New Overtime Regulations: Summary And Compliance Guide For Truckstops And Travel Plazas

In May 2016, the Department of Labor finalized new rules governing which employees are eligible for overtime pay.   The new rules double the minimum salary threshold that employees must earn in order to be exempt from overtime pay, increasing the figure to $47,476/year ($913/week), up from the previous salary of $23,660 ($455/week).  This number will be automatically updated every three years based on wage inflation.  The new rules do not change the so-called “duties test” applicable to employees who earn more than this salary threshold.  The new salary threshold will go into effect Dec. 1, 2016.

Although the new rules improve upon the initial proposal released in 2015, the substantial increase to the overtime salary threshold will present considerable challenges to employees and employers alike.

NATSO has prepared this brief summary of the new rules governing overtime pay, followed by an overview of different potential responses that employers can take to update their practices to conform to the new regulatory environment.

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David Fialkov's photo

David Fialkov is the Vice President of Government Relations, as well as the Legislative and Regulatory Counsel, at NATSO. In this capacity, Mr. Fialkov direct's NATSO's legislative, regulatory, and legal strategy on a range of issues, including transportation, energy and fuels, labor, data security, and taxes. Mr. Fialkov also oversees NATSO's political engagement program, including individualized legal and political counsel to member companies. Prior to joining NATSO, Mr. Fialkov was the senior associate in the Government Affairs and Public Policy practice at the law firm of Steptoe and Johnson in Washington, D.C. At Steptoe, Mr. Fialkov advised clients on legislative, regulatory, and political issues, as well as legal concerns. His primary clients included trade associations representing the motor fuel wholesale and retail industries, including the National Association of Convenience Stores and the Society of Independent Gasoline Marketers of America. Mr. Fialkov's focus was not only on the motor fuels business, but also the litany of other issues that retailers confront, including labor matters, foodservice issues, healthcare and employment issues, tax matters and data security. Prior to joining Steptoe, Mr. Fialkov graduated with honors from George Washington University Law School. He received his B.S. Summa cum laude with highest honors from Clark University in Worcester, MA. He lives in Washington, D.C. with his wife Allison and daughter Lilah. More
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