Department of Labor Issues Rule Raising Salary Level for Exempt Employees

May 8, 2024 | Aigner S. CarrMollie G. Mohan

On April 23, 2024, the United States Department of Labor (DOL) released its final rule increasing the minimum salary requirements for exempt (sometimes referred to as “salaried”) employees employed in a “bona fide executive, administrative, or professional capacity (commonly referred to as “white-collar” employees). [1] The final rule increases the minimum salary level from $35,568 per year for exempt employees to $58,656 per year.

The final rule is set to roll out in two waves: Employers are required to increase employees who fall under the “white collar” exemptions to a salary of $844 per week ($43,888 per year) by July 1, 2024 and to a salary of $1,128 per week ($58,656 per year) by January 1, 2025. For Highly Compensated Employees (“HCE”), the minimum salary is increased to $132,964 per year, effective July 1, 2024, and $151,164 effective January 1, 2025.

Department of Labor Announces Independent Contractor Final Rule

Jan 10, 2024 | Aigner S. CarrMollie G. Mohan

On January 9, 2024, the U.S. Department of Labor (DOL) issued its final rule regarding how to determine who is an employee versus an independent contractor under the Fair Labor Standards Act (FLSA). The final rule rescinds the DOL’s 2021 Independent Contractor Rule that was published on January 7, 2021. Previously, the DOL announced on March 11, 2021 that this rule would be rescinded and replaced, with the proposed rule being published on October 13, 2022.