In May 2016, the Department of Labor released its final ruling on a monumental revision to the Overtime Exemption Regulations of the Fair Labor Standards Act (FLSA.) These rules come into effect on December 1, 2016. This article has been created to provide a quick reference to the rules and terms, a summary of the changes, and a resource for employers to ensure their ongoing compliance. 

Exempt employees, because of the type of work that they do and their rate of pay, are not eligible for overtime pay for hours worked in excess of 40 hours in one work week. Non-exempt employees must be paid at least time and a half for any hours worked in excess of 40 in a work week. This rule is not new. The changes that have been made are regarding the minimum rate of pay for an exempt employee. 

What ARE the rules?