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Detroit Regional Chamber
07/03/2024 | News release | Distributed by Public on 07/03/2024 12:35
US Department of Labor | Final Rule: Restoring and Extending Overtime Protections Effective July 1, 2024
Detroit Regional Chamber> Advocacy> US Department of Labor | Final Rule: Restoring and Extending Overtime Protections Effective July 1, 2024
US Department of Labor | Final Rule: Restoring and Extending Overtime Protections Effective July 1, 2024
July 3, 2024The final rule, Defining and Delimiting the Exemptions for Executive, Administrative, Professional, Outside Sales, and Computer Employees, which amends the regulations at 29 CFR part 541 under the Fair Labor Standards Act took effect this week.
The final rule became effective on July 1, 2024, and makes the following changes:
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Increases the standard salary level and the total annual compensation requirement for highly compensated employees (HCE).
- On July 1, 2024, the standard salary level will equal $844 per week and the HCE total annual compensation level will equal $132, 964.
- On Jan. 1, 2025, the standard salary level will equal $1,128 per week and the HCE total annual compensation level will equal $151, 164.
- Adopts a mechanism to update the earning thresholds every three years.
The final rule makes no changes to the duties tests. Nondiscretionary bonuses and incentive pay, including commissions, may still be used to satisfy up to ten percent of the standard salary level.