that exempt workers from extra time pay, making certain that solely these performing actually government, administrative, or skilled duties are exempt.