Back in April, we alerted our clients that we expected a big announcement from the DOL's Wage and Hour Division (WHD) this summer (see our blog post From Exempt to Hourly: Prepare for New DOL Rules). Well, this summer has arrived, and on June 30, that long-awaited announcement was made.
"One thing is clear: the WHD’s proposed FLSA regulations will mean higher minimum salaries for exempt employees, even those who are highly compensated. Everything else in the regulations will stay the same, at least for now. However, the WHD has asked for comments on a number of topics, including the duties test and the inclusion of non-discretionary bonuses for purposes of the salary basis test. Because these are proposed rules, nothing changes today, but the impact of these rules will be far reaching. Employers should start planning now for the impact on their operations and finances, and consider participating in the public comment period with WHD." Continue reading this article, "The New FLSA Regulations: What Changed, What Didn't, What's Next for Employers," by Doug Hass on the Wage & Hour Insights website.
The bottom line here is that these changes will eventually impact your bottom line as a business owner. We encourage you to continue preparing for the impending changes and planning for how these regulations will affect your finances and staff. You can count on us to keep you informed, and if you need other assistance, we're always here to help. Contact us anytime.