Podcast: What the Proposed Overtime Rules Mean For Employers
On this podcast, the Trump administration's recent proposal to raise the minimum salary for overtime-exempt employees to $35,308 takes center stage in a conversation between former Department of Labor Wage and Hour Administrator Tammy McCutchen (now VP & Managing Director of Strategic Solutions at ComplianceHR) and XpertHR Legal Editor David Weisenfeld.
Speaking with Weisenfeld at the Society for Human Resource Management's annual Employment Law and Legislative Conference in Washington, DC, McCutchen stressed that time is of the essence with the new regulations. In noting that 2020 is an election year, she said a failure to finalize the proposed rules by the end of 2019 could result in a revival of the Obama administration's much higher minimum salary level of $47,476.
Other key topics McCutchen addresses include the:
- Proposed increase in minimum annual compensation for highly compensated employees to $147,414;
- The new opportunity for employers to correct classification errors; and
- The need to factor bonuses and commissions into overtime calculations.