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.
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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.