New law expands overtime protection


  • August 25, 2016
  • /   Reggie Dogan
  • /   training-development

Amie Remington, general counsel for Landrum Human Resources Co., reviews changes to wage and hour laws at the
Studer Community Institute's Hiring Talent workshop on Aug. 25, 2016, at Hillcrest Baptist Church. Credit: Ron Stallcup.

Starting Dec. 1, new Department of Labor regulations will increase the salary threshold for paid overtime from less than $455 per week to $913 per week.

Salaried workers previously were paid overtime if they made less than $455 weekly or a yearly salary of $23,660. After the new law takes effect, employees who make $47,476 or less will be entitled to paid overtime if they work more than 40 hours a week.

Employment law expert Amie Remington shared valuable information on the new FLSA Regulations for 2016 at the Studer Community Institute workshop Thursday at Hillcrest Baptist Church.

“It’s important to make sure the employee is truly exempt,” said Remington, general counsel for Landrum Human Resource Co. Inc. “The title doesn’t matter; the day-to-duties are what matters.”

More than 60 people attended the training and development workshop that featured Remington and Beck Partners COO Kristine Rushing as keynote trainers. Rushing’s presentation, “Hiring Talent: Increasing the Effectiveness of Employee Selection,” offered tips and advice on how to interview and hire the right people for the right jobs.

In her presentation, Remington provided proactive measures businesses should take to ensure that they are compliant with state and federal regulations regarding the payment of wages.

Remington said the labor department projects that 4.2 million exempt employee will become non-exempt under the new regulations.

Before, employers took advantage of the old regulations by changing job descriptions to make it seem as if lower-level employees were performing jobs that required more skills, which, in effect, exempted them for overtime.

Remington said the new rules makes it clear: If a worker makes less than $47,476, they are eligible for more money if they work more than 40 hours a week, regardless of their job title or description.

According to the labor department, Remington said, these new rules will extend new overtime protections to 4.2 million workers in the U.S.

“Non-exempt employees shouldn't work except during designated hours on the clock,” Remington said. “If they are working off the clock, the laws requires them to be paid overtime if a claim is made.”

Following the letter of the law is critical for businesses to steer clear of trouble and costly fines or lawsuits, Remington said.

Non-compliance penalties could include back pay, liquidated damages and attorney fees and costs, Remington said.

“The good news is employers got some time to plan budgets, and you want to make sure you’re absolutely in compliance now,” Remington said. “You can help people get used to the idea and help them get prepared for the new process.”

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