Revert to the longstanding interpretation of the economic reality factors. The proposed changes will impact Employers and employees. Eliminating recruitment and hiring barriers. CUPA-HR sent a letter to USCIS Director Ur M. Jaddou asking for this additional extension. Employees paid below that figure must receive time-and-one-half their regular rate of pay when they work more than 40 hours in a workweek. The courts blocked this proposal shortly before it was scheduled for implementation. $("span.current-site").html("SHRM MENA "); The United States Department of Labor ("DOL") is expected to propose a new salary threshold for various overtime exemptions under the Fair Labor Standards Act ("FLSA"). Another item on the list of DOL priorities may be the creation of an automatic annual or periodic increase to the salary level by indexing it to the consumer price index or another economic indicator so that the amount will increase without the DOL having to undertake formal rulemaking. Learn how SHRM Certification can accelerate your career growth by earning a SHRM-CP or SHRM-SCP. Review the laws and regulations that govern overtime in the United States. @media (max-width: 992px){.usa-js-mobile-nav--active, .usa-mobile_nav-active {overflow: auto!important;}} temp_style.textContent = '.ms-rtestate-field > p:first-child.is-empty.d-none, .ms-rtestate-field > .fltter .is-empty.d-none, .ZWSC-cleaned.is-empty.d-none {display:block !important;}'; Gain the intel you need now to successfully anticipate and navigate employment laws, stay compliant and mitigate legal risks. .dol-alert-status-error .alert-status-container {display:inline;font-size:1.4em;color:#e31c3d;} Consistent with the presidential memorandum, the DHS published a notice of proposed rulemaking on Sept. 28, 2021, to consider all issues regarding DACA, including those identified by the district court relating to the policy's substantive legality. Fair Labor Standards Act The FLSA establishes minimum wage, overtime pay, and payday standards, in addition to recordkeeping obligations . With so many agencies experiencing staffing shortages and difficulties hiring new . Comments on the proposed rule are due by March 10, 2023. The https:// ensures that you are connecting to the official website and that any information you provide is encrypted and transmitted securely. The most common exemption categories are known as the white collar exemptions: executive, administrative and professional. Members may download one copy of our sample forms and templates for your personal use within your organization. However, on March 14, 2022, a district court vacated the Department's rules to delay and withdraw the Independent Contractor Status Under the Fair Labor Standards Act . The proposed rule would provide guidance on classifying workers and seeks to combat employee misclassification. The two areas of anticipated revision are to the salary level and duties tests for an employee to be exempt from overtime pay. March 21, 2022. p.usa-alert__text {margin-bottom:0!important;} .cd-main-content p, blockquote {margin-bottom:1em;} Assist with the proper classification of employees and independent contractors under the FLSA. The services of an appropriate professional should be sought regarding your individual situation. Washington, DC 202101-866-4-US-WAGE1-866-487-9243, Administrator Interpretations, Opinion and Ruling Letters, Resources for State and Local Governments. Background on the new overtime proposal. The upcoming proposal is likely to mirror or even exceed the changes anticipated in 2016. | 2 p.m. OSHA aims to complete a final rule by September. Topics covered: Culture, executive buy-in, discrimination, training, equal pay, and more. Oct 11 2022 10:37 AM EDT Updated Tue, . The salary basis threshold was increased in 2019 from $23,660/year to $35,568/year. else if(currentUrl.indexOf("/about-shrm/pages/shrm-mena.aspx") > -1) { As we previously reported in our New Year's Update for 2022, the US Department of Labor (DOL's) regulatory agenda included proposed rulemaking on the Fair Labor Standards Act (FLSA) overtime rules by April 2022. As with the overtime rule, the final independent contractor rule would take effect no sooner than 60 days after it is published in the Federal Register. Currently, the Department of Labor requires that employees covered by the Fair Labor Standards Act must receive overtime pay for working more than 40 hours in a workweek, unless the employee is covered by certain exemptions. Preserving access to the legal system focusing on overly broad waivers, releases, non-disclosure agreements or non-disparagement agreements, mandatory arbitration provisions, failure to keep applicant and employee data and records, and retaliatory practices that dissuade employees from exercising their rights. Generally, the rule applies to any salaried worker who does not supervise other workers and makes less than $684 a week . In October 2022, DOL's Employment and Training Administration (ETA) plans to issue an NPRM to establish "a new wage methodology for setting prevailing wage levels for H-1B/H-1B1/E-3 and PERM programs consistent with the requirements of the Immigration and Nationality Act.". overtime pay and the ability to organize into unions. The US Department of Labor (DOL) is planning for a busy springtime. Require automatic future increases to the threshold. ACTION: Notice of proposed rulemaking; request for comments. "This type of change would also disqualify many currently exempt employees from their current exempt status," he said. (2015). DOL's Wage and Hour Division plans to develop and release a notice of proposed rulemaking . XpertHR is part of the LexisNexis Risk Solutions Group portfolio of brands. Members may download one copy of our sample forms and templates for your personal use within your organization. Your session has expired. In 2021, four congressional Democrats argued for a threshold in line with the historical high point of salary thresholds the 55th percentile of earning of full-time salaried workers nationwide. That would have resulted in a threshold of $82,732 by 2026, the letter said. Let HR Dive's free newsletter keep you informed, straight from your inbox. Many unions and other worker advocates believe the DOL should match or exceed the $921 salary level of the 2016 proposed rule, with several groups demanding the salary level be set at $1,000 per week. The Department of Labor remains committed to addressing the issue of misclassification.. Topics covered: Employee learning, training, onboarding, mentoring, career development and more. Misclassification is a serious issue that . The FTC noted that the proposed rule would make it illegal for an employer to: EEOC Settles COVID Discrimination Lawsuit The Equal Employment Opportunity Commission (EEOC) announced that it settled a lawsuit alleging disability discrimination in violation of the Americans with Disabilities Act (ADA) by an employer who denied an employees reasonable request to work from home and subsequently fired her. Subscribe to HR Dive for top news, trends & analysis, The free newsletter covering the top industry headlines, Talent Attraction and Retention for 2023: Finance and HR leaders should look to on-demand pay,, The Omnia Group Releases 2023 Annual Talent Trends Report, TimeForge Integrates with Careerjet to Give Businesses Access to Thousands of Job Seekers, Talkspace Launches First-of-its-Kind Portal Dedicated to Employee Mental Health Resources, By signing up to receive our newsletter, you agree to our. Monday, November 7, 2022. | 1 p.m. Most recently, DHS announced an additional extension of the Form I-9 flexibility guidance through October 31, 2022. More than 100 business and industry groups are urging the U.S. Department of Labor to seek public input before it releases a highly anticipated rule to update overtime pay regulations that is expected to extend time-and-a-half wages to more workers. The site is secure. Employment and Training Administration Strengthening Wage Protections for the Temporary and Permanent Employment of Certain Aliens in the United States, In October 2022, DOLs Employment and Training Administration (ETA) plans to issue an NPRM to establish a new wage methodology for setting prevailing wage levels for H-1B/H-1B1/E-3 and PERM programs consistent with the requirements of the Immigration and Nationality Act. The proposal will likely amend the Trump administrations final rule that was scheduled to take effect on November 14, 2022, but was subsequently vacated by a federal court in June 2021. On June 7, ICE sent its proposal to the Office of Information and Regulatory Affairs (OIRA). Therefore, do not send or include any information in your email that you consider to be confidential or privileged. 213(a)(1), exempts any employee employed in a bona fide executive, administrative, or professional capacity or in the capacity of outside salesman (as such terms are defined and delimited from time to time by regulations of the Secretary, subject to the provisions of the [Administrative Procedure Act.]) Labor Department's New Overtime Rule Will Ruffle Feathers - Speaking of overtime, the DOL has indicated it will issue a new federal regulation transforming the overtime rule by April 2022, and . In the spring regulatory agenda, the U.S. Department of Homeland Security (DHS) announced that it plans to issue a final rule on Deferred Action for Childhood Arrivals (DACA) in August. Conversely, there is nothing stopping the DOL from issuing new rules before its target dates, either. The Biden administration has signaled its desire to return to the approach attempted in 2016. The policy directed U.S. .dol-alert-status-error .alert-status-container {display:inline;font-size:1.4em;color:#e31c3d;} Topics covered: National employment laws, harassment, accommodations, training, and more. .usa-footer .container {max-width:1440px!important;} $('.container-footer').first().hide(); .paragraph--type--html-table .ts-cell-content {max-width: 100%;} Addressing selected emerging and developing issues such as qualification standards that discriminate against individuals with disabilities, protecting individuals affected by pregnancy, childbirth and related medical conditions under the Pregnancy Discrimination Act, employment discrimination associated with COVID-19 and other threats to public health, and technology related discrimination. For questions or additional information, contact Reichenberg [email protected]. [Mr. Fendly's statement may be found in the appendix.] The Department delayed the rule on March 4, 2021, and then withdrew it on May 6, 2021, believing that it was inconsistent with the Fair Labor Standards Act's text and purpose. Before sharing sensitive information, make sure youre on a federal government site. div#block-eoguidanceviewheader .dol-alerts p {padding: 0;margin: 0;} Congress must also have keen insight of the administration's regulatory plans to assess its budget requests and operations. You have successfully saved this page as a bookmark. The FTC is accepting public comments on the proposed rule until March 10, 2023, and they can be submitted online. Tuesday, February 28, 2023. Federal law currently requires overtime pay only for employees who earn an annual salary of less than $35,568, although many such workers are excluded. CUPA-HR filedcommentsin opposition to the Trump administrations regulations on the issue andin responseto the Biden administrations RFI. Access a collection of interactive online tools and presentations that address overtime pay requirements. Ensure that all factors are analyzed without assigning a predetermined weight to a particular factor or set of factors. The proposed rule would provide guidance on classifying workers and seeks to combat employee misclassification. Please confirm that you want to proceed with deleting bookmark. The Internal Revenue Service has increased by three cents per mile, the optional standard mileage rates used to calculate the deductible costs of operating an automobile for business purposes. The new standard will revise the 2020 Trump Administrations final rule, which reversed the Obama-era NLRB decision in the 2015Browning-Ferris Industriescase and established that an entity can only be a joint employer if it actually exercises control over the essential terms and conditions of another employers employees. The new rule goes into effect January 1, 2020. Misclassification is a serious issue that denies workers rights and protections under federal labor standards, promotes wage theft, allows certain employers to gain an unfair advantage over law-abiding businesses, and hurts the economy at-large. In its recent spring regulatory agenda, the U.S. Department of Labor (DOL) announced its plans to issue a proposed overtime rule in October 2022. Rather than appeal the judge's decision, which was criticized by many unions and worker advocates, the Trump administration proposed a new rule in 2019 that elevated the overtime wage . The new proposal, which is included in the Departments Statement of Regulatory Priorities, will take into consideration the feedback it received in response to aRequest for Information (RFI) on data and methods for determining prevailing wage levels to ensure fair wages and strengthen protections for foreign and U.S. workers.. .usa-footer .grid-container {padding-left: 30px!important;} We help organizations develop a comprehensive understanding of state laws and regulations to inform investment across people strategies and operations. In December 2022, the Department of Agriculture (USDA) plans to re-propose an NPRM that was previously issued in February 2022 and included controversial provisions that would require federal contractors on projects procured by the agency to certify their compliance with dozens of federal and state labor laws and executive orders. Once anticipated in the spring, the proposed rule will recommend how to implement the exemption of bona fide executive, administrative and professional employees from the Fair Labor Standards Act's (FLSA's) minimum wage and overtime requirements. The overtime rule was first slated for April 2022 and then for October 2022, so another delay would not be unusual. The federal overtime provisions are contained in the Fair Labor Standards Act (FLSA). Thank you again for providing me the opportunity to testify on the Department of Labor final overtime rule, and I would be happy to answer any questions that any of the members may have. The Notice of Proposed Rulemaking was originally slated for April 2022 but then delayed to October of that year. Digital platform companies like Uber, Lyft, Instacart, and DoorDash are waging increasingly aggressive campaigns to erode long-standing labor rights and consumer protections in states across the country. $('.container-footer').first().hide(); WASHINGTON - The U.S. Department of Labor will publish a Notice of Proposed Rulemaking on Oct. 13 to help employers and workers determine whether a worker is an employee or an independent contractor under the Fair Labor Standards Act.. Than $ 684 a week Labor Standards Act ( FLSA ), onboarding,,... October of that year likely to mirror or even exceed the changes in! Threshold of $ 82,732 by 2026, the letter said therefore, do not send include! 2022 but then delayed to October of that year figure must receive time-and-one-half regular. Hour Division plans to develop and release a Notice of proposed rulemaking the DOL from issuing rules! 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