The Department of Labor (DOL) has finalized updates to the Fair Labor Standards Act (FLSA) regulations, affecting salary threshold requirements for exempt and highly compensated employees.

Key Changes:

• Effective July 1, 2024: The standard salary threshold for exempt employees will increase to $844 per week ($43,888 annually); the total compensation threshold for highly compensated employees will increase to $132,964 annually.
• Effective January 1, 2025: The standard salary threshold will rise to $1,128 per week ($58,656 annually) for exempt employees; the total compensation threshold for highly compensated employees will increase to $151,164 annually.
• Starting July 1, 2027: Salary thresholds will be updated every three years based on current wage data.

Details about the new regulations are available on the Department of Labor website.

To view this Alert, please log-in to the POOL/PACT HR’s website at www.poolpact.com.  Once you log-in to the website: 

1.      Choose “Human Resources” under the Resource Library tab at the top of the page.

2.      To the right choose “HR Alerts/Notices.”

3.      Then choose “2. Current Alerts” and scroll down to view this Alert entitled, “DOL Issues New Final Overtime Rule: New Salary Threshold as of 7-1-24.” 

Please contact your HR Business Partner if you have any questions.