Employers may have another compliance challenge on their hands if the Department of Labor’s proposal to extend overtime protections for workers moves forward. But in light of today’s economy, it may be time for a change.
The DOL has proposed that the minimum salary threshold for overtime eligibility should be increased from $35,568 per year — in place since 2020 — to $55,000 per year. This means anyone who makes less than $55,000 and works over 40 hours in a week is entitled to overtime, extending protections to an estimated 3.6 million salaried workers, according to the DOL. U.S. territories subject to the federal minimum wage will also be granted the same protections.
