By Nick Goldstein, vice president of regulatory & legal issues, ARTBA
The U.S. Department of Labor (DOL) Sept. 24 finalized a new regulation that raised the threshold for an employee to be exempted from overtime pay to $35,308 per year from $23,660 annually. In 2016, the Obama administration attempted to raise the threshold to $47,476, but it was blocked by a federal court.
While the new salary threshold for overtime is lower than the 2016 proposal, it still does not address several issues raised by members of the non-profit sector. The major concern is that the new minimum salary level for overtime exemption does not reflect geographic differences. For example, the minimum salary in New York City is likely to be much higher than in Cheyenne, Wyoming.
Visit the DOL website for compliance with the regulation and other information.