New White Collar Exemption Rules Effective December 1, 2016

Written by Robert G. Brody and Alexander Friedman on May 19, 2016

The wait is over. On May 18, President Obama and the Secretary of Labor announced the Department of Labor’s final rule overhauling the white collar exemptions to overtime requirements for executive, administrative, professional, and highly compensated employees.  The new salary threshold for employees exempt under the executive, administrative, and professional exemptions will be $913 per week.  This translates to $47,476 annually.  The total annual compensation requirement for highly compensated employees will be $134,004.  These new rules will go into effect on December 1, 2016.  The thresholds will be adjusted every three years, with the first adjustment set to occur January 1, 2020.  The government expects approximately four million employees will be affected.

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Related Topics: Legal Updates, Legislative Updates, News, Wage and Hour

About the Authors

Robert G. Brody is the founding member of Brody and Associates, LLC. He has been quoted and published in national publications and appears as a guest T.V. commentator on contemporary Labor and Employment issues. Learn More

Alexander Friedman is an Associate with Brody and Associates, LLC. He works on both Labor and Employment Law matters. Learn More