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Friday, 27 December, 2019

ALERT: DOJ Overtime Pay Salary Threshold Increase Going into Effect Jan. 1, 2020

On Sept. 24, the DOJ finalized a plan to raise the white-collar overtime pay annual salary threshold from $23,660 to $35,568. This increase is scheduled to go into effect on Jan. 1, 2020.

The Department of Labor estimates that 1.3 million employees will now be entitled to receive overtime pay who previously did not receive it.  Bottom line is that if you make less than $35,568 per year, regardless of your job duties or whether you are paid hourly or salaried, you must be paid overtime at the rate of one and one-half times your regular rate for work hours over 40 a week.

All workers who are paid on an hourly basis must be paid overtime regardless of how much they make per year. In addition, many workers who make more than $35,568 who are salaried are entitled to overtime, but it depends on their actual job duties.

To learn more about what these job duties entail, visit our Overtime Pay Resources Section.

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