DOL FLSA in 2022: The Overtime Threshold and Employer's Budget

The overtime threshold is a salary level used to determine which employees are eligible to receive overtime pay when they work over 40 hours in a single workweek. The federal rules governing overtime pay were established by the Fair Labor Standards Act (FLSA), which also described which workers are exempt from these rules and which are not.


For non-exempt employees under FLSA, the overtime rate is at least one-and-a-half times the regular rate of pay for any hours worked above 40 in a given workweek. FLSA defines a workweek as a consecutive seven-day period of time. Employers can choose to pay a higher overtime rate if they wish, but they must meet the minimum federal standard.


Exempt employees, on the other hand, do not qualify to receive overtime pay. The overtime threshold and certain job duties - not job titles - classify individuals for exempt status. These roles are typically based on a yearly salary whereas non-exempt workers are usually hourly.




Why Should You Attend?

The previous overtime rule impacted Employers and employees in a way that affected morale, changed exempt employees to non-exempt employees, impacted salary calculations, changed employee classification, and made the change an administrative nightmare. Job descriptions were challenged, and employee positions based on responsibilities impact the change, not titles.


It’s important to correctly classify employees under the FLSA guidelines. Whether an employee will be hourly or salaried is not left entirely to an employer’s discretion, and the distinction is not as simple as “blue-collar” or “white-collar.”


Misclassification is one of the most common compliance mistakes. It can be costly on its own, but it also has implications that can lead to further non-compliance issues regarding attendance, timesheets, payroll, and benefits.

Now may be a good time for employers to consider whether the new rules provide a good opportunity to audit “close call” jobs in their exempt workforce to ensure they remain properly classified (and, if need be, to sync any necessary changes with the implementation of a new rule).


Join us on Clatid to get an in-depth review of the upcoming changes in the overtime threshold and the Employer's budget. Get a customized compliance tool to develop a deeper understanding of DOL's proposal. Register today!




Get Answers to

-What is the reason that the Department of Labor (DOL) is proposing this new overtime rule?
-Why will the proposed increase shift employee’s classification?
-How will the proposed rule impact the Employer's budget?
-How did the 2020 overtime rule leave Employers unprepared?
-What resources and guidance will be offered to Employers to mitigate the changes?
-How does the Duties Test identify the classification of exempt and nonexempt employees?
-How do Employers need to determine the proper classification of employees or risk fines and penalties?
-Why does the Fair Labor Standards Act provide Employers with the necessary resources to manage this process?




What will You Learn?

There are several components to the proposed rule which include a proposal which was scheduled for April 2022, public comments period, and the publishing of the rule with expected dates for implementation:


-Learn how training managers, supervisors, and other professionals on the proposed changes will help your risk management strategy
-Learn how to prepare for the proposed rule and be confident with your compliance efforts




-This Program, ID No. 596897, has been approved for 1.50 HR (General) recertification credit hours toward aPHR™, aPHRi™, PHR®, PHRca®, SPHR®, GPHR®, PHRi™, and SPHRi™ recertification through HR Certification Institute®? (HRCI®).

-This program is valid for 1.5 PDCs for the SHRM-CPSM or SHRM-SCPSM. For more information about certification or recertification, please portal.shrm.org.



Who Will Benefit?

-All Employers
-Business Owners
-Company Leadership
-Compliance professionals
-Payroll Administrators
-HR Professionals
-Employers in all industries
-Small Business Owners


You may ask your Question directly to our expert during the Q&A session.


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