NEWS

The Savannah Area Chamber is alerting its members to the latest changes to the U.S. Department of Labor Overtime Exemption Rules which will go into effect Dec. 1 of this year. It is important to plan for this change in law and speak to a professional about how it applies to your business. Read on for more information.
Virtually all employers will be affected by the most recent changes to the Fair Labor Standards Act (FLSA), which alters overtime pay rules and exemption. The new rules are effective as of Dec. 1, 2016.

The key provisions of these new rules include an increase of the salary threshold from $23,660 to $47,476 a year, or from $455 to $913 a week; the adjustment of the salary threshold each year; an increase in the “highly compensated employee” threshold from $100,000 to $134,004; the retention of the “current duties” test used to determine whether an employee is exempt from overtime requirements; and the creation of new rules for treatment of bonuses, incentive payments and commissions paid to salaried employees.

For detailed information about these changes, click here.