DOL's Overtime Rules: What to Expect for High-Paid Workers
On March 7, 2019 the Department of Labor published a long-awaited proposal for revisions to the “white collar” or executive, administrative, and professional (EAP) exemptions from the overtime provisions of the Fair Labor Standards Act. The Notice of Proposed Rulemaking sets two new salary thresholds, an EAP threshold and a highly compensated employee (HCE) exemption. Much of the discussion about the proposed revisions has centered around the EAP salary threshold.
In this article, published in Law360, Edgeworth Partners Dr. Stephen Bronars and Dr. Deborah Foster, discuss the proposed increase in the HCE salary threshold from $100,000 to $147,414, which is approximately the 90th percentile of the earnings distribution of full-time non-hourly workers in the entire US.