Washington, DC 202101-866-4-US-WAGE1-866-487-9243, Administrator Interpretations, Opinion and Ruling Letters, Resources for State and Local Governments. Citizenship and Immigration Services (USCIS) to create a process to defer theremoval of certain noncitizens who years earlier came to the United States as children, meet other criteria and do not present other circumstances that would warrant removal, according to the DHS. With the issuance of its spring regulatory agenda on June 21, the U.S. Department of Labor (DOL) announced that its proposed overtime rule is now tentatively slated to be released in October. Please log in as a SHRM member before saving bookmarks. Get the Quickstart Guide for Employers. Effective Jan. 1, 2022, the minimum wage in California will increase to $15 per hour for large employers with 26 or more employees; it will increase to $14 for small employers with fewer than 25 employees. Many of these pending and future rulemakings outlined above are expected to face scrutiny via congressional oversight in the newly Republican-controlled House of Representatives. Marcus G. Keegan, EEOC regional attorney for the Atlanta District Office stated, The ADA requires employers to provide reasonable accommodations to employees with disabilities to ensure those with disabilities have an equal opportunity to work to their full ability. Revert to the longstanding interpretation of the economic reality factors. if(currentUrl.indexOf("/about-shrm/pages/shrm-china.aspx") > -1) { .paragraph--type--html-table .ts-cell-content {max-width: 100%;} June 27, 2022. In publishing the proposed new rule . In September 2019, the Trump DOL issued a new overtime rule, which took effect on January 1, 2020, raising the weekly minimum salary for EAP exemptions from $455 per week ($23,660 per year . The FLSA does not require overtime pay for work on Saturdays, Sundays, holidays, or regular days of rest, unless overtime is worked on such days. Effective Jan. 1, 2020, the federal minimum salary threshold increased to $684 a week. A sign stands in front of the U.S. Department of Labor. As an update, the April deadline has passed, but it is now anticipated that the DOL intends to propose new FLSA overtime rules this October. Learn more by reading fact sheets that cover a variety of overtime topics. The proposal will likely amend the Trump administration's final . .cd-main-content p, blockquote {margin-bottom:1em;} Specifically, the flexibility guidance allows for remote inspection of Form I-9 documents in situations where employees work exclusively in a remote setting due to COVID-19-related precautions. DOL had previously planned to release the proposed rule in October 2022. An agency within the U.S. Department of Labor, 200 Constitution Ave NW Copyright 2023 HRCI. $("span.current-site").html("SHRM China "); With so many agencies experiencing staffing shortages and difficulties hiring new . The DOL has considered modifying the regulations in this regard a few times in recent yearsbut hasended up leaving the current tests alone. .manual-search ul.usa-list li {max-width:100%;} }); if($('.container-footer').length > 1){ Many unions and other worker advocates believe the DOL should match or exceed the $921 salary level of the 2016 proposed rule, with several groups demanding the salary level be set at $1,000 per week. While it is unclear whether the December NPRM will include the blacklisting language again, the abstract of the re-proposal states that the new proposed rule would be responsive to the comments received on our February 2022 proposal.. The new standard will revise the 2020 Trump Administrations final rule, which reversed the Obama-era NLRB decision in the 2015Browning-Ferris Industriescase and established that an entity can only be a joint employer if it actually exercises control over the essential terms and conditions of another employers employees. Another increase has long been on the Biden administrations agenda, but it has not said what dollar figure it has in mind. The Department of Labor's Wage and Hour Division is expected to propose new rules on independent contractor classification and overtime entitlement requirements in the . 96% of members agree: "SHRMs information is very useful to me". The California standards require that more than 50 percent of the employee's time be spent solely on performing exempt duties in orderto be classified as exempt, he noted. Federal government websites often end in .gov or .mil. June 29, 2022. These exemptions are commonly referred to as the white-collar or EAP exemptions. } $("span.current-site").html("SHRM MENA "); There is no limit in the Act on the number of hours employees aged 16 and older may work in any workweek. p.usa-alert__text {margin-bottom:0!important;} The proposal is expected to be issued in the near future. The DOL, HHS, and Treasury just released an FAQ that provides guidance on if Drug Manufacturers' Coupons disqualify Health Savings Accounts. Employers should carefully review all pay practices, exemptions from overtime, and potential FLSA liability in light of these potential changes. Affiliate of the Society for Human Resource Management, Home Blog 2022 DOLS PROPOSED OVERTIME RULE. Please enable scripts and reload this page. Additionally, CUPA-HR submitted commentsin response to the RPI based on a recent survey detailing members experiences with the Form I-9 verification process flexibilities. "If there is a significant increase in the salary-basis level for the executive, administrative and professional exemptions, this change will require employers to identify and . The proposed rule is intended to replace the 2021 independent contractor regulation. Please enable scripts and reload this page. div#block-eoguidanceviewheader .dol-alerts p {padding: 0;margin: 0;} If such an increase is proposed, it will impact millions of workers and almost certainly meet resistance in federal courts from private employers and business groups. Washington, DC 202101-866-4-USA-DOL1-866-487-2365www.dol.gov, Misclassification continues to deny workers rightful wages; hurt businesses, economy, Industry-Recognized Apprenticeship Programs (IRAP), Bureau of International Labor Affairs (ILAB), Employee Benefits Security Administration (EBSA), Employees' Compensation Appeals Board (ECAB), Employment and Training Administration (ETA), Mine Safety and Health Administration (MSHA), Occupational Safety and Health Administration (OSHA), Office of Administrative Law Judges (OALJ), Office of Congressional and Intergovernmental Affairs (OCIA), Office of Disability Employment Policy (ODEP), Office of Federal Contract Compliance Programs (OFCCP), Office of Labor-Management Standards (OLMS), Office of the Assistant Secretary for Administration and Management (OASAM), Office of the Assistant Secretary for Policy (OASP), Office of the Chief Financial Officer (OCFO), Office of Workers' Compensation Programs (OWCP), Ombudsman for the Energy Employees Occupational Illness Compensation Program (EEOMBD), Pension Benefit Guaranty Corporation (PBGC), Veterans' Employment and Training Service (VETS), Economic Data from the Department of Labor, Learn more about the Wage and Hour Division, Federal court orders Hyundai, Kia auto parts manufacturer to stop employing minors illegally, end oppressive child labor law violations, US Department of Labor hosts annual conference for nations mine safety, health trainers at National Mine Health and Safety Academy, Oct. 11-13. The .gov means its official. USA August 24 2022. United States Department of Labor Washington, DC 20210 Re: Overtime Regulations Proposed in the Fall 2021 Regulatory Agenda Dear Acting Administrator Looman: . Restore the multifactor, totality-of-the-circumstances analysis to determine whether a worker is an employee or an independent contractor under the FLSA. #views-exposed-form-manual-cloud-search-manual-cloud-search-results .form-actions{display:block;flex:1;} #tfa-entry-form .form-actions {justify-content:flex-start;} #node-agency-pages-layout-builder-form .form-actions {display:block;} #tfa-entry-form input {height:55px;} Employees paid below that figure must receive time-and-one-half their regular rate of pay when they work more than 40 hours in a workweek. Comments on the draft plan must be submitted by February 9, 2023. .manual-search-block #edit-actions--2 {order:2;} Learn how SHRM Certification can accelerate your career growth by earning a SHRM-CP or SHRM-SCP. Existing noncompete agreements would need to be rescinded and workers informed that they are no longer in effect. A vast majority of organizations across numerous industries face potential compliance and monetary impacts if the legislation passes. ol{list-style-type: decimal;} The US Department of Labor (DOL) is planning for a busy springtime. While this aspect of the exemption rules is not anticipated to change with the 2022 proposed rule changes, the duties test is important to remember when considering the classification of a particular role. enter into or attempt to enter into a noncompete agreement with a worker; maintain a noncompete agreement with a worker; or. The overtime salary threshold limits will increase for the following states: California To qualify for the overtime exemption, licensed physicians and surgeons must earn at least $91.07 per hour. Please log in as a SHRM member. The U.S. Department of Labor in September 2019 updated the federal overtime rules regarding executive, administrative, and professional workers. Do you need help with your HR questions? By Jill Desjean, NASFAA Policy & Federal Relations Staff. Marty Walsh, the Secretary of Labor indicated previously that the salary basis threshold is too low and as part of the review, the DOL will consider whether regular and automatic updates . In 2016, a proposed change would have moved the salary threshold from $455 per week ($23,660 annualized) to $913 per week ($47,476). In order for an employee to be exempt, the employee must be paid a salary of at least $684 per week, and must meet certain duties tests. Those changes, however, were less significant than the 2016 efforts to modify FLSA provisions, which were halted later due to a preliminary injunction. $(document).ready(function () { Some of the topics on which comment was requested, along with a number of alternative approaches described in the proposed rule, suggests that the ultimate product of the rulemaking may be less than a total ban. We anticipate the proposed new level will be higher. SHRM Employment Law & Compliance Conference, Proposed Overtime Rule Now Projected to Come Out in Fall, New OSHA Guidance Clarifies Return-to-Work Expectations, Trump Suspends New H-1B Visas Through 2020, Faking COVID-19 Illness Can Have Serious Consequences, White House Takes Action Against Migrant Child Labor, How to Handle Overtime, Meal Break and Other Wage and Hour Crises. Of note, in 2016, the Obama administration attempted to raise the salary basis threshold from $455/week to $921/week. The following policy statements* will be included in your export: *Use of this material is governed by XpertHRs Terms and Conditions. Neil Reichenberg is the former executive director of the International Public Management Association for Human Resources. High on the DOL's list of priorities with the proposed overtime rule will be adjusting the salary level, possibly increasing it from its current annualized rate of $35,568, noted Robert Boonin, an attorney with Dykema in Ann Arbor, Mich. "There's certainly pressure to bring the amount to as high as the $47,476 annualized amount that was enjoined by a court in 2016, but many advocates are seeking even higher levels, from $62,000 to over $80,000 per year," he said. Employment and Training Administration Strengthening Wage Protections for the Temporary and Permanent Employment of Certain Aliens in the United States, In October 2022, DOLs Employment and Training Administration (ETA) plans to issue an NPRM to establish a new wage methodology for setting prevailing wage levels for H-1B/H-1B1/E-3 and PERM programs consistent with the requirements of the Immigration and Nationality Act. The proposal will likely amend the Trump administrations final rule that was scheduled to take effect on November 14, 2022, but was subsequently vacated by a federal court in June 2021. Members please Login here to view the article. DOL addressed the topic again in 2019 and enacted changes on January 1, 2020. You may be trying to access this site from a secured browser on the server. The U.S. Department of Labor (DOL) recently published its spring regulatory agenda containing a tentative date of October 2022 for a proposed overtime rule. The Department of Labor remains committed to addressing the issue of misclassification.. In 2016, a proposed change would have moved the salary threshold from $455 per week ($23,660 annualized) to $913 per week ($47,476). .manual-search ul.usa-list li {max-width:100%;} The department said in the regulatory agenda that "the danger faced by health care workers continues to be of the highest concern and measures to prevent the spread of COVID-19 are still needed to protect them." 200 Constitution AveNW Employers should prepare now to review their workforce for exempt/non-exempt status to ensure they are compliant with the new overtime rule before the effective date is launched. The United States Department of Labor (DOL) is expected to propose a new salary threshold for various overtime exemptions under the Fair Labor Standards Act (FLSA). The proposed rule . The district court did this partly based on its conclusion that the June 2012 memorandum announced a legislative rule that required notice-and-comment rulemaking. While details of the Democratic-majority NLRBs NPRM on joint employer status are unknown, we would expect them to revise the current standard to reflect the Obama-era decision. As the fight in Congress and the court of public opinion continues with respect to the proposed legislation to raise the federal minimum wage supported by President Obama, the White House has announced broad proposed reforms to the Department of Labor (DOL) regulations defining the exemptions from overtime under the Fair Labor Standards Act (FLSA). Review Administrator Interpretations, Opinion and Ruling Letters as well as pertinent chapters of the WHD Field Operations Handbook. Members can get help with HR questions via phone, chat or email. Democrats want OT salary threshold upped to $82,732 by 2026. That salary threshold had been set at $23,600 ($455 per week) since 2004, and DOL sent shockwaves through the employment community when it proposed and finalized a rule to more than double that number, upping the threshold to $47,476 threshold ($913 per week). Regardless of the ultimate increase in the salary level, employers who rely on the white-collar exemptions should be on notice of potential changes. var currentUrl = window.location.href.toLowerCase(); Biden's DOL may seek to increase the threshold even greater than the 2016 proposal under Obama. The agency ultimately proposed and, Another increase has long been on the Biden administrations agenda, but it has not said what dollar figure it has in mind. The federal overtime provisions are contained in the Fair Labor Standards Act (FLSA). document.head.append(temp_style); You may be trying to access this site from a secured browser on the server. 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