NORTHSHORE SOCIETY FOR HUMAN RESOURCE MANAGEMENT

What’s Happening in HR – Alert

By Michael F. Weiner, Legislative Director                                                              09/26/23

DOL issues Proposed Rule on Salary Level for Exempt Employees under FLSA

On August 30, 2023 DOL released new proposed rule requiring higher salaries for employees to be considered exempt.

Current salary threshold is at least $35,568 annually, or $684 per week.  The proposed rule would raise the salary level to $55,068 annually, or $1,059 per week.  Highly compensated employee threshold would be raised from $107,432 to $143,988.

There would be automatic updates to these salary thresholds every three years.

The Proposed Rule can be located at the Federal Register website at the following:

https://www.federalregister.gov/documents/2023/09/08/2023-19032/defining-and-delimiting-the-exemptions-for-executive-administrative-professional-outside-sales-and

The DOL is accepting comments through November 7, 2023. 

As HR is well aware, it is very important to properly classify a worker as exempt or nonexempt and the salary level is a very important part of that test.  Please make you thoughts known by submitting a comment on the proposed rule.